South Dakota's graduated licensing system includes an instructional permit, restricted minors permit and an unrestricted operator’s permit. You must be at least 14 years old, but less than 18, to obtain an instruction permit. This permit is valid for one year and must be held continuously for at least 180 day (only 90 days if you successfully pass an approved driver education course). Next you can upgrade to a restricted minors permit.

To acquire a restricted minors permit you must be at least 14 and pass the required tests and complete the requirements of the instruction permit plus have not been convicted of a traffic violation during the past 6 months. The permit is valid for 5 years and an individual up to age 18 may hold a restricted minors permit for this time period.

The final step is a full operator's license. You must be at least 16 and pass the required tests and if under age 18 must also complete the requirements of the instruction permit and not have been convicted of a traffic violation for 6 months.

As for car insurance, according to the South Dakota law state by the SD Division of Insurance, any person who licenses and/or operates a motor vehicle must show proof of financial responsibility (FR). FR is typically shown through obtaining an auto insurance policy having at least the state's minimum requirements.

Your parent’s insurance company needs to be notified of your licensing status. The insurance provider will then tell your parents if you will need to be added to the policy as a driver or if you are covered as the policy currently stands.

Normally you can be added to their South Dakota car insurance policy and do not need to have your own separate policy. If you obtain your own vehicle, then at that point you would need to find out if it could be added to your parent’s policy or if you would need to get your own policy