Indiana Auto Insurance Laws

Drivers in the United States must carry some form of car insurance liability coverage. Minimum coverage varies by state.

Car Insurance Policy Coverage in Indiana

Typically, auto insurance policies will cover the following:

• Bodily injury liability for when others are injured by your vehicle
• Property damage liability for when property is damaged by the accident
• Medical payments to cover medical expenses for yourself and for passengers injured in the accident
• Collision coverage to cover damages to your car as a result of the accident
• Comprehensive coverage to pay for damages caused by something other than an accident, such as theft, fire, or natural disaster
• Other coverage for towing costs or car rentals also may be available

Each individual policy will have its own limits and deductibles.

Indiana Car Insurance Rates

You can easily determine your car insurance rates by shopping at your local Indianapolis car insurance agency to see what’s right for you. The Indiana Department of Insurance is the regulating body that regulates how companies shape their policies.

Keep in mind that car insurance rates may be different for every person. In Indiana, rates for drivers will vary depending on several factors:

• Age
• Gender
• Education
• Driving record
• Place of residence
• Insurance claims and car accident history
• Vehicle model

An insurance company has the right to cancel your policy within the first 60 days of signing. After that, you can only lose your insurance policy if you fail to pay a premium or if you lose your license. However, you are free to cancel your policy at any time. A company can refuse to renew your policy at the end of your policy period, but you must be notified at least 20 days in advance.

Tort Liability in Indiana

Indiana uses a tort liability system of auto insurance, which can also be called fault insurance. At minimum, Indiana requires that all drivers hold liability coverage for at least $25,000–50,000 in bodily injury and $10,000 in property damage.

Under fault insurance—which has been adopted in a majority of states—an insurance company pays damages based upon how at-fault each driver appears for the accident. These policies require you to purchase a certain amount of liability coverage in order to cover damages in the event that you are at fault. Any actual damage to your own vehicle or other property, however, would fall under a separate collision coverage. In fault insurance states, it’s also possible to sue drivers for incurred medical expenses, lost wages, and pain and suffering.

What If the Other Driver Is Uninsured?

Indiana requires that liability policies include both uninsured and underinsured motorist coverage, unless a policyholder specifically rejects it in writing.

Uninsured motorist coverage is designed to protect you in the event of an accident with an uninsured motorist. In this case, your insurance covers damages for the uninsured party.

Underinsured motorist coverage is designed for drivers who don’t have sufficient insurance coverage to pay for the damages from the accident. Your coverage would incur the remaining balance.

What Financial Responsibilities Do I Have After an Accident?

In the state of Indiana, drivers who have been in a car accident must be able to demonstrate financial responsibility. You can generally prove that you’re qualified by simply purchasing an Indiana vehicle insurance policy; the insurance company will automatically notify the Indiana Bureau of Motor Vehicles and keep you on positive record, given that you make your payments on time.

What If I Don’t Qualify for an Insurance Policy?

If you have been turned down by an insurance agency and can’t find coverage, you may need to apply for the Indiana Auto Insurance Plan as an alternative. Any insurance agent licensed in Indiana can enroll you. The program is designed to cover drivers who have been turned away by insurance companies.

Contact an Automobile Accident Attorney Today

If you or a loved one have been injured as a result of a car accident or if you have been unfairly turned away by an insurance agency, contact the Indiana Automobile Accident Attorneys of Wilson Kehoe Winingham. The lawyers at WKW can help you navigate insurance policies and get the compensation you deserve. Call 317.920.6400 or fill out an online contact form for a free, no-obligation case evaluation.