When writing about auto insurance, the word cheap should never be used anywhere in the article. Please forgive the oxymoron, but cheap car insurance for drivers with a bad driving record just does not exist. Don’t let that get you down, though, because we will teach you how you can still find auto insurance that you can afford.
For bad drivers, one of the more important things that is used by auto insurance companies to calculate rate quotes is where you keep your vehicle. Cities with larger populations like Pine Ridge, Spearfish, and Hot Springs tend to have more expensive auto insurance rates, whereas areas with fewer weather claims and lower vehicle theft rates profit from lower rates.
The illustration below ranks the highest-priced places in South Dakota for drivers with a bad driving record to buy car insurance in.
Rank | City | Annual Premium |
---|---|---|
1 | Pine Ridge | $1,401 |
2 | Lead | $1,273 |
3 | Spearfish | $1,238 |
4 | Sturgis | $1,237 |
5 | Hot Springs | $1,228 |
6 | Belle Fourche | $1,226 |
7 | Rapid Valley | $1,211 |
8 | Mobridge | $1,191 |
9 | Box Elder | $1,157 |
10 | Rapid City | $1,157 |
11 | Yankton | $1,120 |
12 | Pierre | $1,111 |
13 | Milbank | $1,097 |
14 | Mitchell | $1,068 |
15 | Dell Rapids | $1,053 |
16 | Aberdeen | $1,053 |
17 | Madison | $1,043 |
18 | Huron | $1,040 |
19 | Harrisburg | $1,023 |
20 | Tea | $1,023 |
21 | Vermillion | $1,020 |
22 | Sioux Falls | $1,015 |
23 | Watertown | $1,005 |
24 | Brandon | $1,004 |
25 | Brookings | $1,001 |
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Table data uses estimated as the specific geographic location can decrease or increase prices greatly.
The vehicle that needs insurance is a significant factor when comparing the best cheap coverage for drivers with a bad driving record. Vehicles with reasonable performance levels, advanced safety features, or a track record of few liability claims will cost much less to insure than adrenaline junky models. The lists below shows auto insurance premiums for some of the cheapest automobiles to insure.
Make, Model, and Trim Level | Annual Cost | Semi-Annual Cost | Monthly Cost |
---|---|---|---|
Chevrolet Malibu LT | $3,190 | $1,595 | $266 |
Ford Focus SE 2-Dr Coupe | $3,572 | $1,786 | $298 |
Honda Accord EX 4-Dr Sedan | $2,660 | $1,330 | $222 |
Honda Civic EX 4-Dr Sedan | $3,284 | $1,642 | $274 |
Hyundai Elantra Blue 4-Dr Sedan | $3,284 | $1,642 | $274 |
Kia Optima LX | $3,404 | $1,702 | $284 |
Toyota Camry XLE | $3,322 | $1,661 | $277 |
Toyota Corolla LE | $3,322 | $1,661 | $277 |
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Table data represents married female driver age 40, two speeding tickets, two at-fault accidents, $500 deductibles, and South Dakota minimum liability limits. Discounts applied include multi-vehicle, multi-policy, and homeowner. Rate quotes do not factor in your specific South Dakota location which can decrease or increase insurance rates noticeably.
Make, Model, and Trim Level | Annual Cost | Semi-Annual Cost | Monthly Cost |
---|---|---|---|
Acura RDX 2WD | $2,866 | $1,433 | $239 |
BMW X5 3.5D AWD | $3,600 | $1,800 | $300 |
Buick Enclave CX 2WD | $3,358 | $1,679 | $280 |
Chevrolet Traverse LTZ AWD | $2,902 | $1,451 | $242 |
Ford Escape XLS 2WD | $2,660 | $1,330 | $222 |
Ford Explorer XLT 2WD | $2,986 | $1,493 | $249 |
GMC Acadia SL 2WD | $2,948 | $1,474 | $246 |
Honda CR-V LX 2WD | $2,660 | $1,330 | $222 |
Honda Fit | $2,460 | $1,230 | $205 |
Honda Pilot Touring 2WD | $3,190 | $1,595 | $266 |
Jeep Grand Cherokee Laredo 4WD | $3,154 | $1,577 | $263 |
Kia Sportage LX 2WD 4-Dr | $2,948 | $1,474 | $246 |
Subaru Forester XT AWD | $3,108 | $1,554 | $259 |
Toyota Highlander Sport 2WD | $3,190 | $1,595 | $266 |
Toyota RAV4 Limited 4WD | $3,154 | $1,577 | $263 |
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Above prices assume married female driver age 40, two speeding tickets, two at-fault accidents, $500 deductibles, and South Dakota minimum liability limits. Discounts applied include multi-policy, homeowner, and multi-vehicle. Table data does not factor in vehicle garaging location which can change coverage rates considerably.
Make, Model, and Trim Level | Annual Cost | Semi-Annual Cost | Monthly Cost |
---|---|---|---|
Chevrolet Colorado LT Extended Cab 4WD | $2,660 | $1,330 | $222 |
Chevrolet Silverado LT Regular Cab 2WD | $3,404 | $1,702 | $284 |
Dodge Ram 3500 Crew Cab Laramie 2WD | $3,190 | $1,595 | $266 |
Dodge Ram Quad Cab ST 2WD | $3,236 | $1,618 | $270 |
Ford F-150 STX Super Cab 4WD | $3,022 | $1,511 | $252 |
Ford F-250 XL Turbo Diesel 4WD | $3,878 | $1,939 | $323 |
Ford F-350 Super Cab Harley Turbo Diesel 2WD | $3,600 | $1,800 | $300 |
GMC Sierra SL Extended Cab 2WD | $3,154 | $1,577 | $263 |
Toyota Tacoma Double Cab 4WD | $3,154 | $1,577 | $263 |
Toyota Tundra SR/5 Crew Max 2WD | $3,404 | $1,702 | $284 |
Get a Custom Quote for Your Truck Go |
Data variables include married female driver age 40, two speeding tickets, two at-fault accidents, $500 deductibles, and South Dakota minimum liability limits. Discounts applied include multi-vehicle, homeowner, and multi-policy. Rate quotes do not factor in vehicle garaging location which can impact coverage prices substantially.
Insuring your vehicle with a good quality insurance company can be a challenge considering how many different companies insure vehicles in South Dakota. The rank data listed below can help you analyze which auto insurance companies you want to consider when insurance shopping for drivers with a bad driving record. These ratings are for the largest companies in America, so companies that only write business in South Dakota or surrounding areas will not be included in these rankings.
Company | Value | Customer Service | Claims | Customer Satisfaction | A.M Best Rating | Overall Score |
---|---|---|---|---|---|---|
USAA | 99 | 100 | 90 | 92% | A++ | 97.4 |
21st Century | 89 | 86 | 100 | 88% | A | 92.7 |
GEICO | 97 | 91 | 88 | 85% | A++ | 92.5 |
Nationwide | 88 | 94 | 91 | 88% | A+ | 91.3 |
AAA Insurance | 93 | 87 | 88 | 87% | A | 90.8 |
Liberty Mutual | 91 | 91 | 92 | 87% | A | 90.7 |
State Farm | 91 | 94 | 80 | 88% | A++ | 90.2 |
Safeco Insurance | 90 | 93 | 88 | 86% | A | 90.2 |
American Family | 88 | 92 | 83 | 88% | A | 89.4 |
Allstate | 90 | 90 | 84 | 85% | A+ | 89.1 |
Progressive | 83 | 85 | 99 | 87% | A+ | 88.7 |
The Hartford | 87 | 89 | 84 | 87% | A+ | 88 |
Esurance | 84 | 88 | 85 | 83% | A+ | 86 |
Farmers Insurance | 79 | 88 | 84 | 87% | A | 84.7 |
The General | 88 | 80 | 85 | 80% | A- | 84.5 |
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Data Source: Insure.com Best Car Insurance Companies
Finding the best cheap auto insurance for drivers with a bad driving record in South Dakota is probably important to the majority of people, and one great way to reduce the cost of insurance is to only pay for liability coverage. The example below illustrates the difference between annual premium costs with full physical damage coverage compared to only buying liability only. The data assumes no violations or claims, $500 deductibles, single marital status, and no other discounts are factored in.
google.charts.setOnLoadCallback(drawFclqcibChart);function drawFclqcibChart() {var data = google.visualization.arrayToDataTable([[‘Age of Insured’, ‘Full Coverage with $500 Deductibles’, ‘Liability Only’],[‘Age 20’, 3221,1183],[‘Age 30’, 1683,651],[‘Age 40’, 1655,603],[‘Age 50’, 1507,565],[‘Age 60’, 1461,555],[‘Age 70’, 1795,741]]);var options = {title: ‘Savings of Only Insuring for Liability’,titleTextStyle: {color: ‘#333’,fontSize: 17,bold: true},width: ‘100%’,height: 500,’chartArea’: {left:100,top:50,’width’: ‘100%’, ‘height’: ‘70%’},legend: {position: ‘bottom’},colors: [‘#6791b9′,’#98bee2’],hAxis: {title: ‘Annual Auto Insurance Cost for Average Vehicle in South Dakota’,minValue: 0,format: ‘$###,###’},vAxis: {title: ‘Age of Insured’}};var formatter = new google.visualization.NumberFormat({fractionDigits: 0,prefix: ‘$’});formatter.format(data,1);formatter.format(data,2);var chart = new google.visualization.BarChart(document.getElementById(‘qcibfcl’));chart.draw(data, options);}
If averaged for all ages, physical damage insurance costs $1,887 per year over liability only. That is a big expense that brings up the question if buying full coverage is a waste of money. There isn’t a written rule for eliminating physical damage coverage, but there is a general guideline. If the yearly cost of full coverage is 10% or more of the settlement you would receive from your company, then it’s probably a good time to buy liability coverage only.
For example, let’s assume your vehicle’s settlement value is $8,000 and you have $1,000 deductibles. If your vehicle is totaled, the most your company would pay you is $7,000 after you pay the deductible. If you are paying more than $700 annually for your policy with full coverage, then it may be the right time to buy liability only.
There are some situations where only buying liability is not financially feasible. If you still have a loan on your vehicle, you have to keep full coverage in order to prevent your loan from defaulting. Also, if your emergency fund is not enough to purchase a different vehicle if your current one is damaged, you should not remove full coverage.
Thanks to the internet, there are a lot of ways to purchase insurance in South Dakota, but the most popular are from a captive (or exclusive) agent like Auto-Owners or State Farm, a non-exclusive or independent agent, or direct either online or via phone. You can use whichever method you prefer, but it’s important to understand the differences in how they work.
Independent agents work for many companies and can do rate comparisons with each one. Agents of this type are not restricted to one company and can compare multiple rates, which may give you a better chance of saving money. If they quote lower rates, they can switch companies in-house without you having to go to a different agency.
A captive, or exclusive, agent is only able to write business for just one company, two of the more popular are a State Farm or Allstate agent. These agents usually cannot quote rates from more than one company, which requires you to shop around.
Consumers who buy insurance direct skip a local insurance agent and instead buy direct from companies such as Esurance or Geico. This option is a good choice for consumers who have little risk and have some degree of understanding of how insurance works.
Out of those three methods, which one works best to find the best cheap auto insurance for drivers with a bad driving record in South Dakota? The quick answer would be buying from a direct car insurance company results in the cheapest price because you bypass the agent, but unfortunately, it’s not that cut and dried. We’d also like to say going through an independent agent is the best way to go since they have access to many companies, but again, that’s not a true statement. In the right set of circumstances, exclusive agencies have price quotes that other companies cannot beat.
Since insurance companies use so many rating factors, the best method to find out which one is cheapest is to get rate quotes and compare. Set aside the time to get quotes from all three types in order to be able to find the lowest price. For a list of insurance companies with low rates, click here to view.
Here are many thrifty solutions that can help drivers locate lower-cost auto insurance.
That final tip is particularly valuable, as we pointed out in this piece. Insurance prices can be modified anytime, so don’t be hesitant to switch carriers if a better deal can be had. Many drivers tend to have loyalty to a certain company, but it isn’t a good idea if that faithfulness ends up costing you a considerable chunk of change every month. Now is a great time to compare prices and find cheaper car insurance for drivers with a bad driving record.