Who Has Cheap Car Insurance for 17 Year Olds in South Dakota?

Establishing which insurers offer the most affordable car insurance rates for 17 year olds calls for a tad more effort than just comparing rates from one or two companies. Every auto insurer has a proprietary method for establishing rates, so we need to take a look at the car insurance companies that tend to be cheaper in South Dakota.

It’s a good idea to know that South Dakota car insurance rates are impacted by many factors that control the cost of having a policy. Improving your credit score, buying a home, or getting a reckless driving citation may prompt premium changes that can make some companies cheaper than competitors.

Cheapest Insurance Rates for Teens

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USAA may have some of the cheapest car insurance rates in South Dakota at around $638 annually. Auto-Owners, State Farm, Farmers Mutual of Nebraska, and Unitrin also are some of the cheapest South Dakota insurance companies.

As shown in the rates above, if you buy coverage from State Farm and switched to USAA, you might see savings of in the neighborhood of $359. Policyholders with Farmers Mutual of Nebraska could save as much as $388 a year, and Unitrin customers might reduce rates by $395 a year.

Remember that these estimates are averages for all insureds and vehicles and are not factoring in a rate increase for 17 year olds. So the company that can offer you the best rate may not even be in the list of companies shown earlier. That’s why you need to compare as many prices as possible using your own driver information and specific vehicle type.

For teen drivers, one of the more important components that play a part in determining the policy price is where you live in South Dakota. Cities that have higher claim levels or more people like Pine Ridge, Spearfish, and Lead tend to pay more, whereas areas with less crime or weather claims benefit from having to pay less for coverage.

The following table displays the higher priced cities in South Dakota for 17 year olds to purchase auto insurance in.

Prices are comparative as the specific area where the vehicle is garaged can revise premium rates significantly.

Cost of full coverage

Finding cheap auto insurance for 17 year olds in South Dakota is important to the majority of people, and one of the best ways to reduce the cost of insurance is to not insure for full coverage. The diagram below shows the comparison of insurance costs when comparing full coverage to liability only. The premium estimates are based on no claims or driving violations, $250 deductibles, single status, and no discounts are applied to the premium.

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If we average the cost for ages 20 through 70, comprehensive and collision coverage on your policy costs $2,073 per year over and above liability only. That is a large expense which might make you wonder if physical damage coverage is worth the money. There is no set rule to drop comprehensive and collision coverage on your policy, but there is a general guideline. If the annual cost of your full coverage insurance is 10% or more of the vehicle’s replacement cost less your deductible, then it might be time to consider dropping full coverage.

There are some circumstances where dropping physical damage coverage is not financially feasible. If you still owe money on your vehicle, you are required to maintain full coverage in order to prevent the bank from purchasing higher-priced coverage. Also, if you can’t afford to buy a different vehicle in the even your car is totaled, you should not consider dropping full coverage.

Ratings for South Dakota car insurance companies

Insuring your vehicle with the right auto insurance company is difficult considering how many choices drivers have in South Dakota. The information in the next section could help you select which providers to look at when trying find the best insurance for 17 year olds. These rankings are only made up of the largest auto insurers in America, so companies that may only write in South Dakota will not be included in these rankings.

Top 10 Major Auto Insurance Providers in South Dakota Ranked by Claims Service

1. Progressive
2. Liberty Mutual
3. Nationwide
4. USAA
5. GEICO
6. AAA Insurance
7. Safeco Insurance
8. Esurance
9. The General
10. The Hartford

Tips for finding budget-friendly insurance for 17 year olds

It is possible to find better rates, and here are some of the better penny-pinching solutions that can help drivers quote more affordable coverage.

• Try to remain claim-free
• Do not insure for full coverage
• Vehicles with safetly features generally cost less to insure
• Home or renters coverage can save on auto insurance
• Do not get into accidents
• Do not get traffic tickets
• Compare rates regularly and switch companies to save money

The last tip is particularly valuable, as we pointed out in the article above. Auto insurance rates go up and down frequently, so don’t be hesitant to buy from a different company if a more affordable price is available.

Many drivers tend to have loyalty to a certain company, but it’s not recommended if that devotedness results in you overpaying hundreds of dollars year after year. In less than five minutes you could compare prices to find cheaper insurance for 17 year olds.

Who has the cheapest insurance quotes for teen drivers?

Drivers have a lot of ways to compare car insurance quotes in South Dakota, but the most popular are through an independent agent, an exlusive agent such as State Farm or Liberty Mutual, or from a direct company like Geico. They all follow the same basic process, but it’s important to point out the distinctions in how they provide rate quotes.

Independent agents have contracts with many companies and can do rate comparisons with each one. Independent agents have the option to provide you with more rates, which may give you a better overall rate comparison. If your premiums go up, your policy can be easily switched to a new company and you do not have to find a new agent.

An exlusive, or captive, agency is only able to quote rates from a single insurance company, two popular examples being a State Farm or Liberty Mutual agent. Exclusive agents normally do not have the ability to quote prices from more than just one company, so keep that in mind.

Buying car insurance direct means you forego the middleman (the agent) and instead shop direct online or over the phone from a company like Progressive or Esurance. This option may be the best choice people who have limited assets and understand what car insurance covers and what it doesn’t.

So which of the methods works best for finding cheap auto insurance for 17 year olds in South Dakota? The obvious answer would be buying from a direct company saves the most money because you bypass the agent, but unfortunately, that is not always true. A valid argument could also be made that an independent agency results in the cheapest rates since they can quote with many companies, but again, it’s not a sure thing. In many cases, exclusive agents have price quotes that cannot be beaten by either independent or direct companies.

Because there is so much variation in car insurance prices, the guaranteed way to get rock-bottom rates is to get rate quotes and compare. Take some time and get rate quotes from independent agents, exclusive agents, and direct companies to get a good idea who is cheapest. For a list of companies offering online discounts, click here to view.