Question 1

What is the minimum car insurance required in Indiana?

Accepted Answer

A person may not operate a motor vehicle in Indiana unless financial responsibility is in effect for it. The minimum liability insurance is $25,000 for bodily injury or death of one person, $50,000 for bodily injury or death of two or more people in one accident, and $25,000 for property damage (25/50/25). New auto liability policies must also include uninsured and underinsured motorist coverage unless rejected in writing. Organizations with a BMV-issued Certificate of Self-Insurance may self-insure.

Question 2

Is Indiana a no-fault car insurance state?

Accepted Answer

Indiana is an at-fault (tort) state: bodily injury and property damage liability coverage pays, up to policy limits, for injuries and property damage you cause to others with your car, while medical payments coverage for your own injuries is optional. The Alabama Department of Insurance's national list places Indiana among the "Tort States."

Question 3

Is uninsured motorist coverage required in Indiana?

Accepted Answer

Each newly written Indiana auto liability policy must include uninsured and underinsured motorist coverage unless the policyholder rejects it in writing. The Department of Insurance lists minimum limits of $25,000/$50,000 for uninsured motorist bodily injury, $25,000 for uninsured motorist property damage, and $50,000 for underinsured motorist bodily injury.

Question 4

Can you show proof of car insurance on your phone in Indiana?

Accepted Answer

Indiana verifies insurance through the BMV rather than at roadside: insurance information given to a police officer is not sent to the BMV. The BMV mails a request to verify financial responsibility after an accident report, a pointable moving violation within a year of two others, a serious (misdemeanor or felony) traffic violation, any pointable violation by someone previously suspended for lack of proof, or at any time. The driver's insurer must then file a Certificate of Compliance electronically within 90 days of the BMV's request, or driving privileges are suspended. Only insurers can submit proof; the BMV does not accept policy documents from drivers.

Question 5

What is the penalty for driving without insurance in Indiana?

Accepted Answer

Driving without the required insurance leads to suspension of driving privileges and reinstatement fees. No-insurance suspensions effective on or after Dec. 31, 2021 are indefinite; they can be stayed when the insurer files an SR22 and end after the SR22 is kept continuously for 180 days. Reinstatement fees for no-insurance suspensions after Jan. 1, 2015 are $250 for a first, $500 for a second and $1,000 for a third or later suspension, but a driver who keeps an SR22 for 180 consecutive days can reinstate without paying the fee. If the insurer can show the driver was insured on the date in question, it can file a Certificate of Compliance to remove the suspension.

Question 6

When do you need an SR-22 in Indiana, and for how long?

Accepted Answer

When driving privileges are suspended for an insurance violation or certain court convictions, the insurer must electronically file an SR22 (proof of future financial responsibility) to stay the suspension and restore privileges. For no-insurance suspensions, the SR22 requirement is satisfied after 180 consecutive days of SR22 coverage. If the insurer files an SR26 cancellation or no SR22 is on file during the required period, privileges are suspended again. The BMV also refers to 3-year and 5-year SR22 requirements for some suspensions, which out-of-state residents may waive with an Out of State Residency Affidavit.

Question 7

How much notice must an insurer give before canceling car insurance in Indiana?

Accepted Answer

An insurer may cancel a new policy within its first 60 days. After a policy has been in effect 60 days, the insurer may cancel only for certain reasons, such as failure to pay the premium or loss of the driver's license. At the end of the policy period an insurer may refuse to renew, but must give 20 days' advance notice.

Question 8

Can car insurance companies use your credit score in Indiana?

Accepted Answer

The Indiana Department of Insurance lists age and sex, marital status, driving record, car use, place of residence, policy limits, deductibles, type of car, driver training, claims history and credit scores as rating factors insurers may use; rates must be filed with the Department and may not be excessive, inadequate or unfairly discriminatory.

Question 9

How do you transfer a car title in Indiana?

Accepted Answer

The buyer must apply for a certificate of title within 45 days after buying or otherwise acquiring the vehicle, or an administrative penalty is charged; newly acquired vehicles must also be registered within 45 days. Before going to a BMV branch, the buyer should make sure the seller has fully completed both the seller and purchaser sections of the title. The seller removes the license plate at the time of sale; the buyer gets a new title, registration and plate. A vehicle from another state must have a VIN inspection (free at a BMV branch, or up to $5 by a law enforcement officer).

Question 10

How long do you have to register your car after moving to Indiana?

Accepted Answer

New residents with a valid out-of-state license have 60 days to get an Indiana driver's license (surrendering other credentials and passing a vision screening; a knowledge test is required if the license has expired). All vehicles must be registered within 60 days after becoming a resident, and must be titled in Indiana first; out-of-state vehicles require a VIN inspection. If a lienholder holds the out-of-state title, the branch requests it with a Request for Title (State Form 1014).

Question 11

How do you file a complaint against a car insurance company in Indiana?

Accepted Answer

Complaints against insurance companies must be in writing. File through the Indiana Department of Insurance's Online Consumer Complaint Portal (preferred), or mail or fax the Insurance Complaint Form to IDOI, Attn: Consumer Services Division, 311 W. Washington Street, Suite 300, Indianapolis, IN 46204-2787 (fax 317-234-2103). Complaints are typically processed within 72 hours, and insurers have 20 business days to respond in writing.

Minimum coverage required	A person may not operate a motor vehicle in Indiana unless financial responsibility is in effect for it. The minimum liability insurance is $25,000 for bodily injury or death of one person, $50,000 for bodily injury or death of two or more people in one accident, and $25,000 for property damage (25/50/25). New auto liability policies must also include uninsured and underinsured motorist coverage unless rejected in writing. Organizations with a BMV-issued Certificate of Self-Insurance may self-insure. IDOI page: https://www.in.gov/idoi/consumer-services/types-of-insurance/auto-insurance/ Source: Indiana BMV, Proof of Financial Responsibility; Indiana Department of Insurance, Auto Insurance
At-fault or no-fault	Indiana is an at-fault (tort) state: bodily injury and property damage liability coverage pays, up to policy limits, for injuries and property damage you cause to others with your car, while medical payments coverage for your own injuries is optional. The Alabama Department of Insurance's national list places Indiana among the "Tort States." National list: https://aldoi.gov/consumers/StateAutoLaws.aspx Source: Indiana Department of Insurance, Auto Insurance; Alabama Department of Insurance, State Auto Insurance Laws
Uninsured motorist coverage	Each newly written Indiana auto liability policy must include uninsured and underinsured motorist coverage unless the policyholder rejects it in writing. The Department of Insurance lists minimum limits of $25,000/$50,000 for uninsured motorist bodily injury, $25,000 for uninsured motorist property damage, and $50,000 for underinsured motorist bodily injury. The statute (Ind. Source: Indiana Department of Insurance, Auto Insurance
Proof of insurance	Indiana verifies insurance through the BMV rather than at roadside: insurance information given to a police officer is not sent to the BMV. The BMV mails a request to verify financial responsibility after an accident report, a pointable moving violation within a year of two others, a serious (misdemeanor or felony) traffic violation, any pointable violation by someone previously suspended for lack of proof, or at any time. The driver's insurer must then file a Certificate of Compliance electronically within 90 days of the BMV's request, or driving privileges are suspended. Only insurers can submit proof; the BMV does not accept policy documents from drivers. Source: Indiana BMV, Proof of Financial Responsibility; Reinstating Your Driving Privileges

Cancellation and nonrenewal	An insurer may cancel a new policy within its first 60 days. After a policy has been in effect 60 days, the insurer may cancel only for certain reasons, such as failure to pay the premium or loss of the driver's license. At the end of the policy period an insurer may refuse to renew, but must give 20 days' advance notice. Source: Indiana Department of Insurance, Auto Insurance
What insurers can use to set rates	The Indiana Department of Insurance lists age and sex, marital status, driving record, car use, place of residence, policy limits, deductibles, type of car, driver training, claims history and credit scores as rating factors insurers may use; rates must be filed with the Department and may not be excessive, inadequate or unfairly discriminatory. Source: Indiana Department of Insurance, Auto Insurance
Complaints about an insurer	Complaints against insurance companies must be in writing. File through the Indiana Department of Insurance's Online Consumer Complaint Portal (preferred), or mail or fax the Insurance Complaint Form to IDOI, Attn: Consumer Services Division, 311 W. Washington Street, Suite 300, Indianapolis, IN 46204-2787 (fax 317-234-2103). Complaints are typically processed within 72 hours, and insurers have 20 business days to respond in writing. Source: Indiana Department of Insurance, File an Insurance Company Complaint

Indiana Car Insurance Laws: Minimum Coverage, Penalties and SR-22

Quick answers for Indiana

Required coverage

Driving without insurance and SR-22

Your rights with insurers

Title and registration

Car Insurance & Vehicle Laws FAQ

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