The Best Indiana Auto Insurance Companies
Indiana drivers get to pay a little less for auto insurance than the rest of the nation. In 2018, the state was ranked #16 in auto insurance premium costs, making it one of the more affordable states in which to take out an auto insurance policy. This doesn’t necessarily mean folks in Indiana are better drivers, though — auto insurance rates are regulated by state governments, and the Indiana Department of Insurance requires rates to be “fair, adequate, and not excessive or unfairly discriminatory.”
Indianans want to make sure they get enough coverage to take care of expenses in the event of an accident, but since rates are so low, you don’t want to end up overpaying for insurance. To find the best auto insurance in Indiana, you’ll want to compare coverage options, determine how many discounts you’re eligible for, and make sure your insurance provider has a track record of financial stability and customer service. Luckily, we’ve done some of that work for you.
How We Found the Best Indiana Auto Insurance Companies
We reviewed the four largest insurance providers in Indiana and evaluated them using the same methodology we developed for our nationwide auto insurance review. We checked each insurer’s financial stability ratings, to determine whether they were stable enough to pay off hefty insurance claims. We also researched customer service rankings to learn how real-life consumers feel about each insurer’s claims process and claims payment speed. We looked into the coverages offered by each insurer, as well as their list of discounts — because we know you’re going to want to know how much money you can save. We also checked to see if these insurers offer any special apps or tools to help you lower your premiums while improving your driving skills.
The 4 Best Auto Insurance Companies in Indiana
Indiana Auto Insurance Reviews
State FarmState Farm earned an honorable mention in our nationwide auto insurance review. It earned a superior A++ ranking from A.M. Best, and Consumer Reports gave it a Very Good for claims process and an Excellent for claims payment speed. Meanwhile, J.D. Power gave State Farm a fairly middle-of-the-road 3/5 for both overall experience and claims experience.
State Farm offers all of the important coverages on State Farm’s list: liability, uninsured/underinsured motorist, comprehensive and collision, and even rental reimbursement and roadside assistance. State Farm also offers rideshare coverage as an add-on to your personal auto insurance policy.
State Farm offers discounts if your car comes with certain safety features such as airbags, and you can also get discounts if you complete safe driver training courses. College students can take advantage of State Farm’s “student away at school” discount, and drivers under 25 can earn an additional discount if they download State Farm’s SteerClear app and complete its educational program.
SteerClear isn’t the only app State Farm offers. Drivers can reduce their premiums by up to 50% if they sign up for State Farm’s Drive Safe & Save, a program that uses your mobile phone or OnStar device to track your driving in real time. All drivers receive a discount just for installing the program, and drivers who practice good driving habits can earn additional discounts on their premium.
Like State Farm, Allstate earned an honorable mention in our nationwide auto insurance review. Allstate’s financial stability rating is one partial grade letter below State Farm’s — an A+, instead of an A++ — but that still counts as a superior rating from A.M. Best. Consumer Reports gave Allstate a Very Good on claims process and an Excellent on claims payment speed, while J.D. Power gave it 3/5 for both claims and overall experiences.
Allstate offers the most coverage options of any of our top providers, including rideshare coverage for Lyft and Uber drivers, sound system coverage for audiophiles, and Deductible Rewards coverage for safe drivers. If you sign up for Deductible Rewards, your deductible will decrease by $100 for every accident-free year, for up to $500.
If you’re looking for discounts, you won’t get as many with Allstate as you might with some of our other insurers. Allstate does offer a discount if you insure a new car, though, which is worth noting because new cars usually make your premiums go up, not down.
You can also save a little extra money by signing up for Allstate’s Drivewise program. It’s a lot like State Farm’s safe driving program, except instead of getting a premium discount, you get up to 25% cash back every six months. If you complete safe driving challenges, such as going three days without high speeding, you can also earn Allstate Rewards points, redeemable for purchases at major retailers, such as The North Face and Applebee’s.
ProgressiveProgressive also earned an honorable mention in our nationwide auto insurance review. And, like State Farm and Allstate, Progressive also earned 3/5 for both overall experience and claims experience from J.D. Power, plus a Very Good for claims process and an Excellent for claims payment speed from Consumer Reports. Progressive’s financial stability rating is right up there with Allstate’s: another A+ from A.M. Best.
Progressive provides all of the standard auto insurance coverages as well as two unique coverage options. If you sign up for Progressive’s collision coverage, you automatically get pet injury coverage included — so if you have a dog or cat who regularly rides in your car, you might want to look into that additional protection. Progressive also offers gap loan/lease payoff coverage, which helps pay off the balance on your car loan if you end up totaling your car. Lyft and Uber drivers, take note: you won’t be able to sign up for rideshare coverage with Progressive — check out State Farm or Allstate instead.
Progressive’s discounts are similar to Allstate’s: there are a couple of unique discount options, including a discount for starting your quote process online, but overall you’re likely to get more discounts with another provider. Progressive’s Snapshot program is similar to State Farm’s Drive Safe & Save and Allstate’s Drivewise, but there’s one big difference: Snapshot only tracks your driving for a limited amount of time (generally six months) before determining your discount. There’s no opportunity to improve — and if your driving isn’t great, your premiums might actually go up.
Indiana Farm Bureau
This local insurance provider is so small that it doesn’t have financial ratings with A.M. Best or customer service ratings with J.D. Power or Consumer Reports. You also aren’t going to find a lot of information online about coverage options; the Indiana Farm Bureau wants you to contact an agent so they can put together a custom coverage package.
You will find plenty of information about the Indiana Farm Bureau’s discounts, though — this insurer offers more discounts than any other provider on our list. You can save money if you go paperless, pay your annual premium in full, have an accident-free driving history, are younger than 24 or older than 45… and that’s just a handful of the discounts on offer.
If you want to keep saving money, you can sign up for the Indiana Farm Bureau’s DriveTrend program. It’s another “track your driving” app like the ones from our other top providers, although it’ll only yield up to 5% off your premium.
If you’re interested in working with a local insurer, it’s worth contacting the Indiana Farm Bureau and seeing what type of coverage package they can offer — but it’s also worth getting at least one other quote from one of our top providers.
Guide to Indiana Auto Insurance
If you live in St. Joseph County, watch out for car theft
Car theft has become a serious issue in St. Joseph County, especially if you live in and around South Bend. You have a 1 in 500 chance of getting your car stolen if you live in St. Joseph County, but that number jumps to 1 in 250 for South Bend residents. Adding comprehensive insurance to your policy can help protect you if your car gets stolen, so make sure you discuss that option with your insurance agent.
Make sure to protect your car from bad weather
Indiana’s annual storm season is no joke — in 2016, Indiana weather caused over $15 million in property damage. You’ll want to make sure to protect your vehicles from adverse weather, including rain, hail, and wind-related damage (like falling tree limbs). Comprehensive car insurance generally covers weather damage, but you’ll want to confirm with your insurance agent exactly what your policy includes and, more importantly, what it doesn’t. Will you be protected in case of flood? What about tornadoes? Are there any weather hazards that aren’t covered by the policy? The more you know about what an insurance policy covers, the better equipped you are to make smart insurance choices.
Be aware of Indiana’s minimum liability
As of July 2017, here’s the minimum amount of auto insurance you need to drive in Indiana:
- $25,000 bodily injury coverage per person
- $50,000 bodily injury coverage per accident
- $25,000 property damage coverage per accident
This is often called a 25/50/25 policy, so if you see those numbers, know that they represent the minimum amount of insurance required to drive legally in the state.
Indiana drivers are also required to get the following uninsured/ underinsured motorist coverage, unless they reject this coverage in writing:
- $25,000 uninsured motorist bodily injury coverage per person
- $50,000 uninsured motorist bodily injury coverage per accident
- $25,000 uninsured motorist property damage coverage per accident
- $50,000 underinsured motorist bodily injury coverage per person
Uninsured/underinsured motorist coverage protects you if you’re involved in an accident with a driver who doesn’t have enough insurance to pay their share of the damages. It also protects you if you’re hit by a driver who flees the scene.
Even though you have the option of rejecting uninsured/underinsured motorist coverage, we recommend adding it to your insurance policy. We also recommend going beyond the minimum 25/50/25 coverage. If you’re in an accident that causes more than $25,000 in property damage, for example, you could end up paying the difference out-of-pocket — and you might even find yourself part of a lawsuit. Adding more coverage to your policy might cost a little more now but it can save you a lot of money in the future.
You’ll also want to add additional coverages to your insurance policy, such as collision coverage, which protects you if you collide with an inanimate object (like a tree), and comprehensive coverage, which protects you if your car is damaged by weather or stolen. Both hazardous weather and car theft are issues in Indiana.
When you’re shopping for insurance providers, you’ll want to consider both the available coverages and the available discounts — every coverage you add to your policy raises your premium, but every discount you’re eligible for lowers it. We recommend requesting quotes from multiple insurers to see which one offers you the best package at the lowest rates. Getting quotes from the top insurance providers in Indiana is a great place to start.
Indiana Auto Insurance FAQ
How much is auto insurance in Indiana?
In Indiana, residents pay an average of $755 per year. This is quite a bit below the national average of $1,009, but no guarantee of your individual price. While there are state-specific factors that affect your cost, your premium will vary pretty significantly depending on personal factors (details of your car, accident history, credit score, etc.).
Is it against the law to drive without insurance in Indiana?
Yes. Indiana requires its residents to have an auto insurance policy. We’ve detailed the specific liability requirements in our guide above, but the state basically follows the 25/50/25 baseline. Driving without insurance can lead to a suspension of your license and financial penalties.
Does Indiana have no-fault car insurance?
No. Indiana is considered a “fault” state, which means that the driver who is at fault in an accident is responsible for all repercussions. That can mean property damage, medical bills, or lost wages. In some cases “comparative fault” can come into play, where the court decides who was more at fault in an accident. Sometimes, that decision can be a “non-party” at fault, meaning a third party that isn’t directly involved in the case, but has been determined to be at fault.