The Cheapest Car Insurance in Indiana for 2022
Erie’s state minimum policy, costing around $320 per year, is the cheapest car insurance in Indiana.
MoneyGeek compared Indiana’s auto insurance quotes to help you find the best deals. Your particular situation and insurance requirements will determine your cheapest choice. For instance, GEICO is the cheapest for seniors and those with bad credit. By shopping around and comparing rates, Indiana motorists can save around $357 annually on their insurance costs.
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The Cheapest Car Insurance in Indiana
MoneyGeek broke down the cheapest companies in Indiana by city to help you find the most affordable providers in your area. We also ranked the best car insurance companies in Indiana to help you find the best balance of quality service and affordability.
Why Trust MoneyGeek? Indiana car insurance rates in this study are based on our analysis of data and information from the Indiana Department of Insurance and Quadrant Information Services.
These rates were updated in September 2022 to reflect how car insurance rates in Indiana have changed up to this month.
Cheapest Minimum Liability Car Insurance in Indiana
The most affordable car insurance policy for Indiana drivers is a liability-only policy. This is basic insurance that only meets the state minimum car insurance requirements. If you want additional protection, you should look into a policy with more coverage.
The most affordable liability-only auto insurance companies for Indiana drivers are:
- Erie: $320 per year
- GEICO: $329 per year
In contrast to the cheapest providers, Allstate offers the most expensive minimum liability car insurance in Indiana at an average cost of $677 per year.
CHEAPEST MINIMUM CAR INSURANCE IN INDIANA
These prices are only estimates based on rates for an average Indiana driver and should not be used to compare insurance prices.
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Cheapest Full Coverage Car Insurance in Indiana
In Indiana, getting a full coverage policy will cost more than a minimum coverage policy but you will get more protection since damages to your car will be covered. A full coverage policy offers higher liability limits and includes comprehensive and collision insurance that protects you against most road and off-road accidents
The cheapest auto insurance companies for full coverage insurance in Indiana are:
- Erie: $603 per year
- GEICO: $632 per year
Allstate policies cost an average of $1,033 per year, making it the most expensive option for full coverage.
CHEAPEST FULL COVERAGE CAR INSURANCE IN INDIANA
Your individual premium will be based on your circumstances as a driver and will not be the same as the examples provided. These rates are based on a comprehensive and collision insurance policy with a total of $100,000 bodily injury liability coverage per person, $300,000 bodily injury liability coverage per accident and $100,000 property damage coverage per accident.
How to Compare Cheap Indiana Car Insurance Quotes Online
When comparing car insurance rates in Indiana, drivers can get personalized quotes online. Most carriers let you get reasonably accurate rates on their website.
- Determine how much coverage you need, then use the same requirements when getting quotes. If you get a quote for a policy with $100,000 bodily liability insurance coverage per accident from one insurer, use the same number when you ask for quotes from other carriers.
- Car insurance quotes vary depending on the information you provide. If you want a personalized quote, you’ll have to enter more detailed information. If you’re seeking a rough estimate, you can use your ZIP code in MoneyGeek’s car insurance calculator.
- Based on average rates, the cheapest companies in Indiana are Erie, GEICO and State Farm. Drivers looking for auto insurance in Indiana can begin their search by getting quotes from these insurers.
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Cheapest Car Insurance in Indiana for Young Drivers
Car insurance for young drivers in Indiana typically costs more than the average cost for middle-aged drivers. Car insurance companies in Indiana consider young drivers riskier to insure because of their age and inexperience.
A 16-year-old driver in Indiana pays an average of $1,930 per year while a 25-year-old pays $866 annually for similar coverage, a difference of $1,064.
ANNUAL CAR INSURANCE IN INDIANA FOR YOUNG DRIVERS
Finding cheap car insurance can be challenging for young drivers in Indiana. However, shopping around and comparing quotes from different providers can help to identify the most affordable options.
For instance, Progressive offers the cheapest policy for 16-year-olds at $1,446 per year, while GEICO offers the least expensive rates for 25-year-olds at $596 per year.
The table below shows the average car insurance rates in Indiana by company for young drivers.
Cheapest Car Insurance in Indiana for Seniors
Senior drivers in Indiana pay higher rates for car insurance compared to young adults and middle-aged drivers. On average, a full coverage policy for senior drivers in Indiana costs $819 per year compared to an average of $801 for a 40-year-old driver.
For seniors in Indiana, the cheapest car insurance companies for full coverage are:
- GEICO: $619 per year
- Erie: $652 per year
Similar to a full coverage policy for a 40-year-old driver, the cheapest options for seniors are GEICO and Erie.
CHEAPEST CAR INSURANCE RATES FOR SENIORS
Seniors in Indiana may find that auto insurance rates increase after the age of 65. However, it’s still possible for seniors to find affordable car insurance by comparing quotes from different providers. For example, GEICO’s policy for seniors is up to $431 cheaper than Allstate’s, the most expensive option for seniors in Indiana.
Seniors should take the time to find car insurance that works for their 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.
Cheapest Car Insurance for Drivers With Tickets in Indiana
Minor driving violations, such as tickets, will increase your auto insurance premium in Indiana. The average cost of car insurance for an Indiana driver with a speeding ticket is $1,027 per year. This is $226 more than what drivers with a clean record pay.
The cheapest companies for an Indiana driver with a speeding ticket purchasing a full coverage policy are:
- Erie: $651 per year
- State Farm: $774 per year
Although GEICO offers the second cheapest option for a driver with a clean record, State Farm is cheaper than GEICO for drivers with a speeding ticket.
AVERAGE CAR INSURANCE RATES WITH A TICKET
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 above table showcases estimates of how a speeding or distracted driving ticket can impact auto insurance rates in Indiana.
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 for Drivers With a DUI in Indiana
In Indiana, if you have a DUI, you will pay higher rates for car insurance and may also be required to file an SR-22 as proof of insurance. Indiana drivers with a DUI pay an average of $1,213 per year for car insurance compared to an average cost of $801 for drivers with a clean record.
The cheapest car insurance companies in Indiana for a full coverage policy with a DUI are:
- American Family: $912 per year
- Progressive: $926 per year
United Farm Bureau of IN Group is the most expensive option if you have a DUI at an average cost of $1,724 per year.
AVERAGE CAR INSURANCE RATES WITH A DUI
A DUI violation in Indiana means that you will pay higher premiums for car insurance but you can still save money by comparing quotes. For instance, United Farm Bureau, the most expensive option, costs up to $812 more per year compared to American Family, the cheapest provider.
In Indiana, a driver with a DUI can also face fines, jail time, license suspension and possibly an ignition interlock — even after the first DUI offense.
Cheapest in Indiana for Drivers With an At-Fault Accident
The cost of insurance in Indiana varies considerably between drivers with clean records and those with violations. The average cost of car insurance for drivers in Indiana with an at-fault accident is $1,240 per year, $439 more compared to the cost of $801 per year for drivers without violations.
The most affordable car insurance companies in Indiana for drivers with an at-fault accident are:
- Erie: $815 per year
- American Family: $912 per year
Progressive charges the highest average rate for Indiana drivers with at-fault accidents at an average cost of $1,663 per year.
CHEAPEST CAR INSURANCE WITH AN AT-FAULT ACCIDENT
Cheapest Car Insurance in Indiana for Drivers With Bad Credit
Indiana drivers with poor credit scores pay higher car insurance rates compared to drivers with good scores. The average cost of car insurance in Indiana for a driver with bad credit is $1,347 per year for a full coverage policy while a driver with good credit pays an average of $801 per year.
The cheapest car insurance companies in Indiana for full coverage if you have a poor credit score are:
- GEICO: $911 per year
- Progressive: $1,123 per year
Although Erie is the cheapest car insurance company for Indiana drivers with good credit, GEICO and Progressive offer lower rates for those with poor credit scores.
CHEAPEST CAR INSURANCE RATES FOR DRIVERS WITH BAD CREDIT
In Indiana, your credit score impacts your auto insurance rate. Insurance companies use your credit score to determine your premium based on how likely you are to make timely payments or file a claim. As such, improving your credit score can help you save money.
Those with poor credit can also save by comparing quotes. For instance, GEICO policies cost $985 less than those from United Farm Bureau, the most expensive option.
Check out the following table for estimates of what Indiana residents who have bad credit can expect to pay with some of the state’s top insurers.
Cheapest Car Insurance in Indiana for Military Drivers
While USAA did not provide quotes for our sample driver, it’s consistently one of the cheapest insurance providers in the country, particularly in 35 out of 50 states and Washington, D.C. USAA caters exclusively to former and active military members and their families, offering affordable rates, top-quality customer service and unique coverages tailored to their needs.
Cheapest Car Insurance in Indiana by City
Besides age, location is another factor that significantly changes the average cost of car insurance in Indiana. For example, a driver living in Fort Wayne pays an average of $670 for full coverage car insurance each year. In comparison, a similar policy costs around $759 annually if you live in Indianapolis.
If you want to see more detailed information about car insurance for a specific area, click the city.
AVERAGE INSURANCE RATE BY CITY IN INDIANA
Car Insurance in Indiana: What You Need to Know
All vehicles driven on Indiana’s roads and highways are required to have car insurance. Drivers should consult their insurer and the Indiana Bureau of Motor Vehicles for specific concerns regarding their car insurance to avoid administrative hassles or fines.
Indiana Insurance Requirements
Indiana drivers are required to provide proof of insurance, either through a printed card or smartphone, in the following situations:
- Registering the vehicle
- After an accident
- Following a traffic violation
Indiana state law requires all drivers to insure their vehicles. The minimum car insurance requirements in Indiana are:
- $25,000 to cover injuries per person
- $50,000 to cover injuries per accident
- $10,000 to cover property damage
Drivers must also carry uninsured motorist coverage at these minimum levels unless they opt out in writing:
- $25,000 for injuries per person
- $50,000 for injuries per accident
- $10,000 for property damage
Insurance-wary drivers in Indiana can file a surety bond or deposit cash, securities or trust funds worth $40,000 with the state treasurer and submit their receipt to the BMV. They will still have to show proof of financial responsibility in the event of an accident.
In Indiana, a minimum coverage policy is the cheapest car insurance option but 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 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. Collision and comprehensive insurance are also solid investments for any vehicle worth more than a deductible and several years' worth of premiums.
FAQs About Car Insurance in Indiana
Getting the best car insurance in Indiana requires consideration of various factors. For many drivers, the most common questions about auto insurance center around the cost of the policy and how much coverage one should buy.
Expert Advice on Finding Cheap Car Insurance in Indiana
To help you find credible and accurate insight on car insurance in Indiana, MoneyGeek received expert advice from trusted professionals. The perspectives and opinions expressed are those of the individual contributor.
- What are the key factors drivers in Indiana should look for when searching for the best auto insurance coverage?
- What steps can drivers in Indiana take to find affordable car insurance?
- How do regulations and rules in Indiana impact insurance pricing and how consumers might shop for coverage?
Associate Professor of Business at Indiana Tech
Assistant Professor of Operations and Supply Chain Management at the School of Business, University of Indianapolis
Professor of Business Economics at Indiana University
About the Author
- AAA. "Indiana Laws and Rules." Accessed March 8, 2020.
- Centers for Disease Prevention and Control. "Sobering Facts: Alcohol-Impaired Driving State Fact Sheets." Accessed January 13, 2021.
- Consumer Reports. "The Secret Score Behind Your Rates." Accessed March 8, 2020.
- Experian. "2019 Consumer Credit Review." Accessed March 8, 2020.
- Governing: The Future of States and Localities. "Military Active-Duty Personnel, Civilians by State." Accessed January 18, 2021.
- Indiana Department of Labor. "Distracted Driving." Accessed March 8, 2020.
- Indiana University Public Policy Institute. "Indiana Traffic Safety Facts." Accessed March 8, 2020.
- National Association of Insurance Commissioners. "2018 Market Share Reports." Accessed March 8, 2020.