Indiana Least Expensive Car Insurance & Minimum Requirements, plus Average Rate by City & Saving Strategies

If you are looking for a more cost-effective premium, the overall cheapest car insurance companies in Indiana are Erie, The Cincinnati, and Progressive.

Depending on your age and location, they can offer quotes from 20% to 34% lower than the median rate for drivers of similar age and profile.

Other carriers you would want to put on your list to get quotes are Utica National, Auto-Owners, and Western Reserve.

All three can average from 16% to over 24% lower than the median rate for drivers.

In certain zip codes and age dependent, Indiana Farmers Mutual can offer than lowest rate.

There are more details below.

In this article I am going to cover the minimum requirements in Indiana, cost-saving strategies for the most savings, and the least expensive insurance companies by price.  

If you would like to skip to a certain portion of the article, I have provided a table of contents down a little and to the right.

Minimum Car Insurance Requirements in Indiana

Coverage	Indiana Minimum Liability Coverage	Recommended Coverage
Bodily Injury Protection	$25,000 / $50,000	$100,000 / $300,000
Property Damage	$25,000	$50,000
Uninsured Motorist Coverage Bodily Injury	$25,000 / $50,000	$100,000 / $300,000
Uninsured Motorist Property Damage*	$25,000	$50,000
Underinsured Motorist Bodily Injury**	$50,000	$300,000
Comprehensive Coverage	Optional	$250 - $1,000 deductible
Collision Coverage	Optional	$250 - $1,000 deductible

*Uninsured Motorist coverage can be rejected in writing.

**Underinsured Motorist Bodily Injury is minimum of $50,000 per person and $50,000 per accident. This coverage can be rejected in writing. Per IDOI.

Bodily Injury Liability

Bodily injury liability insurance covers hospital costs for injured people in the other automobile.

Under a minimum policy the insurer will pay $25,000 for a single person with up to $50,000 if more than one individual is injured.

Note: For a 25-year-old driver the lowest price carriers are Erie, The Cincinnati, and GEICO, as illustrated. I queried each at $1,523, $1,548, and $1,589 respectfully per year. Which is over 32% cheaper than the average premium for similar age drivers. For more detailed comparison please see rate table below.

Property Damage Liability

In the event the other automobile is damaged or there’s damage to other property like buildings or stop signs, the minimum property damage liability cover will pay up to $15,000 to cover repair costs.

Note: Inexpensive car insurance options for a 30-year old are Erie, The Cincinnati, and GEICO.  I queried each at $1,211, $1,231, and $1,247 respectfully per year. Or about 19% to 23% lower than the average rate. More details in rate table below.

Additional Options to Forego Liability Coverage

Although this is the state minimum for car insurance, there is another option for the residents of Indiana.

You can place $40,000 in a trust or you place the funds on deposit with the Treasurer of the state.

Most drivers cannot afford to place that amount money on deposit and those which have the funds over ninety-nine percent of the time they get insurance from a reputable firm anyway.

Note: For a 35-year-old driver all insurers clustered between $1,003 and $1,065. The least expensive quotes are with Erie, The Cincinnati, and GEICO. Or about 22% to 27% lower than average rate in the state of Indiana.

Cheapest Auto Insurance Providers by Rate & Company

Below is a rate table of the least expensive carriers for drivers from 25 to 55 years of age.

The cheapest car insurance companies in Indiana by price are Erie, The Cincinnati, and Progressive.

Depending on your location, you can find quotes from 27% to over 35% lower than the median quote for similar age drivers.

Other carriers which offer competitive quotes are Auto-Owners, Western Reserve, and Utica National.

Depending on your location, Western Reserve and Utica National can offer the cheapest rates.

All three carriers offer quotes from 16% to nearly 25% cheaper than the average premium for similar age drivers throughout the state.

National carriers which offer substantially lower than average premiums in Indiana are Nationwide and State Farm.

Both insurers can offer quotes from 10% to 14% lower than average for young drivers.

And nearly 19% lower for older drivers.

Another company any age of driver should put on their bucket list of quotes is Indiana Farmers Mutual.

They have been in business since 1877 and one of the older companies offering coverage in the state.

In local regions, Farmers Mutual offers competitive quotes for all age of drivers.

With quotes from 16% to 30% lower than the “mean” rate for similar profile drivers. 

With the list below, you have a blend of regional and national companies to help you find the lowest premium.

Indiana Company	Average Rate 25 Y/O Driver	30 Y/O Driver	35 Y/O Driver	40 Y/O Driver	45 Y/O Driver	55 Y/O Driver
Erie	$1,523	$1,211	$1,003	$743	$678	$590
The Cincinnati	$1,548	$1,231	$1,004	$745	$680	$597
GEICO	$1,589	$1,247	$1,032	$765	$690	$600
Progressive	$1,608	$1,265	$1,042	$787	$699	$603
Auto-Owners	$1,642	$1,278	$1,065	$791	$700	$609
Western Reserve	$1,644	$1,300	$1,089	$804	$704	$609
Utica National	$1,646	$1,306	$1,099	$816	$712	$612
State Farm	$1,679	$1,376	$1,128	$841	$721	$612
Nationwide	$1,721	$1,365	$1,154	$878	$743	$623
Westfield	$1,754	$1,387	$1,157	$900	$744	$641
Allied	$1,766	$1,379	$1,159	$905	$768	$657
Farmers	$1,862	$1,400	$1,166	$912	$798	$678
Allstate	$1,865	$1,421	$1,180	$932	$787	$680
Indiana Farmers Mutual	$1,890	$1,423	$1,198	$945	$788	$674
The Hartford	$1,900	$1,476	$1,217	$967	$800	$682
Safe Auto	$1,952	$1,512	$1,231	$968	$804	$689
Liberty Mutual	$1,976	$1,576	$1,265	$1,003	$812	$690
Amica	$2,008	$1,532	$1,319	$1,032	$841	$687
Hanover	$2,054	$1,548	$1,309	$1,087	$844	$689
21st Century	$2,078	$1,587	$1,333	$1,121	$896	$683

Note: A 40-year-old driver can find rates under the $800 range for full coverage. Erie and The Cincinnati offer the lowest quotes at $743 and $745 respectfully. GEICO is approximately 5% more at $765. While Progressive and Auto-Owners are 10% higher with quotes at $787 and $791 respectfully.

Comprehensive & Collision Coverage

Carrying the lowest coverage is an option, but it is recommend to look into comprehensive, collision, uninsured motorist protection, and Gap coverage if you have financed your vehicle.

Indiana has a higher than average stolen car rate, particularly in Indianapolis, Fort Wayne and South Bend.

Comprehensive coverage will protect your vehicle in the unlikely event it is stolen.

Note: Each of the insurers clustered within $22 of each other for a 45-year-old driver. Erie and The Cincinnati offer the cheapest car insurance prices at $678 and $680 respectfully. GEICO, Progressive, and Auto-Owners are equally competitive with quotes less than 3% higher than their competitors.

However, if you are able to park your vehicle in a garage and a secured parking lot when at work you want to tell your agent your car is secured to lower the comprehensive coverage.

Another options is increasing your deductible. 

If you are getting insurance for a motorcycle then you want to be sure to have “non-collision” or comprehensive coverage since the state is eighth in nation for stolen motorcycles.

Note: For a 55-year-old driver, two insurers I queried fell under the $600 mark. Erie at $590 and The Cincinnati at $597. GEICO, Progressive, and Auto-Owners are competitive with quotes between $600 and $609. Each carrier illustrated above offers quotes at least 18% cheaper than the median rate for similar age drivers.

Best Companies by Consumer Rating, Complaints, & Rate Change over 18 Months

Below is a table of each insurer with the average consumer rating, number of complaints, and the rate change over an 18 month period.

The rate change is averages from 1.6% to 3%.

Farmers Mutual offers a nominal rate change of 1.7%.

All companies including Erie, Western Reserve, Utica National, and Auto-Owners all have rate changes of less than 2%.

If you get a traffic violation you can find your premium increase 20% to 30% or more.

The amount of complaints is included to coincide with the amount of written premiums.

Or called the complaint ratio.

If you see a company with a large amount of complaints, but a low amount of written premiums, this should throw up a red flag.

This is not the case for any of the insurers below.

The consumer rating data is compiled from reputable online sources to get an average.

Any other data is from III.org, JD Power & Associates, and AM Best.  

Indiana Company	Premiums	Rate Change < 18 Months	# of Complaints	Consumer Rating out of 5 Stars
Indiana Farm Bureau	$14,653,717	+1.8%	4	4.0
State Farm	$438,378,692	+1.9%	112	4.4
Allied	$63,303,269	+1.9%	11	4.2
Shelter	$177,289,527	+2.1%	16	4.0
Wolverine Mutual	$17,682,721	+1.7%	3	3.9
Travelers	$89,455,011	+1.9%	21	4.3
Nationwide	$109,133,146	+2.3%	29	4.3
USAA	$178,161,099	+1.9%	43	4.5
American Family	$376,677,786	+1.6%	197	4.6
Hartford	$64,703,294	+1.7%	34	4.3
Auto-Owners	$89,503,458	+2.0%	10	4.3
Allstate	$99,493,185	+1.9%	54	4.0
Kemper Specialty	$15,204,961	+1.9%	26	3.7
The Cincinnati	$67,164,693	+1.5%	9	3.8
Safeco	$130,051,091	+1.7%	54	3.9
Pekin	$43,175,896	+2.3%	51	3.8
Farmers	$164,521,515	+2.0%	124	4.4
Liberty Mutual	$49,315,179	+1.6%	33	4.3
AAA	$109,793,682	+1.9%	108	3.9
Indiana Farmers Mutual	$21,026,448	+1.8%	13	3.8
Progressive	$276,267,646	+1.5%	185	4.3
21st Century	$15,048,870	+1.6%	15	4.3
Western Reserve	$38,924,474	+1.9%	19	4.1
GEICO	$290,691,590	+1.9%	144	4.4
State Auto	$17,374,813	+1.6%	18	4.2
Esurance	$28,876,150	+2.4%	25	4.1

Uninsured Motorist Protection

Since the uninsured motorist rate is high, whether you live in Clarksville or Greenwood, you may want to consider uninsured motorist protection or UM coverage.

UM will help protect you when involved in an accident with a driver with little to no insurance to cover the repair bills and damages.

If your vehicle is no more than five years old or is worth thousands of dollars you want to talk to an agent after using our comparison tool.

It never hurts to ask about optional coverage to be sure your vehicle is fully protected.

Average Rate by City in Indiana

Below is a list of 30 fairly populated cities across Indiana and the average premium rate.

Location is a primary factor when insurers determine your rate.

This is a reason you can have a lower or higher premium when you move from one city with the same vehicle.

The average yearly premium price is from $1,505 to $1,987 per year.

Compared to other states, Indiana is more expensive.

If you reside in one of the cites below and your premium is significantly higher, you are either a young driver, have traffic violations, or poor credit.

There are a number of other factors.

You would want to contact your insurer to find why you have a high premium.

If you would like a detailed comparison of more populated cities please read further below.

City	Average Rate	Population	City	Average Rate	Population	City	Average Rate	Population
Anderson	$1,505	55,130	Hammond	$1,769	77,134	Noblesville	$1,839	60,183
Bloomington	$1,590	84,465	Hobart	$1,987	28,255	Portage	$1,636	36,505
Carmel	$1,587	91,065	Jeffersonville	$1,843	47,124	Rising Sun	$1,902	2,146
Decatur	$1,623	9,561	Kentland	$1,912	1,683	Seymour	$1,911	19,384
Elkhart	$1,687	52,221	Lafayette	$1,587	71,782	Shelbyville	$1,639	19,048
Elwood	$1,854	8,416	La Porte	$1,769	21,732	Speedway	$1,932	12,102
Farmersburg	$1,621	1,088	Lafayette	$1,649	71,782	Terre Haute	$1,841	60,852
Frankfort	$1,743	15,951	Montpelier	$1,658	1,691	Vincennes	$1,835	17,924
Franklin	$1,976	24,867	Muncie	$1,737	69,010	Westfield	$1,847	37,221
Goshen	$1,812	33,034	Munster	$1,751	22,825	Yorktown	$1,621	11,210

Indianapolis, IN

The average car insurance rate in Indianapolis is a whopping $1,987 per year.

To find the cheapest auto insurance, I recommend getting quotes from Erie, GEICO, and The Cincinnati.

I queried each at $1,132, $1,143, and $1,167 respectfully per year for a 30-year-old driver. 

Each carrier is approximately 40% lower than the citywide average.

Progressive and Western Reserve are worth getting quotes from since they are about $100 more expensive than my top three choices.

For a 45-year-old driver I found Erie and GEICO under the $700 mark.

I queried each at $644 and $676 respectfully per year.

Over $1,000 in savings when compared to the “mean” rate in the city. A

ll insurers for a 45-year old in the table are at least 25% lower than comparable companies in the region.

A family should get quotes from all insurers illustrated since more expensive companies tend to lower their rate for married couples.

Indianapolis Company	30 Y/O Driver	45 Y/O Driver
Erie	$1,132	$644
GEICO	$1,143	$676
The Cincinnati	$1,167	$700
Progressive	$1,188	$734
Western Reserve	$1,208	$776
Auto-Owners	$1,232	$844
Utica National	$1,287	$879

Indianapolis is the largest city in Indiana and the state capital.

It was incorporated as a city in 1832. 

Today, Indianapolis is the twelfth-largest city in the United States, with a steadily-growing population and a strong, diverse economy.  

Fort Wayne, IN

Getting a cheaper auto premium in Fort Wayne is easy if you know where to get quotes from.

I found the cheapest auto insurance rates with Erie, Western Reserve, and GEICO.

Each queried at $1,008, $1,021, and $1,056 respectfully for a 30-year-old driver.

Which is 35% cheaper than the average rate of $1,743.

The Cincinnati and Progressive are about $100 higher at $1,098 (The Cincinnati) and $1,107 (Progressive).

It would be smart for a 30-year old to get quotes from all insurers illustrated for maximum savings.

For a 45-year-old driver I found quotes less than $700 with three insurance companies.

Erie at $655, Western Reserve at $676, and GEICO at $690 which is 50% more than the “mean” rate in Fort Wayne.

Out of the 7 companies I queried, the most expensive was Utica National at $1,167 for a 30-year old and $864 for a 45-year-old driver.

Still fairly inexpensive compared to the average rate of Fort Wayne.

Fort Wayne Company	30 Y/O Driver	45 Y/O Driver
Erie	$1,008	$655
Western Reserve	$1,021	$676
GEICO	$1,056	$690
The Cincinnati	$1,098	$704
Progressive	$1,107	$765
Auto-Owners	$1,154	$806
Utica National	$1,167	$864

Fort Wayne is the second largest city in Indiana with nearly 300,000 residents. 

The downtown area is known for its quality art exhibits, awesome museums, and quaint dining.  

Fort Wayne has billed itself as “The City of Restaurants,” and the 600 eating and drinking establishments in and around the city bolster that claim.

Evansville, IN

To get cheaper auto insurance in Evansville I recommend getting quotes from Erie, The Cincinnati, and Western Reserve.

Each queried at $1,010, $1,027, and $1,087 respectfully for a 30-year-old driver.

Which is over 30% cheaper than the average rate of $1,854 per year for full coverage.

GEICO and Progressive are 25% lower than the citywide “mean” rate at $1,100 and $1,143 respectfully for the same 30-year old.

For a 45-year-old driver I found quotes clustering between $812 and $987.

Erie, The Cincinnati, and Western Reserve being the lowest at $812, $823, and $856 respectfully for a 45-year old.

Out of the 7 insurance firms I queried, the most expensive is Indiana Farmers Mutual at $1,189 for a 30-year old and $987 for a 45-year old.

Still hundreds in savings compared to other insurers in Evansville.

Evansville Company	30 Y/O Driver	45 Y/O Driver
Erie	$1,010	$812
The Cincinnati	$1,027	$823
Western Reserve	$1,087	$856
GEICO	$1,100	$906
Progressive	$1,143	$923
Auto-Owners	$1,176	$956
Indiana Farmers Mutual	$1,189	$987

Evansville is the 3rd largest city in the state with 120,000 residents.

It was established as a city in 1847.

Today, it is a major industrial center and has transformed itself into a regional commercial and medical hub.  

Evansville is home to a number of significant cultural, historic, and artistic sites.

Plus, it is known for a great economy, family friendly, and moderate cost of living.

South Bend, IN

Drivers can find inexpensive coverage by getting quotes from Erie, The Cincinnati, and Western Reserve.

Each queried at $965, $978, and $979 respectfully for a 30-year-old driver.

Or more than 50% lower than the high-average rate of $1,932 per year for full coverage.

GEICO and Indiana Farmers Mutual are over 40% lower at $1,054 and $1,090 respectfully.

For a 45-year-old driver I found 2 insurers clustering under $800 per year.

Erie at $746 and The Cincinnati at $789 for full coverage.

Western Reserve and GEICO are more than 40% lower than the “mean” rate for a 45-year old at $823 and $865 respectfully.

Out of the 7 insurers queried, the most expensive was Auto-Owners at $1,121 for a 30-year old and $932 for a 45-year-old driver.

South Bend Company	30 Y/O Driver	45 Y/O Driver
Erie	$965	$746
The Cincinnati	$978	$789
Western Reserve	$989	$823
GEICO	$1,054	$865
Indiana Farmers Mutual	$1,090	$890
Progressive	$1,100	$902
Auto-Owners	$1,121	$932

South Bend, Indiana is the 5th largest city in the state with over 100,000 residents. 

Famously home to the University of Notre Dame. 

Incorporated as a city in 1865, the city has a highly industrialized economy which emanated from the pioneering companies founded there in the 19th century, most notably the Studebaker Brothers Manufacturing Company.

Gary, IN

Gary has higher than average insurance premiums with a “mean” rate of $1,976 per year.

To find the cheapest auto insurance I suggest getting quotes from Erie, The Cincinnati, and Western Reserve.

I queried each at $1,234, $1,245, and $1,265 respectfully for a 30-year-old driver.

About 34% lower than the citywide average rate.

GEICO and Indiana Farmers Mutual are about $100 and $150 higher than my top three choices, but would be worth seeing what quote they would offer you.

For a 45-year old I found one insurer less than $1,000 per year – Erie at $978.

The Cincinnati, Western Reserve, and GEICO are within $100 of the cheapest insurer I queried.

All four insurers are over 23% lower than the “mean” rate in Gary.

The most expensive – Auto-Owners is 18% lower than the “mean” rate at $1,487 for a 30-year old and $1,187 for a 45-year-old driver.

Gary Company	30 Y/O Driver	45 Y/O Driver
Erie	$1,234	$978
The Cincinnati	$1,245	$1,043
Western Reserve	$1,265	$1,056
GEICO	$1,376	$1,076
Indiana Farmers Mutual	$1,421	$1,127
Progressive	$1,432	$1,139
Auto-Owners	$1,487	$1,187

Gary is situated only 30 miles southeast of Chicago, Illinois and has long been known as an industrial city and the economic hub of the Northwest Indiana region. 

Founded in 1906 by Elbert H. Gary, the city was propelled by the steel manufacturing in the early part of the 20th century.

Today, Gary continues to be a major steel producer but still faces economic challenges, which have been somewhat mitigated by the introduction of two casinos which opened in the 1990s.

Bloomington, IN

Drivers in Bloomington can find affordable quotes with Erie, The Cincinnati, and Indiana Farmers Mutual.

I queried each at $1,255, $1,290, and $1,349 per year for a 30-year-old driver.

Which is 33% to 39% lower than the median rate for drivers with a similar profile.

Western Reserve and Progressive offer competitive quotes with prices at $1,387 and $1,465 per year for full coverage.

For a 45-year old your best options are with Erie and The Cincinnati.

I queried each at $908 and $987 per year for full coverage.

Which is 30% to 35% lower than the median rate for drivers of similar age and profile.

Indiana Farmers Mutual and Western Reserve offer competitive quotes with prices at $1,043 and $1,089 per year for full coverage.

In fact, it would be smart to get quotes from all carriers to find the most savings while maintaining equal or more coverage.

Bloomington Company	30 Y/O Driver	45 Y/O Driver
Erie	$1,255	$908
The Cincinnati	$1,290	$987
Indiana Farmers Mutual	$1,349	$1,043
Western Reserve	$1,387	$1,089
GEICO	$1,409	$1,100
Progressive	$1,465	$1,130

Bloomington is 50 miles southwest of Indianapolis with approximately 84,000 residents.

It was established in 1818 by various settlers across the Americas which were impressed with the Haven of Blooms which they called Bloomington.

It is home to the University of Indiana with nearly 50,000 students, which is the first established college west of the Allegheny Mountains.

Lafayette, IN

If you can’t find the least expensive premium in Lafayette, your probably getting quotes from the wrong place.

Start with Erie, Indiana Farmers Mutual, and The Cincinnati.

I queried each at $1,130, $1,165, and $1,200 per year for a 30-year-old driver.

Which is 29% to 35% lower than the median rate for similar age drivers.

To be on the safe side you would want to put Western Reserve, GEICO, and Progressive on your list to get quotes.

All three are over 21% lower than the drivers of similar profile.

A 45-year old can find cheaper quotes with Erie and Indiana Farmers Mutual.

I queried each at $870 and $903 per year for full coverage.

Which is 33% to 35% lower than the “mean” quote for similar drivers.

Another great option is The Cincinnati which offers quotes at $965.

Which is well below the median rate.

Lafayette Company	30 Y/O Driver	45 Y/O Driver
Erie	$1,130	$870
Indiana Farmers Mutual	$1,165	$903
The Cincinnati	$1,200	$965
Western Reserve	$1,265	$1,005
GEICO	$1,376	$1,075
Progressive	$1,400	$1,111

Lafayette was platted by William Digby in 1825 with approximately 6,000 residents.

The town was named in tribute to General Lafayette who fought for the American Army during the American Revolutionary War.

Today, Lafayette, including West Lafayette, have approximately 145,000 residents.

Terre Haute, IN

If you are looking for the cheapest car insurance in Terre Haute your best options is probably going to be with Indiana Farmers Mutual, Erie, and The Cincinnati.

I queried each at $1,100, $1,125, and $1,198 per year for a 30-year-old driver.

Which is approximately 27% to 33% lower then the “mean” quote for similar age drivers.

Other great options to get quotes are with Western Reserve and Progressive. Each queried at $1,243 and $1,311 respectfully.

A 45-year old can find cheaper quotes with Indiana Farmers Mutual, Erie, and The Cincinnati.

I queried each at $844, $898, and $907 respectfully per year for full coverage.

Or approximately 28% lower than the “mean” quote for similar profile drivers.

Terre Haute Company	30 Y/O Driver	45 Y/O Driver
Indiana Farmers Mutual	$1,100	$844
Erie	$1,125	$898
The Cincinnati	$1,198	$907
Western Reserve	$1,243	$987
Progressive	$1,311	$1,054
GEICO	$1,345	$1,098

Terre Haute derived its name from an expression used by early 18th century French explorers to describe the terrain of the city, which lies on a high flat plain.

The name of the city means “high plain”.

Incorporated as a city in 1832 with less than 2,500 residents, it is the self-proclaimed capital of the Wabash Valley.

Today, there are over 60,000 residents and over 170,000 in the metropolitan area.

Resources & DMV Information

Department of Insurance	Department of Transportation	Department of Motor Vehicles
311 W Washington St, Indianapolis, IN 46204 (317) 232-2385	100 N Senate Ave, Indianapolis, IN 46204 (866) 849-1368	Suite 107, 12955 Old Meridian St, Carmel, IN 46032 (888) 692-6841
Website	Website	Website

Sources

http://www.iii.org/

https://www.libertymutual.com/auto/car-insurance-coverage/indiana

https://www.thesimpledollar.com/best-car-insurance-in-indiana/

https://www.esurance.com

https://www.safeauto.com/state-insurance/indiana-auto-insurance