Indiana Auto Insurance Requirements
Indiana has very tough auto insurance laws for both private and commercial vehicle owners. Minimum auto insurance coverage requirements in Indiana are mandated by state law and the Indiana Department of Insurance. The following minimum coverage is required on every registered vehicle, except as noted below:
(Source: Indiana Department of Insurance)
Driving without the mandatory liability insurance in Indiana is an “A” infraction for the first offense, and could theoretically result in a $10,000 fine and 90 day suspension of driving privileges, with a $150 reinstatement fee, and license points. Subsequent offenses are classed as misdemeanors and subject to higher fines, reinstatement fees, and jail time.
The Indiana Automobile Insurance Plan is available to drivers who are unable to obtain required coverage through the voluntary market. More information is available on the AIPSO website.
Alternatively, drivers not wishing to carry basic liability insurance in Indiana may deposit cash or securities in the amount of $40,000 with the state treasurer, or obtain a surety bond, and provide receipt of same to the Bureau of Motor Vehicles, who will issue a certificate of financial responsibility in lieu of an insurance card.
Factors Influencing Car Insurance Premiums in Indiana
Getting a quote for cheap car insurance in Indiana requires some research and rate comparisons between different insurance companies, even though Indiana ranks below national averages for car insurance costs. Some factors that impact insurance rates in Indiana include:
• Indiana is not a “no-fault” state, and does not require PIP insurance
• Vehicle repair costs are generally less expensive in Indiana than elsewhere
• Overall accident fatality rates are lower than national averages
• A much higher percentage of uninsured drivers compared to national averages
• Auto insurance fraud
• Vehicle theft rates near national averages
The average auto insurance premium for residents in Indiana is $1,518 in 2011; the national average is $1,790.
Tips for Obtaining Cheap Car Insurance in Indiana
• If you’re over 55, take a state-approved defensive driving course for a policy discount
• Several insurance companies offer “pay as you drive” car insurance for low mileage drivers in Indiana
• Maintain a good driving record
• Bind multiple policies (homeowners, life, auto) with the same provider
• Maintain a good credit score
• Create a personal “emergency fund” of up to $1500 and increase deductibles accordingly
• Discuss affinity discounts with your insurance provider
• Drop comprehensive and collision insurance on older vehicles
Indiana Statistics
• Auto Theft: Indiana has a relatively high vehicle theft rate, but it has been decreasing (as is the case in most states) consistently over the past 10 years. This can be attributed primarily to anti-theft devices being standard on recent model cars, as well as public awareness of the issue:
(Source: Auto Thiefs)
• Automobile Accidents: The total vehicle miles traveled in Indiana has increased in recent years, but vehicle accident fatality rates have declined. Indiana is below the national average in numbers of deaths in car crashes, despite having a fairly high population concentration.
(Source: National Highway Traffic Safety Administration)
Enter your Zip Code below to find Cheap Car Insurance in Indiana.