Cheapest Auto Insurance in Rapid City, South Dakota (2025)

Rapid City drivers pay an average of $122 per month for car insurance, slightly higher than the state average of $98. As the second most populated city in South Dakota, it’s not surprising that insurance premiums are a little higher.1 Also, Rapid City is only a 30-minute drive from Mount Rushmore, which attracts some additional tourist traffic to the area.

Population density and location are both factors that can influence the cost of car insurance. While Rapid City residents have to pay a little more than the state average, it’s still much less than the national average of $140. Regardless, you should always compare car insurance quotes from multiple insurers before buying a policy.

6 of the cheapest car insurance companies in Rapid City

A variety of factors affect the cost of car insurance, including age, gender, location, and even your credit history. Insurance companies vary in how they apply these factors to calculate your monthly premium. This is why it’s important to compare multiple car insurance companies before making a choice. The auto insurance company that’s right for you will depend on your insurance needs and budget.

Best insurer for affordability: Safeco

Best insurer for non-standard insurance: Dairyland

Best insurer for AAA members: AAA

How to get the cheapest car insurance in Rapid City

The price of car insurance can vary widely between auto insurance companies. Some of the factors used to calculate the cost of insurance include your age, gender, ZIP code, marital status, vehicle type, and driving record.

If you want to find the cheapest car insurance in Rapid City, South Dakota, consider the following tips:

• Compare multiple insurers. Since insurers offer different insurance products at different rates, comparing information from multiple insurers can help you find the lowest-cost car insurance.

• Keep a clean driving record. Generally, the cleaner your record, the cheaper your premium.

• Bundle insurance policies. Many insurers offer discounts if you bundle your car insurance with other policies, like home insurance.

• Look for other discounts. Many car insurance companies offer discounts that can help lower your monthly premiums. For instance, some insurers offer good student discounts for young drivers who maintain good grades in school.

Cheapest liability-only car insurance in Rapid City: Safeco

Nearly every state requires drivers to carry liability insurance coverage. Liability coverage includes bodily injury and property damage liability. If you cause an accident, bodily injury liability covers costs associated with the injury or death of the other driver. Property damage liability covers any damage you cause to another car or other types of property, such as a fence or building. Liability insurance doesn’t cover your medical expenses or damages to your vehicle. 

Safeco offers the cheapest liability-only policies in Rapid City, at $47 per month. The following table highlights cheap car insurance in Rapid City for liability-only coverage.

Cheapest full-coverage car insurance in Rapid City: Midvale Home & Auto

Full-coverage car insurance provides more protection for you. While liability coverage helps cover the costs of the other driver if you cause an accident, full coverage insurance helps protect your vehicle too. A full-coverage policy typically includes collision and comprehensive insurance.

Collision coverage provides reimbursement for damages to your vehicle if you get in a collision or hit a tree. Comprehensive coverage helps protect you against theft and damages from something other than an accident. For instance, it provides coverage if your car is destroyed in a fire.

Drivers can find the cheapest full-coverage insurance with Midvale Home & Auto, with rates of $118 per month. The table below lists the insurance companies with the cheapest full-coverage car insurance in Rapid City.

Car insurance requirements in South Dakota

Most auto liability insurance policies in South Dakota include three parts:

• Bodily injury liability: It covers the other driver’s medical expenses and lost wages if they sustain injuries in an accident that you cause.

• Property damage liability: This pays for damages that you cause to someone’s property. For instance, it pays if you hit another car or a fence.

• Uninsured motorist coverage: This covers you if you’re injured in a hit-and-run accident or in an accident with a driver who doesn’t have liability insurance. It’s kind of like buying liability insurance for yourself.4

The following table lists the minimum liability coverage required in South Dakota:

Drivers in the state of South Dakota can also purchase optional insurance, including:

Cheapest car insurance for drivers with an incident

Driving incidents include speeding tickets, driving under the influence (DUI) charges, and at-fault accidents. If you have serious incidents on your driving record, you can expect to pay more for insurance than someone with a clean record. Incidents on your driving record signal to insurers that you’re a higher risk.

Average cost of car insurance by age

Teenage drivers pay some of the highest car insurance rates due to their increased risk for accidents and other incidents. Crash rates for teen drivers are nearly four times the rates for drivers 20 years and older per mile driven.5

Costs tend to decrease around age 35 and stay consistent until around age 70. As drivers reach age 70 and older, common health conditions can start to influence their driving skills.6 The following table provides average monthly quotes for drivers in different age categories.

Rapid City car insurance quotes by credit tier

In the state of South Dakota, car insurers are allowed to consider your credit history when determining the cost of your premiums. Having excellent or good credit can help drivers get lower premiums than drivers with poor credit. The table below lists the average car insurance quotes by credit tier for Rapid City, South Dakota.

Rapid City car insurance FAQs