Indiana drivers pay around $1,698 a year for full coverage — about 37% under the national average. The state is at-fault but mandates uninsured/underinsured motorist coverage on top of a 25/50/25 liability minimum. Here's the coverage you must carry, what Hoosiers pay, and how to find a cheaper rate.
Indiana runs on an at-fault (tort) basis but mandates uninsured and underinsured motorist coverage (which can be rejected in writing) alongside its 25/50/25 liability minimum. At roughly $1,698 a year for full coverage, Indiana lands well under the national average, aided by moderate traffic and few catastrophic-weather claims. Credit history is a permitted rating factor, and Indianapolis-area rates run above the statewide figure.
The coverages below are the minimum a driver must legally carry in Indiana. Source: Bankrate minimum-coverage requirements and state insurance department filings.
| Coverage | Minimum limit | Notes |
|---|---|---|
| Bodily injury liability | $25k / $50k | Per injured person / per crash |
| Property damage liability | $25k | Mandatory |
| Uninsured motorist (BI) | $25k / $50k | Mandatory (can be rejected in writing) |
| Underinsured motorist | $50k | Mandatory (can be rejected in writing) |
Independent market estimates based on Bankrate's 2026 rate data and NAIC filings, shown against the U.S. average. Actual rates vary by ZIP, carrier, and individual profile.
| Coverage level | Est. annual premium | vs. U.S. avg. | Notes |
|---|---|---|---|
| Full coverage | $1,698/yr | 37% below U.S. | Comprehensive and collision included |
| Minimum coverage | $446/yr | 47% below U.S. | Bundles UM/UIM |
Estimates apply national rate-increase multipliers to Indiana's full-coverage average. Approximate (“~”) figures multiply the state average by a national factor and will vary by carrier.
| Driver profile | Est. annual premium | vs. state avg. | Notes |
|---|---|---|---|
| Clean record, 30–45 | ~$1,698/yr | Baseline | Statewide full-coverage average |
| One at-fault accident | ~$2,428/yr | +43% | 1,698 × 1.43 per Bankrate |
| Speeding ticket | ~$2,106/yr | +24% | 1,698 × 1.24 per Bankrate |
| DUI on record | ~$3,192/yr | +88% | 1,698 × 1.88 per Bankrate |
| Young driver (18–24) | ~$3,396/yr | ≈2× | About double per Bankrate |
| Poor credit score | ~$2,887/yr | +70% | 1,698 × 1.70 per Bankrate |
ⓘ Source: Bankrate 2026 rate data and NAIC filings. Figures are independent estimates, not quotes. Verify pricing with a licensed agent or carrier.
Indiana pairs low premiums with stronger default protection than many cheap states, since UM/UIM rides along unless you decline it. The cost gap between a minimum and a full-coverage policy is small, so collision and comprehensive are easy to justify. With credit and location still moving rates between carriers, a quick comparison keeps an already-low Indiana premium competitive.
Indiana is an affordable state with UM/UIM built into the default. Because full coverage costs little more than the minimum, most drivers should carry it — and weigh a few carriers to push the rate lower.
Disclaimer: RateWire is an independent lead generation and comparison service. Rate figures for Indiana are independent market estimates compiled from publicly available Bankrate, NAIC, and state regulatory data — not quotes. Coverage requirements summarized here are for general information only and may change; always confirm current minimums with the Indiana insurance department. By submitting your ZIP code, you may be connected with licensed insurance agents or carriers who will provide actual quotes based on your individual profile. Always verify coverage terms and pricing directly with a licensed agent before purchasing.