Motorists in the Hoosier State have access to affordable car insurance rates, benefiting from some of the lowest rates in the US for both liability-only and full coverage policies. The fact that Indiana drivers cover an average annual mileage of 17,821 miles, a figure among the highest in the nation, may be a consideration for insurers when they set their rates in this state. Notably, Uninsured Motorist Coverage is automatically included within the minimum state-required coverage (unless explicitly declined in writing), a positive aspect given the prevalence of uninsured drivers at 15.8%.
Indiana Vehicle Insurance Requirements
Here are the minimum liability limits;
- $25,000 for bodily injury or death per person.
- $50,000 total for bodily injury or death per accident.
- $25,000 for property damage.
- Uninsured motorist bodily Injury (UM BI): Minimum of $25,000 per person and $50,000 per accident*
- Uninsured motorist property damage (UM PD): Minimum of $25,000 per accident*
- Underinsured motorists bodily injury (UIM BI): $50,000*
* Auto insurance companies must provide the option of UM/UIM BI and UM PD coverage, but purchasing it is not mandatory. If you decide not to have Uninsured Motorist coverage, you must decline it in writing.
Automobile Insurance Costs in Indiana
The average minimum state required liability only vehicle insurance coverage costs $327, which is $295 cheaper than the US average. Hoosiers can get cheap full coverage as well since the average is $1,295 and $719 less than the national median cost.
If you have a fairly new automobile you should consider buying a full coverage policy that includes Collision and Comprehensive. This becomes extra important if you are dependent on owning a car to go to work and don’t have much spare savings to help you out if something happens to your auto.
Cheapest Car Insurers in Indiana
Prices can exhibit considerable variation based on the company quoting and your geographic location within the Crossroads of America. Consequently, you’ll encounter a diverse range of vehicle insurance prices from various carriers. However, the following companies typically provide the best value across the state and in the majority of cities.
- Indiana Farm Bureau
- State Farm
- American Family
Car insurance rates among the cities of Indiana don’t exhibit substantial differences, as they generally align closely with the average costs.
Auto Insurance in Indianapolis IN
The state capital is the largest city with 850,000 residents and home to about 13% of the population. Rates here follow the general patterns seen in densely populated zip codes where high traffic accidents and vehicular crimes lead to expensive premiums. Considering these factors, about 11% higher premiums in Indianapolis means it has reasonable enough prices for what it is. Many similar cities end up having problems with expensive vehicle insurance rates.
Notable Indiana Car Insurance and Driving Facts
- In this state, Car insurance non-renewal requires a 20-day notice period. Cancellation due to non-payment or within 60 days of policy issuance needs a written notice of 10 days. For other reasons, a 20-day written cancellation notice is mandated. Motorists should make sure to arrange alternative coverage within these periods to avoid policy lapses.
- Traffic accidents, auto thefts and drunk driving incidents are not high in comparison to the national average. These demographic statistics help in getting affordable vehicle insurance rates in IN.
- Indiana encompasses a sizable land area and boasts a substantial population of 6.8 million residents, with 4.6 million individuals holding valid driver’s licenses.
- According to a study by Experian, Indiana ranks among the top 10 states with the lowest levels of credit card debt in the US. Furthermore, the average credit score for Indiana residents is 667, slightly below the national average of 675. Maintaining manageable levels of debt contributes to healthier credit score, a factor that subsequently aids in securing lower rates for vehicle insurance.
- Indiana follows a modified comparative negligence rule, allowing you to file a claim against another driver if your fault in an accident is under 51%. This permits seeking compensation even with shared responsibility, yet awarded damages are adjusted based on your degree of fault. For instance, with 30% fault and $10,000 total damages, you’d receive $7,000 in compensation.
It’s essential to engage in thorough comparison shopping to identify the most cost-effective automobile insurance, irrespective of whether you perceive your premium as reasonable or costly. This approach enables you to assess your current coverage options comprehensively, determine which companies present the most competitive rates, and ascertain whether there’s potential for cost savings through switching.