Car Insurance Done the SMARTWAY™

Car insurance rates in the beautiful Midwestern state of Indiana are a bit below the U.S. average, but that doesn’t mean they can’t put a strain on a monthly budget. Plus, rates vary significantly from driver to driver. Factors used to calculate auto insurance premiums include gender, age, marital status, car use, policy limits, deductibles, claims history, driving history, location, type of car, and credit scores.

Shopping around to compare quotes is one of the most effective ways to minimize your premium payments, especially without sacrificing comprehensive enough coverage. SmartFinancial instantly analyzes various factors to hone in on the best coverage and rates for your needs, all in an objective, carrier-neutral way.

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Indiana Auto Insurance Rates

The many options for car insurance providers can make the selection process seem overwhelming. The best companies to start your search with actually differ by state. Here are the top three for Indiana (see the full list).

  1. Auto-Owners Insurance
  2. COUNTRY Financial
  3. The Hartford

When comparing rates from multiple carriers, make sure the quotes are based on the same factors and discounts. Also, keep in mind that the cheapest policy isn’t necessarily the best policy.

Choose your city below to find the most affordable coverage in your region. If your hometown isn’t there, don’t worry; click here to compare rates now.

 

Legalities 101

While none of us are big fans of monthly bills, auto insurance isn’t just another expense. It’s there for your financial protection, and you’ll definitely be grateful for it should you have the misfortune of ending up in an accident. Coverage ensures you’re not left to fend for yourself if your vehicle needs repairs, you miss work, or you need medical treatment. Remember, no matter how safe and responsible a driver you are, the actions of other drivers are beyond your control.

Indiana Driving Safety

While traffic fatality rates have decreased in Indiana over the last 10 years, the numbers are still much too high. And while a significantly higher percentage of traffic accidents occur in urban areas, most fatalities occur in rural areas of the state, likely due to higher speeds and longer travel times for emergency care providers. Speeding, alcohol use while driving, and improper use of restraint devices also contribute to Indiana’s high number of traffic accidents and fatalities.

Let’s look at some Indiana safety statistics below.

Indiana Driving Safety Stats

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205,532
Indiana traffic collisions 2014
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829
Traffic fatalities in 2015
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41,776
Average cost of collisions involving an alcohol-impaired driver

Driving Green

Indiana features classic Midwest American landscapes, and farming is crucial to the state economy, so protecting the environment is on a lot of people’s minds there. The state itself has become more proactive in recent years as going green has become increasingly important, particularly in places like Indiana where manufacturing is such a predominant industry.

Drivers in the state who are interested in adopting more eco-friendly driving practices can enjoy financial rewards for doing so. Some incentives offered to green-minded drivers in Indiana include:

  • Emissions Test Exemptions for Fuel-Efficient Vehicles

    In the state of Indiana, drivers of certain fuel-efficient vehicles are not required to undergo emissions testing. These vehicles include electric vehicles, diesel-powered vehicles, and newer vehicles. However, the Indiana Bureau of Motor Vehicles only requires tests in Porter and Lake Counties.

  • Insurance Discounts and Tax Incentives

    Green drivers in Indiana may qualify for insurance discounts on hybrid cars, alternative fuel vehicles (AFVs), and economy cars. Additionally, motorists may be eligible for various tax breaks and credits at the state and federal level, although most of these apply to businesses. Federal tax incentives for vehicle owners apply to hybrids, plug-in hybrids, AFVs, electric cars, and biodiesel vehicles.

  • Alternative Fuel Vehicle Rebates and Grants

    State residents can apply for state and private rebates, such as the E85 Fuel Use Incentive for Flexible Fuel Vehicles. This state rebate offers monthly payments to political subdivisions purchasing E85 fuel for flexible fuel vehicles. Another rebate, the Citizens Energy Group Rebate for Natural Gas Vehicles, is offered by Citizens Energy Group and applies to the purchase of or conversion to certain compressed natural gas vehicles or bi-fuel CNG cars. A variety of Clean Transportation Grants are also available.

Car Insurance Laws

Being a Minimalist

Indiana law requires that drivers carry at least $25,000 per person of bodily injury liability, $50,000 per accident of bodily injury liability, and $10,000 per accident of property damage liability.

Indiana is a tort state when it comes to auto accidents. This means the insurance company of the driver found at fault in an accident must pay damages to everyone injured in the accident.

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$ 25,000
Bodily injury coverage per person

Maximum payment for serious or permanent injury or death to a single person

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$ 50,000
Bodily injury coverage per accident

Maximum payment for serious or permanent injury or death to multiple people

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$ 10,000
Property damage per accident

Maximum payment for all damaged property in an accident caused by you

Maximizing Your Return on Investment

Although laws in Indiana do not require drivers to carry comprehensive and collision insurance, most lenders insist on this level of financial protection when financing a vehicle. The cost of this extra insurance should be factored into your overall monthly payments when considering an auto loan.

Optional coverage in Indiana

  • Comprehensive
  • Collision
  • Rental Reimbursement
  • Loan/Lease Gap Coverage
  • Medical Payments Coverage
  • Emergency Roadside Service
  • Customized Parts and Equipment
  • Uninsured Motorist
  • Travel Expenses

Because the minimum amount of required coverage may not fully cover your bills if you’re involved in an accident, consider adding optional coverages to your policy. Below is a list of possibilities, though some exclusions will apply.

Think you could do better on your coverages or your premiums? Check out our blog post 20 Reasons to Get a New Auto Insurance Quote.

Indiana car insurance companies

Auto-Owners Insurance
COUNTRY Financial
The Hartford
State Farm
Erie Insurance
American Family
Grange Insurance
Farmers
Nationwide
Allstate
Liberty Mutual
ACG (AAA)
GEICO
Progressive
The Hanover
Metlife
Safeco
Esurance

*The above list is based on consumer ratings for the North Central Region in the J.D. Power 2016 U.S. Auto Insurance Study. Ratings are derived from five key service areas: interaction, price, policy offerings, claims, and billing. USAA is a military-only insurance option and is therefore not including in the rankings.

Car Safety for Indiana Kids

Indiana Car Seat Regulations

Child passenger safety laws in Indiana require that all kids less than 8 years old be properly restrained in an approved child restraint system. This can include a car seat or belt-positioning booster seat.

Children under 12 months should always ride in a rear-facing child safety seat, and they should remain rear facing until they reach the top weight and height requirements allowed for their car seat. After this time, and up until the age of 3 years, they should ride in a forward-facing seat with a harness.

A booster seat in the back seat is appropriate for most children ages 4 through 7 years. Children 8 and older should continue to ride in a booster seat until they are tall enough to fit properly in a standard seat belt. For a seat belt to fit correctly, the lap belt should lie snugly across the upper thighs, never the stomach, and the shoulder belt should cross the shoulder and chest, not the face or neck.

Children should remain in the back seat through the age of 12 years to reduce the risk of injuries associated with accidents and airbag deployment. For more information on Indiana’s car seat laws, visit the Indiana Criminal Justice Institute online.

Leaving Children Unattended in a Vehicle

Temperatures inside a parked vehicle can rise rapidly, putting unattended children at risk of injury, brain damage, and death. Never leave a child (or pet) unattended in a car, even if the windows are cracked or even if it’s cool outside.

If you see an unattended child, Indiana urges you to call 911 immediately. It is not your responsibility to determine whether the child is in danger. Emergency professionals are trained to do so and to act accordingly.

Car Insurance FAQ

Is my credit score a factor when obtaining car insurance in Indiana?

Yes. In fact, according to WalletHub, premiums in Indiana fluctuate more than nearly every other location in the country based on a driver’s credit score.

Does Indiana offer a good-driver discount?

Indiana insurance companies reward good drivers with lower insurance rates. This discount is generally reserved for motorists who have had no moving violations or at-fault accidents in several years. But being a safe driver isn’t the only way to save. Indiana drivers may qualify for other discounts, such as:

  • Premium Paid in Full
  • Good Student
  • Owning a Home
  • Multiple Cars
  • Accident-free
  • Multiple Lines
  • Passive Restraint
  • Vehicle Safety
  • Anti-Lock Brake
  • Anti-Theft Device

Does Indiana allow the use of digital insurance cards?

Yes, digital proof of insurance has been legal in the state since 2013. Drivers can show evidence of financial responsibility using a smartphone app provided by their insurance company.

What happens if my coverage lapses?

If you’re caught driving without the proper amount of insurance in Indiana, your driver’s license can be immediately suspended for 90 days to 1 year.

What are Indiana’s blood alcohol concentration (BAC) percentage limits under the state's driving under the influence (DUI) laws?

It’s illegal for people to drive a vehicle in Indiana with the following BAC percentages:

.08%+ for 21 years old or older
.04%+ for commercial vehicle drivers
.02%+ for under 21 years old

In Indiana, you can be charged with operating a vehicle while intoxicated (OWI) if you have a BAC or any illegal drugs in your system. This is true even if your driving ability seems intact. You can also be charged if you drive while impaired, no matter what amount of alcohol or drugs you’ve consumed.

What are the chemical test refusal penalties in Indiana?

If you’re driving a vehicle in Indiana, you’ve agreed to a chemical test to determine how much alcohol is in your system. Refusing to consent to this test will result in suspension of your driver’s license.

What are the consequences of being convicted of a DUI?

Penalties for an OWI or DUI charge are stiff in Indiana. First-time offenders may face 60 days to 1 year in prison, $500 to $5,000 in fines, and up to 2 years with a suspended license. These increase with subsequent offenses, and by a third offense, and ignition interlock device is typically mandated.

While most states have a “lookback” period in which they count prior convictions in determining whether an offense is a repeat offense often 3 or 5 years), Indiana courts consider two periods—5 and 10 years—when sentencing.

Does Indiana offer driver improvement courses to reduce my insurance premium?

Most drivers take driver improvement courses to remove points from their license, but you may also be able to complete one to qualify for discounts on your auto insurance. Just make sure any course you take is approved by the Indiana Bureau of Motor Vehicles (BMV).

Is there any way I can reduce the cost of my Indiana car insurance?

Many drivers opt to risk a higher deductible in exchange for lower monthly premiums. As noted above, as an Indiana resident, your rates are more affected by your credit score than any other state’s. So, monitor your credit score regularly for mistakes and work to improve your credit or maintain it if your score’s already high.

And remember to be a diligent comparison shopper… which you can do now with the click of a button!

What is uninsured motorist coverage and is it required in Indiana?

Indiana auto liability policies must include uninsured motorist coverage unless it is rejected in writing. This type of insurance is an important protection if you’re involved in an accident with an uninsured or underinsured driver.

14%
Uninsured drivers in Indiana
12%
Uninsured drivers Nationwide

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