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The Best Cheap Car Insurance Companies for Indiana Drivers in 2020

Most drivers in Indiana can get free car insurance quotes from the five top-rated auto insurance companies. The table below shows examples of the average premium prices from each company. MoneyGeek’s auto insurance guide can help with getting quotes to find the best car insurance in Indiana that meets your individual needs.

Company
Amount
1. Erie
In 2020, Erie ranked #1 in Indiana for the cheapest car insurance on average.
$546
per year
2. GEICO
In 2020, GEICO ranked #2 in Indiana for the cheapest car insurance on average.
$572
per year
3. Progressive
In 2020, Progressive ranked #3 in Indiana for the cheapest car insurance on average.
$626
per year
4. State Farm
In 2020, State Farm ranked #4 in Indiana for the cheapest car insurance on average.
$646
per year
5. American Family
In 2020, American Family ranked #5 in Indiana for the cheapest car insurance on average.
$790
per year

The figures included in the table above are approximate costs for the average person and may not reflect the cheapest car insurance rates you qualify for in Indiana. There are qualifying factors that auto insurance companies use to determine what you’ll pay per month. Those factors include age, sex, marital status, driving history, past claims, who else will be covered on the plan, the county you live in, the type of car you drive and the types of coverages chosen.

When it comes to auto insurance, the most affordable car insurance might not be the best, mainly due to Indiana’s minimum auto insurance requirements. According to the Insurance Information Institute, most experts recommend getting at least $100,000 in liability for injuries and $300,000 for all involved injuries to protect your assets.

The Best Car Insurance Companies in Indiana for 2020

What makes an auto insurance company the best in Indiana? Companies like JD Power and AM Best create a unique score for each insurance company. They examine the insurance company’s financial strength, claims success, affordability and customer satisfaction to determine which is the top-rated auto insurance company.

MoneyGeek has come up with our own unique rating system to help you find the cheapest car insurance from the best companies in Indiana.

Expand all Rankings +

1

USAAScore: 100
+

5/5

User Satisfaction

5/5

Claims Ratings

5/5

Affordability

A++

Financial Stability

2

ErieScore: 95
+

5/5

User Satisfaction

4/5

Claims Ratings

5/5

Affordability

A+

Financial Stability

3

United Farm Bureau of IN GroupScore: 92.5
+

5/5

User Satisfaction

4/5

Claims Ratings

5/5

Affordability

A

Financial Stability

4

HartfordScore: 87.5
+

4/5

User Satisfaction

4/5

Claims Ratings

3/5

Affordability

A+

Financial Stability

5

Auto-Owners Insurance CoScore: 87.5
+

3/5

User Satisfaction

4/5

Claims Ratings

3/5

Affordability

A++

Financial Stability

6

GEICOScore: 87.5
+

3/5

User Satisfaction

2/5

Claims Ratings

5/5

Affordability

A++

Financial Stability

7

Cincinnati Insurance CompaniesScore: 87.5
+

3/5

User Satisfaction

5/5

Claims Ratings

3/5

Affordability

A+

Financial Stability

8

Country FinancialScore: 85
+

4/5

User Satisfaction

3/5

Claims Ratings

3/5

Affordability

A+

Financial Stability

9

State FarmScore: 85
+

4/5

User Satisfaction

3/5

Claims Ratings

4/5

Affordability

A

Financial Stability

10

Farm Bureau Ins of MIScore: 82.5
+

4/5

User Satisfaction

4/5

Claims Ratings

3/5

Affordability

A-

Financial Stability


Market Share by Company

According to the National Association of Insurance Commissioners (NAIC), State Farm, Progressive and Allstate are the largest insurers in the state of Indiana. See below for a breakdown of the top insurance coverage in the state.

Company
Market Share
1. State Farm
22.22%
2. Progressive
12.18%
3. Allstate
7.70%
4. United Farm Bureau of IN Group
7.27%
5. GEICO
6.64%

Cheapest Car Insurance for Drivers With a DUI in Indiana

Getting a DUI in Indiana is costly and can affect your chances of getting cheap car insurance for years after the incident. According to the CDC, Indiana drivers who admitted to driving after drinking “too much” is 1.6%, just under the national average of 1.9% of drivers surveyed regarding the 30 days prior to the survey.

Recent data from the Indiana University Public Policy Institute show a decrease of 1.14 % in alcohol-impaired crashes from 2017 to 2018.

Company
Amount
1. American Family
In 2020, American Family ranked #1 in Indiana for the cheapest car insurance for drivers with a DUI.
$826
per year
2. Progressive
In 2020, Progressive ranked #2 in Indiana for the cheapest car insurance for drivers with a DUI.
$838
per year
3. Erie
In 2020, Erie ranked #3 in Indiana for the cheapest car insurance for drivers with a DUI.
$887
per year
4. State Farm
In 2020, State Farm ranked #4 in Indiana for the cheapest car insurance for drivers with a DUI.
$1,001
per year
5. Allstate
In 2020, Allstate ranked #5 in Indiana for the cheapest car insurance for drivers with a DUI.
$1,188
per year

As you can see from the table above, insurance rates can increase dramatically after a DUI. In Indiana, a driver can also face fines, jail time, license suspension and possibly an ignition interlock — even after the first offense. A DUI can affect your insurance rates for years after you’re convicted, and you will have far fewer auto insurance companies to choose from to find the best rates, and those you do find may not be very affordable. Learn about how getting a DUI in Indiana can affect your chances of getting cheap car insurance.

Cheapest Car Insurance for IN Speeding or Distracted Driving Tickets

Driving distracted is not only an easy way to get into an accident, but it’s also an easy way to get a ticket. Texting while driving is one of the most common reasons for distracted driving and is against the law in Indiana. Getting a ticket for speeding or distracted driving can affect your chances of getting cheap car insurance rates.

The following table showcases estimates of how a speeding or distracted driving ticket can impact auto insurance rates in Indiana.

Company
Amount
1. Erie
In 2020, Erie ranked #1 in Indiana for the cheapest car insurance for distracted drivers.
$589
per year
2. State Farm
In 2020, State Farm ranked #2 in Indiana for the cheapest car insurance for distracted drivers.
$701
per year
3. GEICO
In 2020, GEICO ranked #3 in Indiana for the cheapest car insurance for distracted drivers.
$818
per year
4. American Family
In 2020, American Family ranked #4 in Indiana for the cheapest car insurance for distracted drivers.
$826
per year
5. Progressive
In 2020, Progressive ranked #5 in Indiana for the cheapest car insurance for distracted drivers.
$1,044
per year

Not only can your car insurance rates increase for years after a distracted driving or speeding ticket conviction, but you can also be fined up to $500, according to the Indiana Department of Labor. Learn about how your auto insurance can be affected by receiving a ticket for speeding or distracted driving.

Cheapest Car Insurance Companies in IN for Drivers With Bad Credit

In Indiana, credit is a factor that can affect a person’s chances of getting the cheapest car insurance available. According to Experian, the average credit score in Indiana is 699, just under the national average of 703. Check out the following table for estimates on what Indiana residents who have bad credit can expect to pay with some of the state’s top insurers.

Company
Amount
1. GEICO
In 2020, GEICO ranked #1 in Indiana for the cheapest car insurance for drivers with poor credit.
$825
per year
2. Progressive
In 2020, Progressive ranked #2 in Indiana for the cheapest car insurance for drivers with poor credit.
$1,017
per year
3. American Family
In 2020, American Family ranked #3 in Indiana for the cheapest car insurance for drivers with poor credit.
$1,196
per year
4. Allstate
In 2020, Allstate ranked #4 in Indiana for the cheapest car insurance for drivers with poor credit.
$1,226
per year
5. Farmers
In 2020, Farmers ranked #5 in Indiana for the cheapest car insurance for drivers with poor credit.
$1,250
per year

Insurance companies use credit to determine your premium based on how likely you are to pay your bills on time and file a claim. If you think your credit score is preventing you from getting the most affordable car insurance quotes in Indiana, check out ways to improve your score.

Cheapest Car Insurance Companies in Indiana for Seniors

Seniors may find that after the age of 65, their auto insurance rates may increase. They also have to renew their driver’s license in person and more frequently in Indiana — from every five years to every three.Our guide can help seniors find car insurance that works for needs. The following table features estimates of what seniors in Indiana can expect to pay for their auto insurance. As always, consulting with an insurance company directly can provide more accurate quotes.

Company
Amount
1. GEICO
In 2020, GEICO ranked #1 in Indiana for the cheapest car insurance for seniors.
$561
per year
2. Erie
In 2020, Erie ranked #2 in Indiana for the cheapest car insurance for seniors.
$591
per year
3. State Farm
In 2020, State Farm ranked #3 in Indiana for the cheapest car insurance for seniors.
$633
per year
4. Progressive
In 2020, Progressive ranked #4 in Indiana for the cheapest car insurance for seniors.
$684
per year
5. United Farm Bureau of IN Group
In 2020, United Farm Bureau of IN Group ranked #5 in Indiana for the cheapest car insurance for seniors.
$789
per year

Seniors tend to have slower response times when driving, but take more preventative measures like wearing a seatbelt (71% of the timecompared to 48% in age groups under 65) than younger drivers do, both of which can affect insurance rates. The clearer a senior’s driving record is, the more affordable their insurance will likely be.

Cheapest Car Insurance for Students

Indiana Car Insurance: How Much a Teen Driver Will Cost You

Median annual price change for families with a teen driver on their policy:

$1,679 INCREASE

This is a difference of 108%.

Finding cheap car insurance for young drivers can be difficult in Indiana because they account for a disproportionate amount of car crashes. Data collected from the Indiana University Public Policy Institute shows that in 2018, drivers between the ages of 15 and 20 had the highest rate of crashes in Indiana.

To get the best and cheapest car insurance rates in Indiana for young drivers, there are some best practices to follow. Teens and college students with good grades who drive cars with more safety features can get better insurance rates than students with poor grades who drive flashy sports cars. Additionally, college students who go to school over 100 miles away may qualify for a discount.

Consider some of our additional tipsfor parents and teens regarding making their auto insurance rates more affordable without sacrificing coverage limits. The table below shows the average rates for the top-rated auto insurance companies in Indiana for young drivers.

Company
Amount
1. Progressive
In 2020, Progressive ranked #1 in Indiana for the cheapest car insurance for students.
$1,275
per year
2. GEICO
In 2020, GEICO ranked #2 in Indiana for the cheapest car insurance for students.
$1,412
per year
3. Allstate
In 2020, Allstate ranked #3 in Indiana for the cheapest car insurance for students.
$1,878
per year
4. State Farm
In 2020, State Farm ranked #4 in Indiana for the cheapest car insurance for students.
$1,973
per year

Premium Comparison by Student Type

PREMIUM COMPARISON FOR TWO ADULTS + 16-YEAR-OLD

car
Average premium for two 2014

Mustang GTs

$4,613
car
Average premium for two 2008

Town and Country Limiteds

$3,086
Annual benefits of minivans:$1,527 saved

This is 33% less expensive.

Cheaper premium for college vs. high school drivers

Median premium change with a college student vs. high school driver:

$806 DECREASE

This is a savings of 23%.

Potential discounts for teens in Indiana

Impact on annual premium with good student and defensive driving discounts:

coins
$285 SAVED

Indiana students: a long-distance discount

You may pay a smaller annual family premium if your child lives 150 miles or more away from home.

male
Average premium for a 19-year-old male
car

$3,145 at home

graduation

$2,799 at school

$346 IN SAVINGS

female
Average premium for a 19-year-old female
car

$2,723 at home

graduation

$2,494 at school

$229 IN SAVINGS

Insurance Rate Information for Military Drivers and Veterans

Whether you're one of the state's approximately active duty military personnel or a veteran, ask insurance companies about discounts before you buy a policy in Indiana. Rates can vary between companies. Even with a military discount, you'll still need a good driving record to get the best rates available.

The Indiana Department of Insurance outlines state requirements for coverage. Military personnel from Indiana and active-duty personnel stationed in Indiana have a choice: register in Indiana or their home (or temporary) state. The following table outlines what active-duty personnel and veterans may pay for their auto insurance. For the most accurate estimates, contact the insurance companies directly.

Age savings for Indiana service members

male
25 years$1,434
50 years$1,156
female
25 years$1,318
50 years$1,142

$278 Saved
$176 Saved

Median auto insurance for service members: $1,113

Who Needs Car Insurance in Indiana?

As long as the vehicle is used on Indiana's roads and highways, it needs to be insured. Drivers should consult with their insurance company and the state's Bureau of Motor Vehicles about any specific concerns regarding their vehicle’s insurance, to avoid administrative hassles or fines.

Proof of Insurance in Indiana

Indiana drivers can provide proof of insurance with a printed card or digitally through their smartphones. They'll need it if they're ever in an accident. Indiana’s policy is to make sure people have proper insurance coverage in case any of the following happen:

  • Vehicle needs to be registered
  • Accident or conviction
  • Traffic collision
  • Traffic violation

Anyone receiving a notification requiring proof of insurance from the Bureau of Motor Vehicles will need to call their insurance agent and ask them to send a Certificate of Compliance to the bureau.

Minimum Liability Insurance Requirements in Indiana

Indiana, like nearly every other state, requires its drivers to insure their vehicles. Its minimum requirements for liability insurance are:

  • $25,000 to cover an injury to one person
  • $50,000 to cover injuries to multiple people
  • $10,000 to cover property damage

Insurance groups generally recommend up to 10 times those figures in liability coverage for injury and accidents (see below: How Much Vehicle Insurance Do You Need?).

Drivers may also carry uninsured motorist coverage at these minimums unless they opt out in writing:

  • $25,000 to cover one injury
  • $50,000 per accident
  • $10,0000 for property damage

Alternatives to Insurance in Indiana

Insurance-wary drivers have two alternatives to dealing with a big insurer. They can file a surety bond or they can deposit cash, securities or trust funds worth $40,000 with the state treasurer. Afterward, they'll need to bring their receipt to the BMV.

Like other drivers, they'll still have to show proof of financial responsibility in the event of an accident, but unlike other drivers, they may not be able to expand their coverage for comprehensive and collision coverage. Nor will they be immune to paying more, should they be at fault in a catastrophic accident.

Car Insurance Requirements in Indiana: How Much Coverage Do You Need?

What percentage of drivers in Indiana lack vehicle insurance?

16.7%

National average: 13%

Source:

Insurance Information Institute.

Cheap car insurance and the best car insurance are not necessarily synonymous. In Indiana, the amount of coverage required by law will likely fall short of what a bad accident will cost you. Many insurance experts recommend carrying liability coverage of $100,000 per injury and $300,000 or more per accident in case of a catastrophic collision.

Because Indiana has a relatively high proportion of uninsured drivers, it makes sense to keep the uninsured/underinsured motorist coverage that comes with a policy.

Collision and comprehensive insurance are also solid investments for any vehicle worth more than a deductible and several years' worth of premiums.

For more information on how to find an insurance policy that's right for you, consult ourMoneyGeek guide to car insurance.


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