Home Insurance in Watertown, South Dakota
With a median home value of $229,400, Watertown is close to the Codington County median.
The typical home in Watertown was built around 1979. Older homes can cost more to insure or rebuild because of aging wiring, roofing and plumbing. About 31% of homes were built before 1960, in line with Codington County (31%).
Mobile and manufactured homes typically need a manufactured-home (HO-7) policy rather than a standard homeowners policy. The housing stock in Watertown is 72% single-family homes, 14% apartments in buildings with 5+ units and 7% mobile or manufactured homes.
In Watertown, about 60% of owner-occupied homes have a mortgage - lenders require hazard insurance on every mortgaged home.
The vacancy rate is 6%; vacant or unoccupied homes typically need a different coverage form than an owner-occupied policy. About 65% of occupied homes in Watertown are owner-occupied.
Most homes in Watertown - 61% - are primarily heated with natural gas.
What's the biggest home insurance risk near Watertown? FEMA's National Risk Index points to winter weather (Relatively High) in Codington County and Codington County had 288 active NFIP flood policies as of September 2026. See the full Codington County home insurance overview for all FEMA hazard ratings and flood coverage details.
According to the NAIC homeowners insurance report (2023 data), a standard HO-3 homeowners policy in South Dakota carries a statewide average premium of $1,614 per year.
Key figures
| Median home value | $229,400 |
|---|---|
| Median year built | 1979 |
| Owner-occupied share | 65% |
| Share of owner-occupied homes with a mortgage | 60% |
| Top county hazard | Winter Weather (Relatively High) |
| Active NFIP policies in Codington County | 288 |
| Home insurance premium | $1,614 - statewide average (NAIC, 2023 data) |
Nearby towns
Sources
Data last updated: 2026-09-29
- U.S. Census Bureau Gazetteer Files (2024)
- U.S. Census Bureau, American Community Survey 2020-2024 5-Year Estimates (2024)
- FEMA National Risk Index (December 2025)
- FEMA OpenFEMA NFIP Redacted Policies v3 (2026)
- NAIC Dwelling Fire, Homeowners Owner-Occupied, and Homeowners Tenant and Condominium/Cooperative Unit Owners Insurance: Data for 2023 (published 2026) (2023)