UPDATED: Mar 18, 2020
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Indiana drivers enjoy lower rates than most other states in the nation, coming in well under the national average and ranking in the bottom ten states overall. That is good news for those shopping for car insurance, but of course, rates still vary from car to car and driver to driver.
Indiana drivers have great choices available for car insurance; it just takes a little research to find a great value.
The Basics of Auto Insurance in Indiana
Indiana state law requires that all vehicles be insured to a minimum level in order to ensure financial responsibility in the event of an accident. The state’s legal minimum for car insurance is $25,000 per person and $50,000 per incident for bodily injury, along with $25,000 for property damage.
Additionally, $50,000 in uninsured motorist bodily injury protection is required unless the driver chooses to waive this coverage in writing. That means it’s not really a legal requirement, but all drivers choosing to skip it need to acknowledge their decision to do so legally.
Indiana’s legal minimums are not the lowest around; they actually fall among the higher requirements on a national level. That said, they are still inadequate for a major accident and could leave you responsible for damages.
There are no other legal requirements in Indiana, although your lender may require you to carry comprehensive coverage and collision coverage if your vehicle is financed. Check with your lender to find out what you need to carry.
Specifics of Indiana Auto Insurance
Beyond the legal minimums, the main thing drivers need to know in Indiana is that the state does allow the right to sue after an accident.
If you are found at fault in an accident, you can be taken to court and sued for damages, including pain and suffering. If your insurance limits are too low, you could find yourself on the hook for any amount beyond those limits. Protecting yourself with higher limits is the best way to ensure you do not lose your assets or go into debt if you are found to be responsible for damage, injuries, death, or pain and suffering.
Indiana drivers pay less when compared to the national average, but that does not mean every driver gets an inexpensive rate without some hunting. We looked for insurance companies that provide great rates across the board, although some may be better for one group of drivers than another – for example, young drivers versus retired drivers. All of our picks, however, fall into the lower range for rates.
In addition to low rates, all of the companies we recommend have a great reputation. We checked the rankings from trusted consumer research sources as well as compiling our own research to make sure we recommend companies known for good customer service as well as excellence in claims handling – because claims are where an insurance company shows its true colors.
The companies on our list reflect the diversity of Indiana drivers, with choices for those in rural areas as well as those in big cities. We took into consideration both companies that are national and smaller, more regional choices. We also made sure all of our top picks offer coverage to all Indiana drivers, with no eligibility requirements that leave out a portion of the population.
Our Top Picks
These three companies represent some of the best insurance values available to Indiana drivers.
Ranked among the best in the region by J.D. Power, Erie also has some of the best rates – even for difficult markets like young drivers or drivers with an at-fault accident. As a regional company they have the feel of a smaller insurer, but the financial strength of a big one.
For the combination of price and service, Erie Insurance ranks at the top of the list for Indiana drivers. They are a good pick for bundling auto insurance and home insurance as well, so check out that discount before you buy.
Ranked number one in the region by J.D. Power, Auto-Owners also ranks well nationwide for claims satisfaction, though they do not cover the entire country. That is the kind of reputation that makes an insurance company a solid bet.
Although they are not the least expensive, Auto-Owners does have competitive rates and very comprehensive policies. When combined with their excellent reputation, that makes them a top pick for Indiana drivers.
Indiana Farmers offers great rates across the board regardless of what your situation, which means nearly any driver can find a good deal on their insurance here. They are a homegrown company dedicated to Indiana residents, making them a great pick for anyone that wants to support a more local business.
They also have a great reputation for happy customers; although they are not big enough to rank on the major sites, a review of customer comments puts them in a very positive light. All of the above ultimately earning them a top spot in our list of best Indiana car insurance companies.
Shopping for Car Insurance in Indiana
The first step to shopping for car insurance in Indiana is to decide what level of coverage you need. For most drivers that means selecting levels of coverage above the state’s legal minimums, especially if you have assets to protect. Higher liability limits do not cost as much as most people think – and the coverage is vital if you’re at fault in an accident.
Once you know what limits and deductibles you want to carry, you can start gathering quotes. Make sure every insurance company gives you a quote that matches your requirements. A quote that seems abnormally low is likely due to lower liability limits or much higher deductibles, so be sure to check each quote.
The auto/home discount is far and away the best discount out there, so it is a good idea to request quotes for your home at the same time as your car.
Not all insurance companies offer online quoting, so if you like the idea of a smaller company, consider checking with a local independent agent. They can help you to run quotes from a variety of local companies to add to your comparison list.
The Bottom Line
Indiana car insurance ranges from local farm mutual all the way to the biggest insurance companies in the nation, and it can be surprising just how competitive those smaller insurers can be. Get as many quotes as you can before making a decision, but always bear in mind that a rate is only as good as the company behind it.
For a list of companies that we recommend, visit our Best Insurance Companies page.