The Cheapest Car Insurance in Indiana (September 2023)

Auto-Owners offers the cheapest coverage in Indiana overall. Depending on your driver profile, American Family, USAA or Nationwide may be the most affordable options.

The best auto insurance providers in Indiana strike a balance between pricing and quality of customer service.

On average, the following companies offer the cheapest car insurance premiums in Indiana in accordance with state minimum requirements:

• Auto-Owners: $264 per year
• Westfield: $285 per year

According to MoneyGeek's research, Allstate is the most expensive provider in Indiana, at approximately $513 per year. Only property damage liability and bodily injury liability are part of a minimum coverage policy in Indiana.

With minimum coverage, you are covered against injuries and damages you cause to others. This insurance policy does not cover damage to your car. The cost of repairing your vehicle is covered by a full coverage policy, which includes comprehensive and collision insurance.

On average, the following providers offer the cheapest full coverage car insurance rates in Indiana:

• American Family: $552 per year
• Auto-Owners: $651 per year

State Farm has the most expensive rate for full coverage in Indiana, at around $1,029 annually. Full coverage policies are often more expensive, but they protect you from on-road and off-road incidents. For instance, the full coverage policy from American Family costs $288 more than the cheapest minimum coverage policy, available from Auto-Owners.

Your premium is influenced by the amount of auto insurance you need. MoneyGeek’s sample full coverage policy includes:

• $100,000 bodily injury liability per person
• $300,000 bodily injury liability per accident
• $100,000 property damage liability per accident

Drivers in Indiana who want to save money can reduce their liability limits, drop comprehensive and collision coverage or raise their deductible. However, these cost-cutting measures might leave you with inadequate coverage and financially vulnerable to a major loss.

While many insurance companies offer the convenience of online quote tools, the process typically takes about 15 minutes to complete. In some instances, these websites may request personal information. Consequently, comparing estimates can consume a significant amount of time.

MoneyGeek's car insurance calculator does not need you to provide your personal information to different insurance companies. Simply enter your driving record, gender and age to acquire a tailored estimate. Indiana drivers who want affordable auto insurance rates can use our tool as a starting point.

Age has a great influence on car insurance rates in Indiana. Nationwide and American Family have the cheapest rates on average for various age groups.

These car insurance providers offer the cheapest car insurance policies in Indiana for teenagers on a family plan:

• Nationwide: $1,702 per year for male teens and $1,553 per year for female teens
• GEICO: $1,750 per year for male teens; State Farm: $1,562 per year for female teens

Auto-Owners has the most expensive quotes for teenagers, costing $2,591 annually for a female teen and $2,706 annually for a male teen. Both rates apply to 16-year-olds insured under their parents' plan.

Teenagers have decreasing car insurance rates as they grow older, reaching the maximum lowest rate at 19. GEICO ($1,158 per year) offers the most affordable rates for 19-year-old males in Indiana.

Adding a teen to a family policy is typically less expensive than acquiring separate coverage, and most teens under 18 cannot legally purchase car insurance without a parent or guardian as a co-signer. The annual cost of auto insurance for a 16-year-old driver on an individual policy in Indiana is around $4,369. That is roughly $2,312 more expensive than adding a teenager to the existing parent's policy, which costs approximately $2,057 annually.

With certain discounts, young drivers may be able to get a lower premium. GEICO and Nationwide offer good student discounts, whereas Allstate, Auto-Owners, Farmers, Progressive, State Farm and Travelers provide both good student and distant student discounts.

On average, the following insurance providers offer Indiana drivers in their 20s the cheapest premiums for full coverage:

• American Family: $595 per year
• GEICO: $824 per year

State Farm has the most expensive rate for full coverage in Indiana, with a yearly premium of approximately $1,336. Drivers in their 20s often pay a higher premium than drivers of middle age. According to MoneyGeek's analysis, young drivers may pay approximately $43 more for the cheapest coverage from American Family.

The following companies offer the cheapest car insurance in Indiana for full coverage to senior drivers:

• American Family: $537 per year
• Auto-Owners: $625 per year

State Farm provides the most expensive insurance to an adult 60 and above, averaging $944 annually.

Senior drivers may pay more or less for car insurance than middle-aged drivers. This can vary depending on their age. Compared with middle-aged drivers, senior drivers in Indiana pay $15 less for car insurance from American Family. However, rates often rise as drivers reach their 70s and 80s.

Senior drivers in Indiana may be eligible for a discount from American Family, GEICO, Farmers and Allstate. Comparing the requirements of several insurers is a good strategy for picking the cheapest provider since age is just one factor that insurers consider when calculating rates.

Typically, drivers with a traffic violation on their motor vehicle record pay higher car insurance rates in Indiana. American Family is the most affordable option for drivers with a ticket, with an at-fault accident or an operating while intoxicated (OWI) infraction (Indiana does not use "DUI").

American Family is also the most affordable for drivers with poor credit and those with sports cars.

The following insurers provide the cheapest average car insurance in Indiana to drivers with a speeding ticket:

• American Family: $702 per year
• Auto-Owners: $807 per year

Grange offers the most expensive premium at approximately $1,272 per year. We discovered that insurance rates in Indiana after a ticket might cost up to $255 more vs. drivers with a clean record.

These car insurance providers in Indiana offer the cheapest average rates for drivers after an at-fault accident:

• American Family: $731 per year
• Auto-Owners: $845 per year

Westfield is the most expensive insurer, with a full coverage policy averaging $1,719 per year. The cost of auto insurance in Indiana can increase by up to $492 a year for drivers who are found at fault in an accident, and it may impact their insurance rates for a minimum of three years.

On average, the following insurers in Indiana offer the cheapest full coverage policy if you have an OWI on your driving record:

• American Family: $702 per year
• Progressive: $975 per year

Westfield provides the most expensive rate for drivers with an OWI, with an annual premium of approximately $2,057.

Just like in states that give DUIs, drivers with an OWI in Indiana pay more for car insurance than those with a clean driving record. The premium increase may be, on average, $618 a year after an OWI, and an OWI will stay on their motor vehicle record permanently and affect insurance rates for a minimum of three years.

On average, the cheapest auto insurance providers in Indiana for drivers with poor credit are:

• American Family: $870 per year
• Grange Insurance: $1,076 per year

The most expensive option in the state for drivers with poor credit is State Farm, with an average annual premium of $2,587.

Your credit score has a substantial impact on the rates you pay. For individuals with good credit (750 and above), the average cost of full coverage insurance in Indiana is $601 less than that for people with poor credit (below 580).

Drivers with poor credit frequently pay higher rates since they are more likely to file a claim, based on actuarial data. Credit history is not allowed as a rating factor in every state, but Indiana providers are permitted to use it.

Improving your credit score is an effective strategy to obtain a lower premium. Additionally, you can compare rates and utilize common discounts to save money.

The cheapest auto insurance providers for sports car drivers in Indiana are, on average:

• American Family: $515 per year
• Auto-Owners: $657 per year

Nationwide's rates are the priciest at approximately $1,386 per year. Rates for drivers with sports cars might be more expensive due to the higher replacement and repair costs of these vehicles. In Indiana, a sports car is $109 more expensive to insure than a Toyota Camry LE.

Despite the fact that MoneyGeek chose a Ford Mustang as a sample vehicle, premiums typically vary by vehicle model. Sports, electric and luxury automobiles are typically more expensive to insure than other types of cars. Otherwise, your insurance premiums will not vary significantly. However, this may not be true in your particular state.

MoneyGeek discovered that USAA offers the most affordable auto insurance in Indiana for active-duty military personnel and veterans, with an average annual premium of $524.

USAA has a stellar reputation when it comes to financial stability, client satisfaction, affordability and customer complaints.

Indiana car insurance rates can be affected by the city in which you reside and the ZIP code. People who live in high-risk areas, such as those with higher crime rates, typically have to pay higher premiums.

The average annual premium from Auto-Owners in Fort Wayne is $701, making it the most affordable city in Indiana. South Bend is the second-cheapest city, with an annual premium of $727 from GEICO.

Auto-Owners also provides the most affordable options for Indianapolis residents, with an annual premium of $835. However, this is the most expensive rate in the state.

In Indiana, as with most other states, all drivers are required to purchase car insurance that fulfills the state's minimum criteria. This includes protection for bodily injury and property damage. Understanding how much coverage you require ensures that you are adequately protected.

You must purchase the minimum insurance required by Indiana law to drive in the state. This includes bodily injury and property damage liability. While selecting basic coverage is more cost-effective, accident-related costs can quickly add up.

In Indiana, drivers convicted of high-risk violations must obtain SR-22 insurance. If you need to file an SR-22 certificate, your coverage needs and prices may rise.

To optimize your protection, MoneyGeek recommends obtaining as much insurance coverage as you can afford.

MoneyGeek suggests that drivers purchase bodily injury liability insurance limits of $100,000 per person, $300,000 per accident and $100,000 per accident for property damage.

Full coverage includes collision and comprehensive insurance, which provides you with greater protection and might be required if you finance or lease your car. Drivers are financially covered by collision insurance for damage to their vehicles in collisions with other cars, trees, walls, fences and other objects. Comprehensive insurance covers non-collision events, such as natural disasters, fire, theft and vandalism.

Even if it's not necessary, we recommend obtaining full coverage if you own a valuable vehicle.

Drivers in Indiana who are concerned about their insurance coverage can file a surety bond or deposit $40,000 in cash, securities or trust funds with the state treasurer and then present their receipt to the Indiana Bureau of Motor Vehicles.

A surety bond guarantees that a driver will meet their financial obligations in the event that they cause an accident and are required to pay liability charges.

In the case of an accident, drivers will still need to provide proof of financial responsibility.

Car insurance buyers may have questions regarding the quality and affordability of policies. MoneyGeek covers the most frequently asked questions about auto insurance in Indiana.