How Much Is Flood Insurance in South Dakota? Average Flood Insurance Cost and Coverage

Flood insurance costs in South Dakota will vary based on county and property risk factors, such as home structure, elevation, frequency of flooding, and replacement and repair costs.

Homeowners and renters insurance policies typically do not cover flood damage. Your area’s potential for flooding can be assessed by consulting a flood map.

Even if your area is at low risk for flooding in South Dakota, purchasing flood insurance can save you from exorbitantly high repair costs in case of damage. The Federal Emergency Management Agency (FEMA) estimates that damage from just one inch of water can total up to $25,000.

TABLE OF CONTENTS

• Cost of Flood Insurance in South Dakota
• Flood Insurance Companies in South Dakota
• Flood Insurance Coverage
• Flood Insurance Cost Factors in South Dakota
• Do You Need Flood Insurance?
• South Dakota Flood Insurance FAQs

The average annual premium for flood insurance in South Dakota is $1,136. However, premiums could vary significantly based on the home's proximity to a flood zone and its individual risks. As a result, people who reside in areas that are more likely to flood often pay higher rates.

Flood insurance in South Dakota is roughly $369 costlier than the national average. That could be due to the state having more high-risk flood zones than other states.

The average annual premium in Marshall County is the lowest in South Dakota at $316, while those in Douglas County pay the highest at around $2,317. The average annual premium for flood insurance in each county of South Dakota is below.

Both the National Flood Insurance Program (NFIP) and private insurance companies offer flood insurance to residents of South Dakota. From private insurers, you can either get a base policy (equivalent to NFIP coverage) or an excess policy (supplemental coverage for a base policy).

Households not adequately covered by an NFIP policy or those living outside an NFIP community may find a private provider the best option.

Additionally, the NFIP has affiliated insurance providers in South Dakota that provide flood insurance. For your convenience, MoneyGeek has prepared a list below of insurance firms that participate in the NFIP, along with their respective phone numbers.

Flood insurance is easy to purchase, as there are no requirements. You can initiate getting a policy by calling the NFIP toll-free hotline (877-336-2627), your local independent insurance agent or a private company.

Considering the National Flood Insurance Program's 30-day waiting period, MoneyGeek recommends purchasing flood insurance as soon as possible. Also, many private insurers in South Dakota require a waiting period of at least 10 days for a policy to be effective. Verify this by contacting your insurance provider.

One inch of floodwater may cause $25,000 in property damage. Flood insurance protects your home's structure and contents, repairing or replacing them.

Flood insurance covers personal property and building structural damage. It excludes damages to vehicles, cash and documents, swimming pools, landscaping, decks, patios and goods in the basement. You can protect your car by having comprehensive insurance.

Flood insurance building coverage provides home structural repairs and replacements for damages caused by a covered peril. You can get up to $250,000 of building coverage with the NFIP.

The following are examples of what flood insurance can cover:

• Foundation walls
• Electrical systems
• Plumbing systems
• Furnaces, central heating and air conditioning
• Built-in appliances
• Permanent carpets
• Built-in furniture

The contents coverage part of flood insurance pays for the repair or replacement of personal goods. The typical maximum for contents coverage under an NFIP policy is $100,000.

Some of the personal things frequently covered by flood insurance are:

• Clothing
• Furniture
• Electronic equipment
• Washers and dryers
• Artwork

Until October 2021, the cost of flood insurance was decided by a home's placement on a flood map. FEMA has an interactive tool that displays the historical flood risk of South Dakota counties and flood-related expenses.

Since 1996, Jerauld County has experienced 15 floods, the second-lowest of the South Dakota counties, while Brown County has had the most floods (138). The average annual premium in these counties is $592 and $1,314, respectively.

Brown County has seen the most floods, but its flooding may affect a wider region, making its rate not the highest in the state.

A new risk rating system (Risk Rating 2.0), introduced by FEMA in October 2021, evaluates specific property risks, like the following:

• Foundation type
• Dwelling structure
• Elevation
• Replacement and repair costs
• Frequency of flooding
• Proximity to water bodies

Risk Rating 2.0 promises to quote fair flood insurance premiums. However, your location still has a substantial effect on your premium. Below, MoneyGeek explains a few of the variables affecting flood insurance costs in South Dakota.

Most homeowners and renters insurance policies do not include flood coverage. Even for individuals who reside in low- or moderate-risk locations, buying flood insurance is a good investment because flooding can occur anywhere. And homeowners in high-risk flood zones with government-funded mortgages are expected to get flood insurance.

Flood insurance offers several benefits. If your home floods, even without a presidential disaster declaration, insurers are obliged to pay your claim. The normal household cap for federal disaster aid is $5,000. Costs from flood damage frequently exceed that ceiling.

Overall, flood insurance provides security against financial loss and keeps you mentally at ease.

The details of flood insurance might be a lot to process. To help you, MoneyGeek has provided answers to the most frequently asked questions about flood insurance in South Dakota.