Auto insurance. South Dakota.

   South Dakota Law requires that any person who licenses and/or operates a motor vehicle must show proof of financial responsibility. Most people comply through the purchase of personal automobile insurance.
   There are minimum state requirements for auto insurance policies in South Dakota. South Dakota uses the Tort system, which means that a person has to be at fault if there is a car accident. That person and their auto insurance company are responsible for any damages that are the result of the accident. Under South Dakota state law there is a requirement for Bodily Injury Liability in the amount of $25,000 for every person injured in an accident and a total of $50,000 for each accident. There is also a minimum requirement of $25,000 for Property Damage Liability. This type of coverage is called 25/50/25 coverage.

How To Reduce Your Premiums

• Shop around. Auto insurance premiums can vary from company to company and from coverage to coverage. You may be surprised to learn that auto insurance premiums for the exact same coverage on the same car can vary widely between different insurers.
• Increase your deductible. When you file a claim, a deductible is the amount of money you pay before your insurance company kicks in. Higher deductibles mean lower premiums. For many people, raising the deductible on their auto insurance is a good way to cut the cost of the policy. If you do this, however, make sure you have the financial resources to handle the larger deductible when the time comes.
• Buy your homeowners and auto insurance from the same company. Many insurers will offer customers a discount for multiple policies.
• Drive more safely. You may be eligible for a price break on your policy if you maintain a clean driving record for a specified period (usually three years).
• Ask About Discounts. Many discounts may be available if you meet certain criteria. Here are some discounts you should ask about:
  
  
  • Multi-Vehicle Discount. If you insure more than one vehicle with the same insurance company you may be entitled to a multi-vehicle discount.
  • Good Student Discount. Students who can maintain good grades are perceived as better drivers and can get a Good Student Discount that can be as much as 5% or more of their premium.
  • Anti-Theft Discount.
  • Safe Vehicle Discount. ABS brakes, automatic seatbelts and side air bags can decrease the cost of your car insurance premium.
  • Low Mileage Discount.
  • Senior Discount. Many insurance companies offer discounts to drivers over 50.

    Many companies may have discounts that apply to you but which you would never think to ask about. Ask your agent to give you a list of all the discounts that your insurance company offers.

Uninsured and Underinsured Motorist Coverage

   Uninsured Motorist coverage is required for all policies in South Dakota. It pays you, resident members of your family, and occupants of your auto for personal injuries caused by an uninsured motorist or a hit and run driver. No coverage for damage to your vehicle is provided.
   Underinsured Motorist coverage is very similar to Uninsured, except that the coverage is for personal injuries caused by a motorist with inadequate insurance. If a motorist has 25/50 coverage, and you have 100/300 of underinsured motorist, your insurance will cover you once the medical costs exceed $25,000 (for one person) up to a maximum of $100,000 minus $25,000 of the other person's liability, $75,000 of your uninsured motorist coverage.