Car Insurance in South Dakota

Car Insurance in South Dakota: Finding cheap South Dakota car insurance is easy task if one has just the right amount of know how and determination.

The automobile insurance industry in the United States can be confusing if a person does not know the insights about it. In the last couple of years the country has seen an increase in automobiles on the roads and with it have come more accidents. As the rural areas of America are continuing to become industrialized and the percent of car thefts in large cities has increased slightly, one might think that the average South Dakota auto insurance rate is on the rise.

Car Insurance in South Dakota

This fortunately for every South Dakota out there that drives a motor vehicle, is not reality. With the increase in the demand for automobile insurance, companies have begun collecting more money and have tried to expand to offering many more services. Other companies are just being created to fulfill the needs of the American people and are looking for customers to join their ranks. While premiums rise over time if for no other reason than inflation there are a number of different discounts and other things that SC residents can take advantage of to find a low cost SD auto insurance policy.

Increasing price competition among insurance companies is a common trend in the whole United States and also in the state of South Dakota. This state is not a very populated one housing approximately 781,919 residents, according to the United States Census Bureau. With the number of residents not even reaching a million a person might think that the state’s insurance requirements are not that high. However, the truth is that South Dakota is one of the states with the highest minimum coverage required in the whole United States.

The state mandates what they call a 25/50/25 that consists of $25,000 in bodily injury to cover a single person after an accident and a limit of $50,000 in bodily injury for everyone involved in the accident. The third number represents the 25,000 that is required to all South Dakotans for Property Damage Liability. This is the coverage that all motorists within the state need to have in order to get behind the wheel of a vehicle legally.

The state is not one of the famous “no fault” states and for that reason residents do not need to have the Personal Injury Protection coverage (also known as PIP). This coverage is mandated for “no Fault” states because it covers “reasonable and necessary” medical expenses for yourself and the passengers in your vehicle at the time of the accidents. Although the coverage is not mandated by South Dakota law, most insurance companies give the coverage as an optional one and it does not increase the premium as much as other types of coverage.

Car Insurance in South Dakota

As mentioned before South Dakota is not a very populated state and it does not have huge cities like New York or Michigan, in which car thefts are very common and accidents are an everyday thing. On the contrary, this Northern State of the United States is mostly comprised of rural areas. For this reason people residing in this state have the ability to get lower rates than many others.

This is a perfect example showing that state minimum requirements are not necessary the things used to get the rate of your policy. Even with one of the highest state requirements, South Dakota residents paid only an average premium of $728 in the year 2003; in comparison to $914, which was the average for the whole country. With almost $200 less than the average premium the residents of this state can see that getting low cost car insurance is not a hard thing to do.

South Dakota and its residents can save even more money by actively working with their agent to shop around and find low cost auto insurance rates. If they have older cars and enough money save to replace or fix their vehicles after an accident, they should try to stick with the state requirements. This means they should avoid collision and comprehensive coverage because it only raises the premium even more. For those people that are leasing or still paying money for their vehicles, this is not an option. They must carry both collision and comprehensive so they can pay the bank or dealership or replace a vehicle after an accident.

If you reside in South Dakota and are also looking for ways to lower your automobile insurance rates, then attempt to find discount opportunities. Most insurance companies offer amazing discounts that can save just about everyone some money. It is important to mention however, that the discounts vary from state to state and that not every single insurance company offers the same ones. For this reason it is important for a customer to ask their insurance agents or to try and search online for discounts that they can be eligible for.

Nevertheless, some of the most important car insurance discounts in South Dakota are as follows: 1) Good Driver Discount that allows a person that has had a clean record (no accidents or traffic tickets) in the last three years to save some money, 2) Safety Feature Discount that makes any person with air bags, automatic seat belts, anti-lock brakes and wheel locks to save some money, and 3) the Low Mileage Discount that allows a person that drives very little to save considerable amounts of money.

As you can see living in the state of South Dakota can be a good thing when it comes to automobile insurance. Although the temperature does get a little chilly in the winter, your body heat will go up out of sheer joy when you see your auto insurance monthly bill with your premium on it. Discount opportunities and low cost policies can definitely be found in this state, so go out there and look around because low cost South Dakota car insurance is definitely within reach! Get started finding cheap auto insurance today!

Article Source: http://EzineArticles.com/expert/James_J._Robinson/225659

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