How much car insurance do I need in South Dakota?
Learn about minimum insurance coverage requirements for vehicles in South Dakota, consequences for driving without insurance, and more.
South Dakota law requires minimum levels of car insurance for any vehicle you register and plan to operate in the state. Those minimum coverage amounts are:
- $25,000 per person for bodily injuries caused by the accident
- $50,000 total per accident, for bodily injuries, when more than one person is hurt
- $25,000 for property damage
South Dakota does not require you to carry other types of coverage, such as collision, personal injury protection (PIP), or comprehensive; however, purchasing additional coverage is a good way to protect you and your assets. You can also increase the limits of your liability coverage for added protection -- and peace of mind. And if you are leasing or financing your vehicle, be sure to review the terms of your agreement regarding insurance coverage. You may be required to add comprehensive coverage to your policy. Learn more about different types of car insurance.
Uninsured/Underinsured Motorist (UIM) Coverage in South Dakota
South Dakota requires UIM coverage on all auto insurance policies. Uninsured coverage is designed to cover the cost of personal injuries caused by an uninsured motorist. It will also cover bodily injuries if you are the victim of a hit and run. Your uninsured policy does not, however, cover property damage.
Underinsured motorist coverage is much like uninsured coverage except that it kicks in when the at-fault driver is insured but has insufficient coverage to pay your medical bills and other losses stemming from the accident.
Consider this example: Suppose you are in an accident, and the other driver is at fault, but she has only the minimum coverage required in South Dakota. Your medical bills exceed $25,000. If you have $100,000/$300,000 in uninsured motorist coverage, your policy will cover any medical bills that surpass the other driver's limit ($25,000). In this example you would have coverage up to $100,000 ($25,000 from the other driver's coverage; and $75,000 from yours.
Important note: You cannot stack these coverages. So, in the example above, if your medical bills were more than $100,000, you could not add the other driver's $25,000 to your $100,000. For more information about UIM coverage, check out all the articles in our Uninsured and Underinsured Motorist Coverage section.
For more details on South Dakota's car insurance rules, read our article South Dakota Auto Insurance Laws and Regulations.