South Dakota car insurance laws

South Dakota drivers must have at least the minimum amount of insurance in order to legally drive on the roads. This is also the case for most states. According to the Insurance Information Institute, South Dakota had more than 638,000 motorists and 130 fatalities in 2018. This is just one reason why it is so important to have financial protection. Although the exact percentages will vary from one state to another, most accidents can be attributed to driver distraction, speeding and alcohol or drug intoxication, fatigued driving, and aggressive driving.

South Dakota has laws regarding car insurance

South Dakota law requires drivers to have car insurance. They must also show proof of coverage to any police officer who asks.

South Dakota minimum car Insurance laws currently require a minimum coverage of 25/50/25 or:

  • $25,000 per person for injuries
  • $50,000 per accident
  • $25,000 for property damage

South Dakota also requires Uninsured Motorist coverage (UM/UMI), at amounts that correspond to the policy holder’s chosen liability limits. If you are injured by another driver, who isn’t insured or underinsured, or if there is a hit-and run, this coverage covers you. It does not cover vehicle damage and usually has a cap of $100,000 per person and $300,000. Total injury coverage per accident.

South Dakota minimum car insurance laws currently require uninsured/underinsured motorist coverage of 25/50, or:

  • $25,000 per person for injuries
  • $50,000 per accident

South Dakota has liability insurance

Even though drivers in South Dakota are only required to have the minimum liability car insurance and uninsured/underinsured motorist coverage, this may not be enough to cover some accidents. Full coverage insurance is recommended or required in order to protect yourself and your vehicle from injury or damage.

South Dakota’s population is smaller than its geographic area, but South Dakota drivers are subject to long, cold winters that average 39 inches in snowfall per year. This leaves them with unsafe driving conditions for much of the year. Because of the higher chance of an accident, drivers in harsh weather conditions may need to have insurance beyond what the state requires.

Is South Dakota a no fault state?

South Dakota is an at-fault country, meaning that drivers are responsible for any accident they cause. The insurance company of the accident victim must cover the costs of any damage to the vehicle involved. An injured party can file a claim for damages with their insurance company as a “first-party” or “third-party” after an accident.

Driving without insurance in South Dakota can result in severe penalties

Driving without insurance or following South Dakota’s car insurance laws can lead to stiff penalties. A conviction can result in a three-year suspension of your license, a $100 fine and suspension of registration and license plates. In some cases, a driver’s license, vehicle registration and license plates may be suspended if the SR-22 is not produced. Drivers who cause an accident that results in death or injury while driving with no insurance may face similar consequences.

South Dakota offers additional auto insurance options

South Dakota drivers may also be interested in the following insurance coverages:

  • Collision — Covers damage to your vehicle that is caused by collision with another vehicle, object, or vehicle.
  • Comprehensive — Covers damage to your vehicle that is not caused by collision (e.g. theft, vandalism, or weather events).
  • Gap coverage or loan/lease payoff — Covers the difference between the amount you owe and the car’s actual cash value in the case your vehicle is totaled.
  • Medical payments — Covers your accident-related medical expenses
  • Rental car reimbursement — Covers the cost of renting a car after an accident for the time your vehicle is being repaired (up to the policy limits).
  • Roadside assistance — Covers assistance during a breakdown (for instance, labor to change a tire or jumpstart a dead battery or the cost of a tow truck).

Questions frequently asked

Which South Dakota car insurance company is best?

Each driver’s individual circumstances and the type of car insurance they choose will determine which company is best. You may be able to find the right policy for you by comparing the largest car insurers in South Dakota.

How can I lower my car-insurance premiums?

You can also reduce your car insurance rates by working to improve your credit rating and staying free from claims. Another option is to take advantage of discounts that are available. Most drivers can benefit from common discounts and bundles for safe driving.

What does standard car insurance not cover?

  • Accidents that occur while driving for a ride-hailing or food-delivery service
  • Accidents that occur while you are driving a car you don’t own but that you use regularly, such as a company car.
  • Equipment that is not permanently mounted on your vehicle
  • Mexico: Car accidents
  • Accidents while driving for work
  • Racing can cause accidents
  • Intentionally causing damage