Indiana car insurance requirements
The minimum liability car insurance requirement in Indiana is 25/50/25, meaning Indiana drivers must have at least $25,000 in bodily injury coverage per person, $50,000 in total bodily injury coverage per accident, and $25,000 in property damage insurance per accident.[1]
Here’s a closer look at the protection this type of coverage provides.
Bodily injury liability insurance
When you’re in an at-fault car accident, bodily injury liability insurance covers the medical bills for physical injury. On top of medical expenses, this type of coverage could also pay for legal fees if an injured person files a lawsuit against you.
Indiana law requires drivers to carry the following minimum amount of bodily injury liability insurance:
$25,000 in bodily injury coverage per person
$50,000 in bodily injury coverage per accident
Property damage insurance
Property damage liability insurance is another type of mandatory coverage in most states, including Indiana. This type of insurance covers damage that you (or other drivers operating your car) cause to another motor vehicle in an accident. It can also help pay for damage that you or other drivers of your vehicle cause to property like buildings, fences, and signs.[2]
Indiana requires drivers to carry the following minimum amount of property damage insurance:
Uninsured/underinsured motorist
Car insurance companies must also include uninsured/underinsured motorist coverage in every new Indiana auto insurance liability policy. Indiana drivers can decline this type of coverage but must do so in writing.[3]
Uninsured and underinsured motorist coverage can protect you if someone without insurance (or without enough insurance coverage) causes a car accident that injures you, your passengers, or damages your property. With this type of coverage, you can collect damages from your insurance company if you’re in a covered accident.
If you carry it, the minimum liability limits for uninsured motorist coverage in Indiana are as follows:
$25,000/$50,000 for bodily injury (uninsured motorists)
$25,000 for property damage (uninsured motorists)
$50,000 for bodily injury (underinsured motorists)
Important Information
While you might save a little money on your monthly insurance premium if you waive this coverage, you’ll be putting yourself in a risky financial position. If you’re ever in an accident with someone who doesn’t have insurance or doesn’t have enough insurance to pay for your losses, you’ll be financially responsible.
Indiana Auto Insurance Plan
Although having car insurance is a requirement, not every car insurance company has to approve your application for coverage. If an insurance company considers you high risk due to your driving record, credit rating, the car you drive, or other factors, it could turn you down when you apply for an auto insurance policy.[4]
On a positive note, Indiana drivers have a resource if they’re turned down for car insurance coverage: the Indiana Auto Insurance Plan (INAIP). You can apply for this specialty insurance plan through any insurance agent in the state.[4]
To be eligible for coverage, you must:
Show proof of denial from at least three Indiana auto insurance companies
Have a valid driver’s license
Have a vehicle registered in Indiana
)
)
){kind=small}
