Best Life Insurance In South Dakota

When it comes to protecting your loved ones and securing their financial future, life insurance is an essential investment. However, with so many options available, it can be overwhelming to choose the right policy and provider. If you’re a resident of South Dakota, you’re in luck! In this blog post, we’ll be discussing the best life insurance companies in South Dakota that offer reliable coverage, competitive rates, and exceptional customer service. Whether you’re looking for term life insurance, whole life insurance, or any other type of policy, we’ve got you covered. So, let’s dive in and explore your options!

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South Dakota Life Insurance 101

Let’s start with the basics.

What Is Life Insurance?

Life insurance is a contract between an individual and an insurance company, where the individual pays regular premiums in exchange for a payout to their beneficiaries upon their death.Life insurance aims to provide financial protection and support to the insured’s loved ones after their passing. It can help cover funeral costs, pay off debts, and provide a source of income for the insured’s dependents.

Different Types of Life Insurance Policies

There are primarily two types of life insurance policies: term life insurance and permanent life insurance.
  1. Term Life Insurance: This policy covers the insured for a specific period or term. If the insured passes away during this term, their beneficiaries receive the death benefit. If the insured outlives the term, no benefit is paid out.
  2. Permanent Life Insurance: Unlike term insurance, permanent life insurance provides lifelong coverage. It also has a cash value component that can grow over time. There are several types of permanent life insurance, including whole life, universal life, and variable life insurance.

How Life Insurance Works

When you purchase a life insurance policy, you agree to pay a certain amount, known as a premium, to the insurance company. This premium can be paid monthly, quarterly, or annually. In return, the insurance company promises to pay a death benefit to your chosen beneficiaries upon your death. The death benefit amount and the premium you pay are determined by several factors, including age, health, lifestyle, and the type of policy you choose. For example, a term life insurance policy for a healthy 30-year-old will typically have lower premiums than a permanent one for the same individual. In the case of permanent life insurance, part of your premium goes towards the death benefit, while another part goes into a cash value component. This cash value can grow over time and be borrowed against or withdrawn during your lifetime under certain conditions.

Leading Causes of Death in South Dakota

Condition Deaths in 2021
Heart Diseases 2,311
Cancer 1,786
External Causes 858
Lung Diseases 750
Nervous System Diseases 682

Life Insurance Laws In South Dakota

South Dakota’s life insurance laws are governed by Title 58 of the South Dakota Codified Laws.

  • 10-day free look period (SD Codified Laws 58-15-8.1)
  • 30-day grace period (SD 58-15-13)
  • Insurers must pay interest on all death benefit claims not paid within 60 days of death or receipt of the claim, whichever is later (SD 58-15-26.1)
  • Guarantees up to $300,000 per individual (source)

Keep in mind that life insurance laws are very similar from state to state (for example, Tennessee’s life insurance laws and Texas’s life insurance laws are nearly identical to those of South Dakota).

Would you ever sneak out to avoid paying a dinner bill?

So why would you leave your family with a $10,000 final expense bill?

Top Life Insurance Companies In South Dakota

In South Dakota, the life insurance industry is thriving with a wide range of companies offering their services to residents. To gain a better understanding of the market, let’s take a closer look at the top 50 companies by 2022 premiums in the state.

At the top of the list is Prudential of America Group, with impressive 2022 South Dakota premiums totaling $277,179,915 and capturing 18.2% market share. Following closely behind is Investors Preferred Life Insurance Company, ranking second with $197,880,894 in premiums, accounting for 13% of the market. LIA Holdings Group takes the third spot, accumulating $110,446,397 in premiums, securing 7.3% market share.

Sammons Enterprises Group claims the fourth position, with $105,317,031 in premiums, capturing 6.9% market share. New York Life Group comes in fifth, generating $80,741,670 in premiums, accounting for 5.3% of the market. Northwestern Mutual Group secures the sixth spot with $79,110,020 in premiums, representing 5.2% of the market.

Pacific Life Group follows closely behind, in seventh place with $75,595,112 in premiums, capturing 5% of the market. Mass Mutual Life Insurance Group takes eighth place, accumulating $69,478,780 in premiums, claiming 4.6% market share. Thrivent Financial for Lutherans ranks ninth with $41,568,469 in premiums, accounting for 2.7% of the market. Lastly, John Hancock Group rounds out the top ten with $38,197,461 in premiums, securing 2.5% market share.

The rest of the top 50 companies have varying premiums and market shares, ranging from Zurich Insurance Group at $37,952,886 in premiums with 2.5% market share, to Group Insurance Holdings Group with $2,531,484 in premiums, capturing 0.2% market share.

These top 50 companies represent a diverse range of options for South Dakota residents seeking life insurance coverage. Each insurer offers unique features and benefits, and by examining these rankings, individuals can make informed decisions when selecting the best life insurance provider for their needs. It is essential to thoroughly assess the coverage, premiums, and reputation of each company to ensure peace of mind and financial security.

Rank Company 2022 South Dakota Premiums South Dakota Market Share %
1Prudential Of America Group$277,179,91518.2%
2Investors Preferred Life Insurance Company$197,880,89413.0%
3LIA Holdings Group$110,446,3977.3%
4Sammons Enterprises Group$105,317,0316.9%
5New York Life Group$80,741,6705.3%
6Northwestern Mutual Group$79,110,0205.2%
7Pacific Life Group$75,595,1125.0%
8Mass Mutual Life Insurance Group$69,478,7804.6%
9Thrivent Financial For Lutherans$41,568,4692.7%
10John Hancock Group$38,197,4612.5%
11Zurich Insurance Group$37,952,8862.5%
12Lincoln National Group$37,122,6722.4%
13Principal Financial Group$26,599,8881.8%
14State Farm Group$19,646,6661.3%
15Unum Group$14,286,1940.9%
16Metropolitan Group$13,968,2620.9%
17Penn Mutual Group$13,401,1680.9%
18Nationwide Corporation Group$12,734,4960.8%
19Mutual Of Omaha Group$11,758,5770.8%
20Crown Global Insurance Company Of America$11,501,7980.8%
21Modern Woodmen Of America$11,076,4070.7%
22Brighthouse Holdings Group$10,107,0630.7%
23Aegon US Holding Group$9,827,5560.7%
24American Family Insurance Group$9,767,4090.6%
25Homesteaders Life Company$9,639,8750.6%
26Equitable Holdings Group$9,521,6590.6%
27American International Group$9,497,5300.6%
28Dai‐Ichi Life Holdings Group$9,365,1100.6%
29Iowa Farm Bureau Group$8,920,2700.6%
30Minnesota Mutual Group$7,979,6720.5%
31Voya Financial Group$6,216,6390.4%
32Ameriprise Financial Group$6,015,6350.4%
33Knights Of Columbus$5,850,6580.4%
34Globe Life Group$5,757,3030.4%
35Genworth Financial Group$5,142,8630.3%
36Sumitomo Life Insurance Group$5,048,3740.3%
37Primerica Group$4,549,4310.3%
38Sun Life Assurance Company Of Canada Group$4,543,5100.3%
39Oneamerica Financial Partners Group$4,407,6820.3%
40Hopmeadow Holdings Group$4,384,1630.3%
41Guardian Life Group$3,942,1240.3%
42Kuvare Group$3,630,0050.2%
43United Heritage Mutual Group$3,513,8060.2%
44Banner Life Group$3,501,6180.2%
45American Enterprise Mutual Group$3,418,7250.2%
46Cuna Mutual Group$3,324,9960.2%
47GGC Group$3,000,7400.2%
48Hartford Fire Cas Group$2,804,2530.2%
49Meiji Yasuda Life Insurance Group$2,712,1130.2%
50Group Insurance Holdings Group$2,531,4840.2%