INSURANCE - CAR INSURANCE

Best Car Insurance in Indiana for 2024

Updated April 11, 2024
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USAA generally has the best car insurance in Indiana.

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With stunning natural sites, delicious food, and exciting sports and cultural events, entertainment isn’t more than a short drive away for many residents of the Hoosier State. Thankfully, car insurance rates are generally more affordable than in other states, making it the perfect excuse to hop in the car for a getaway.

In this article

Key takeaways

  • The best car insurance in Indiana is USAA, which offers comprehensive coverage for a yearly average of $778.
  • Drivers with a clean driving record pay an average of $96 per month in Indiana.
  • Indianapolis drivers pay the most in the state, an average of $1,354 a year.

Best car insurance companies in Indiana

The best car insurance in Indiana generally comes from USAA, which has the state’s cheapest full and minimum coverage. Allstate had the most expensive car insurance on our list, costing an average of $1,549 per year for full coverage and $675 a year for minimum coverage.

Provider J.D. Power customer satisfaction rating Estimated annual full coverage Estimated annual minimum liability coverage
USAA 878/1,000 $778/year $239/year
Erie 844/1,000 $786/year $301/year
State Farm 837/1,000 $795/year $311/year
GEICO 831/1,000 $964/year $386/year
Allstate 822/1,000 $1,549/year $675/year
Progressive 816/1,000 $995/year $409/year
Farmers 816/1,000 $1,452/year $492/year

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USAA: Highest customer satisfaction

USAA earned the highest customer satisfaction score in Indiana. It also provided the cheapest coverage in the state, averaging $239 annually for minimum coverage and $778 per year for full coverage. USAA has multiple policy options, including some optional coverages like roadside assistance. However, its policies are not available to the general public.

Pros
  • USAA has multiple discounts, including up to 10% off for bundling home and auto policies
  • It had the best pricing on our list for full and minimum car insurance
Cons
  • Only military members and their families qualify for USAA policies
  • USAA has fewer specialty policy options than some competitors

Get a quote now | USAA review

Erie: Most affordable coverage

Erie Insurance had the most affordable coverage available to everyone in the state. Its full coverage averages $786 annually, and its minimum coverage is only $301 per year. Erie has standard coverages like collision and comprehensive, but it also offers optional coverages not found with some competitors, such as locksmith services, pet coverage, and personal item protection.

Pros
  • Erie earned the second-highest customer satisfaction score on our list
  • It has various discounts, including first-accident forgiveness
Cons
  • Erie only has agents in and around the Indianapolis area
  • Its safe driving app, YourTurn, does not offer policy savings, just $5 gift cards

Get a quote now | Erie review

State Farm: Best for new drivers

State Farm had Indiana’s third-cheapest car insurance, costing an average of $795 annually for full coverage and $311 for minimum coverage. While you may pay more to use State Farm in Indiana, it may be worth it to families with teenagers since it offers specific policies and discounts totaling as much as 25% for new drivers.

Pros
  • State Farm received relatively high customer satisfaction ratings
  • It has multiple insurance agents throughout Indiana
Cons
  • You can likely find more discounts with a competitor
  • It doesn’t offer some specialized policies, like gap insurance

Get a quote now | State Farm review

GEICO: Best for multi-driver discounts

GEICO is a more expensive option for insurance in Indiana, averaging $964 annually for full coverage and $386 for minimum coverage. However, GEICO gives customers up to 25% off their premium for insuring more than one vehicle, and some drivers may qualify for additional savings by bundling multiple policies together.

Pros
  • GEICO has multiple policy options, including rental reimbursement
  • Its minimum coverage was less expensive than that of some competitors
Cons
  • GEICO only has three insurance agents in the state
  • It earned only average customer service scores

Get a quote now | GEICO review

Allstate: Best for coverage options

While Allstate was the most expensive carrier on our list, it offers more policy options, including accident forgiveness, rideshare insurance, vanishing deductible, and rental reimbursement. It also has policies specific to new or classic cars.

Pros
  • Allstate’s Drivewise program offers a policy credit for every six months of safe driving
  • It has a wide variety of policy options
Cons
  • You may find more discounts with a competitor
  • It was the most expensive carrier on our list

Get a quote now | Allstate review

Indiana auto insurance requirements

Many states require drivers to carry a minimum level of insurance to drive legally. In Indiana, the minimum limits are:

  • $25,000 in bodily injury liability for one person in an accident
  • $50,000 in bodily injury liability for two or more people in an accident
  • $25,000 in personal property protection

Drivers must also have uninsured motorist protection equal to the liability minimums above.

How to choose a car insurance provider in Indiana

If you’re new to an area or need a new car insurance provider, consider the following while researching:

  • Get multiple quotes: Request quotes from at least three companies and ensure the coverages and limits match your current insurance. You can get quotes online or over the phone, or consider using an insurance broker to help you gather quotes from multiple companies.
  • Verify a company’s financial health: Use a website like AM Best to confirm an insurance company can financially pay claims. Visit the Indiana Department of Insurance or the National Association of Insurance Commissioners (NAIC) websites to verify a company is licensed to do business in Indiana.
  • Research customer complaints: Read online reviews about customer complaints and how a company solves problems on a website like the Better Business Bureau. Ask friends and family members for recommendations and their experiences finding insurance in Indiana.

How much does car insurance cost in Indiana?

The average cost of car insurance in Indiana is $1,160 per year for full coverage insurance and $412 for the state’s minimum coverage. The average annual cost of car insurance in the U.S. is $1,582, so Indiana drivers generally pay less than the rest of the country.

Indianapolis drivers generally pay the most for car insurance, an average of $1,354 per year. Carmel drivers pay the least in the state, with an annual average of $1,165.

Indiana car insurance rates by city

If you live in a densely populated city, you may pay more for car insurance. Since more people generally mean a higher rate of accidents or theft, highly populated areas are more likely to see higher insurance rates.

Indianapolis residents pay the most for car insurance in Indiana, and according to the analytics website NeighborhoodScout, they have a one-in-30 chance of being victims of property crimes like car theft and vandalism. In contrast, residents of Fort Wayne pay an average of $1,201 annually for car insurance, and have a one-in-42 chance of experiencing property crimes.

City Avg. annual full-coverage premium
Indianapolis$1,354/year
South Bend $1,307/year
Bloomington $1,295/year
Evansville $1,293/year
Fort Wayne $1,201/year
Carmel $1,165/year

Methodology

Our analysis was conducted using six different auto insurance marketplaces to determine the best auto insurance in each state. The data we analyzed included coverage premiums from up to 10 different insurance providers. We looked at rates by city, driver profile, and credit score, as well as factored in the impact of driving violations. This data is for comparative purposes only. Your actual quote may be different.

FAQs about car insurance costs in Indiana

What are the minimum car insurance coverage requirements in Indiana?

Indiana's minimum car insurance requirements are $25,000 in bodily injury liability for one person and $50,000 for two or more people in an accident. Drivers must also have $25,000 in property damage liability and uninsured motorist coverage that match the liability minimums.

How much does car insurance cost in Indiana?

Car insurance in Indiana costs an average of $1,160 per year for full coverage and $412 annually for minimum coverage. 

Which car insurance companies cover Indiana?

Many nationally recognized insurance companies cover Indiana, including Allstate, State Farm, USAA, GEICO, Progressive, and more. 

What is the cheapest car insurance company in Indiana?

The cheapest car insurance company in Indiana is USAA, which costs an annual average of $778 for full coverage and $239 for minimum coverage.

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Author Details

Kate Daugherty Kate Daugherty is a professional writer with a passion for providing others the head start they deserve on their financial journeys. Largely self-taught, Kate relied on books, blogs, and trial-and-error to learn how to budget and save for the future, all while working to pay back about $15,000 in student loans.