If you’re insuring your vehicle in Indiana, you’ll be glad to know the Hoosier State is one of the most affordable states when it comes to auto insurance. But just because it’s ahead of most of the competition doesn’t mean you can’t save even more money by knowing how to find a cheap car insurance plan in Indiana. Keep reading this guide to cheap car insurance in Indiana to save even more money on your monthly or annual insurance premiums.
Car Insurance Requirements in Indiana
The amount of insurance coverage you’re required to have varies from state to state, but almost all states require you to have liability car insurance. However, the required minimum limits of that coverage also vary from state to state.
Insurance Plan Refresher
Before we get into Indiana’s minimum rates, you should know that liability insurance is split into two parts: bodily injury coverage and property damage coverage. You should also know that when you’re shopping for insurance, you’ll see the limits for liability coverage in one of the following formats:
- $25,000/$50,000/$25,000
- 25/50/25
These formats mean the same thing — the second form is simply the first without the zeros and dollar signs. The first number represents the maximum amount that your insurance company will pay in bodily injury damage per person. The second number represents the limit of how much the insurance company will pay in bodily injury damages per accident. The third number represents how much the insurance will pay for property damage.
You and your property are not covered by liability insurance. This type of plan is in place to cover the other people involved in the collision.
Indiana’s Minimum Insurance Requirements
Let’s get into the bare minimum of what you need in Indiana as far as insurance is concerned. Indiana requires that you have a minimum of $25,000 of bodily injury coverage per person and $50,000 per accident. You’re also required to have $25,000 of property damage coverage.
Do those numbers look familiar? The example we broke down is what you’re looking for when you’re shopping for insurance in Indiana: a plan that has at least $25,000/$50,000/$25,000 (also written as 25/50/25) coverage.
However, Indiana doesn’t stop there. To make your vehicle legal in Indiana, you’ll also need a plan that offers $25,000/$50,000/$25,000 coverage in uninsured motorist coverage. Besides this, you’re required to have underinsured motorist bodily injury coverage of at least $50,000 per person and $50,000 per accident. These uninsured and underinsured coverage policies are in place to cover you in the event you’re involved in a collision with an uninsured driver.
What’s Not Covered by Indiana’s Required Insurance
Unless you’re in a collision with an uninsured motorist, Indiana’s minimum coverage doesn’t cover any damages to your personal property or medical expenses for yourself. If you want to cover yourself in those departments, you should upgrade your plan with collision insurance coverage. Collision insurance does what it sounds like — it helps cover the costs of repairing and/or replacing your vehicle and personal property in the event of a collision. It can also help you pay for the costs of your own bodily injury, which includes elements such as medical bills and lost wages.
If you want to protect your vehicle in situations such as hail, fire, impact with an animal, and vandalism, consider comprehensive coverage. A good way of thinking about comprehensive coverage is that it protects you in situations that don’t involve a moving vehicle.
Cheap Car Insurance in Indiana
Indiana drivers paid an average of $489 per year for the cheapest minimum coverage insurance, according to ValuePenguin. Though many factors raise and lower the cost of your insurance, you can use this statewide average to compare the insurance companies you’re getting quotes from.
If it’s cheap car insurance in Indiana you’re looking for, start with the companies below during your search.
- USAA: $273 (This option is for active or retired military and immediate family members only.)
- Auto-Owners: $302
- State Farm: $349
- American Family: $450
- Geico: $504
- Progressive: $587
- Allstate: $960
These numbers are average yearly insurance payments. Your actual rate could be higher and maybe even lower. It all depends on the insurance company’s interpretation of several factors about you and your vehicle. Some of the details the insurance company will take into account are your vehicle’s make and model and your driving history, credit score, age, and location.
This subjectivity is why you need to get multiple quotes from different car insurance companies. If you want cheap car insurance in Indiana, be sure to put in a little time and research to get the best rate for you and your situation.
Reducing Cost of Insurance in Indiana
Just because an insurance company gives you the lowest quote you can find, it doesn’t mean it’s as cheap as your car insurance in Indiana can get. Let’s go through a few tips and tricks you can take advantage of to reduce the cost of your car insurance.
Choose a Higher Deductible
Your insurance coverage likely has a deductible. In the event of a car accident, you have to pay this deductible before your insurance covers the rest. When you’re shopping for insurance, you may have options when it comes to how much this deductible is. If you want to reduce the cost of your monthly or annual insurance bill, choose a higher deductible.
Older Car, Lower Insurance
As your car ages, it depreciates in value. Your insurance coverage should follow suit. A 20-year-old model worth less than $2,000 should not be insured in the same way a brand-new model should be insured. Consider lowering your insurance coverage to save money now.
Buy More Insurance
Are you already paying for insurance for another vehicle or your home? If you go through the same insurance company, you can bundle your insurance plans and potentially save quite a bit of money on all your plans.
Ask About Discounts
Whether you’re shopping for your new insurance or you already have coverage, it’s a good idea to ask your agent if the company has any discounts you may be eligible for. Many insurance companies offer discounts for good driving behavior, taking a defensive driving course, and other aspects of your driving profile.
If you’re looking for cheap car insurance in Indiana, these tips can help you find an insurance plan that will be right for your budget and your lifestyle. Be sure to compare all elements of the policies, not just the costs, so you don’t cut the wrong corners.
At FIXD, our mission is to make car ownership as simple, easy, and affordable as possible. Our research team utilizes the latest automotive data and insights to create tools and resources that help drivers get peace of mind and save money over the life of their car.
