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Best Cheap Car Insurance in Indiana for 2020

Jan. 2, 2020
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Because auto insurance rates fluctuate from one company to the next, shopping around is crucial if you want cheap car insurance in Indiana. Prices also depend on personal circumstances such as your age, accident history and credit score.

To pinpoint the best deals in Indiana, NerdWallet collected rates from the 12 largest insurers in the state and found the five cheapest options for several driver types.

Cheapest for good drivers in Indiana

For an Indiana driver with good credit and a clean driving history, the cheapest insurance companies and average rates for full coverage are:

  1. Erie: $636 per year.
  2. Geico: $642 per year.
  3. Indiana Farmers: $891 per year.
  4. Auto Owners: $998 per year.
  5. Progressive: $1,073 per year.
Drivers with no recent accidents or violations can get cheaper car insurance rates for having good credit. For this calculation, NerdWallet averaged rates for 40-year-old men and women with a clean driving record and good credit. In terms of driving and credit history, a large portion of drivers are closest to this profile, which carries standard "full coverage" insurance, including comprehensive and collision, along with state-required coverage. Prices shown include a good driver discount, when available from the insurer.

Cheapest for minimum coverage in Indiana

For bare-bones coverage, Indiana drivers may want to consider these companies, ranked by average rates for someone with clean driving and credit records buying minimum required insurance:

  1. Erie: $237 per year.
  2. Geico: $290 per year.
  3. Auto Owners: $312 per year.
  4. Indiana Farmers: $340 per year.
  5. State Farm: $403 per year.
We calculated these numbers by averaging rates for 40-year-old good drivers (earning them a discount if the insurer offers one) who have only the minimum mandatory insurance in their state. Such light coverage isn't typically recommended since it might not cover all the bills resulting from a car accident, but it's better than nothing — especially if you can't afford much more. If you're looking for the cheapest possible insurance you can get, though, you'll still want to get quotes from at least three auto insurers.

Cheapest for good drivers with poor credit

The cheapest insurance for Indiana drivers with poor credit and a good driving history comes from these companies, ranked by average rates for full coverage auto policies:

  1. Geico: $953 per year.
  2. Indiana Farmers: $1,462 per year.
  3. Erie: $1,708 per year.
  4. Safe Auto: $1,720 per year.
  5. American Family: $1,816 per year.
If you have a spotty credit history, it's important to shop around to find the cheapest auto insurance rates you can. Poor credit can have a bigger effect on car insurance premiums than even a DUI conviction or a recent at-fault crash, but prices vary by insurer. To calculate these figures, NerdWallet averaged rates for 40-year-olds with a clean driving record and associated good driver discount, if the insurer offered one. They had poor credit as reported to their insurer, and standard "full coverage" car insurance.

Cheapest for drivers with one at-fault crash

These are the cheapest insurance companies we found and their average rates for full coverage policies in Indiana for drivers who recently caused an accident:

  1. Erie: $836 per year.
  2. Indiana Farmers: $1,060 per year.
  3. Geico: $1,199 per year.
  4. American Family: $1,234 per year.
  5. State Farm: $1,488 per year.
After a relatively minor crash, some auto insurers will charge a lot more than others for coverage. To get these figures, we averaged rates for 40-year-olds with typical "full coverage" insurance and one recent at-fault crash costing $10,000 in property damage. Your rates will remain high for three to five years after you cause an accident or have a moving violation — and you still may be rejected for coverage from certain companies, including those above. If you fall into this category, be sure to shop for new insurance rates just after the three-year and five-year anniversaries of your infraction.

Cheapest insurance after a DUI in Indiana

For Indiana drivers with a recent DUI on their record, these are the cheapest auto insurers we found, ranked by average rate for full coverage:

  1. Indiana Farmers: $891 per year.
  2. Erie: $987 per year.
  3. American Family: $1,234 per year.
  4. Progressive: $1,320 per year.
  5. Geico: $1,470 per year.
A conviction for driving under the influence, or DUI, generally results in higher auto insurance premiums than before. NerdWallet analyzed rates for 40-year-old drivers and standard “full coverage” car insurance with a recent DUI conviction to see which companies were cheapest. Be warned that you may be rejected for coverage, including from the companies listed above. Rates can vary by hundreds between carriers after a DUI, and some penalize for longer than others, so it’s important to shop around for the best available price right after you see a price hike and each year after that.

Cheapest insurance after a ticket in Indiana

After a speeding ticket, the cheapest car insurance companies and average rates for full coverage policies in Indiana are:

  1. Erie: $685 per year.
  2. Geico: $930 per year.
  3. Indiana Farmers: $1,060 per year.
  4. American Family: $1,234 per year.
  5. State Farm: $1,338 per year.
Getting a speeding ticket will result in higher car insurance rates from most companies for three to five years. To see who has the cheapest rates, we calculated average car insurance rates for 40-year-old drivers with “full coverage” insurance and a recent ticket for speeding 16 mph over the limit. Though these larger companies were the cheapest we found on average, others may be cheaper for you, so be sure to get at least three quotes before deciding on a carrier.

Cheapest for couples and families in Indiana

When families go looking for the cheapest possible car insurance, they may find companies that don’t rank among the cheapest for single drivers. Insurers take different approaches to setting prices and applying discounts, so the best deals can change when more drivers and vehicles are added to a policy. For this reason, be sure to shop for insurance quotes after any major life event, such as getting married or adding a newly licensed driver. To see which insurers are cheapest for families in Indiana, we took a look at rates for a 50-year-old couple with and without a teen driver.

Cheapest for a married couple in Indiana

For an Indiana husband and wife, both 50 years old, these are the cheapest companies and average rates for full coverage on two vehicles, assuming good credit and driving histories:

  1. Geico: $980 per year.
  2. Erie: $1,088 per year.
  3. Indiana Farmers: $1,430 per year.
  4. American Family: $1,538 per year.
  5. Safe Auto: $1,621 per year.
Couples who live together can save on auto insurance by combining policies, whether they are married or not, because they can earn multi-car and multi-driver discounts. Once they tie the knot, rates can dip further, but not because of discounts — insurers see married people as less risky and so charge them lower rates. Our hypothetical 50-year-old couple’s clean driving record also earns them both a good driver discount.

Cheapest for families with a teen in Indiana

For a 50-year-old married couple with an 18-year-old driver in Indiana, the cheapest insurers and average rates for two vehicles with full coverage are:

  1. Geico: $1,812 per year.
  2. Erie: $2,049 per year.
  3. Indiana Farmers: $2,810 per year.
  4. Progressive: $2,941 per year.
  5. Safe Auto: $3,140 per year.
Adding a teen with two years’ driving experience to a married couple's policy is sure to cause a big jump in rates. Since different insurers tend to see a teen’s inexperience in different ways, we analyzed rates to see which companies had the cheapest car insurance for teens. These rates are averaged for 50-year-old couples with male and female 18-year-old drivers.

Cheapest for young drivers in Indiana

Shopping for the cheapest possible car insurance can be especially important for people in their 20s, who typically pay higher rates than more seasoned drivers. Prices vary widely, because each insurer uses factors like age and experience differently when deciding how much to charge. We analyzed rates for 25-year-olds in Indiana to find out which companies have the lowest prices for young drivers.

Cheapest full coverage for young good drivers

For full coverage, these are the cheapest insurance companies and average rates we found for a 25-year-old Indiana driver with good credit and a clean driving record:

  1. Geico: $711 per year.
  2. Erie: $760 per year.
  3. Indiana Farmers: $1,182 per year.
  4. Indiana Farm Bureau: $1,193 per year.
  5. Progressive: $1,241 per year.
Drivers in their 20s can have a hard time finding cheap car insurance, and that's even truer when they need full coverage. The rates above are averages for 25-year-old male and female drivers with comprehensive and collision coverages, which are often required for drivers with active auto loans or leases. These rates reflect a good driver discount. Young drivers, like all drivers, should check several quotes to find the cheapest for the coverage levels they need.

Cheapest minimum coverage for young good drivers

A 25-year-old driver opting for Indiana’s minimum required insurance may want to get quotes from these companies, which returned the lowest average rates:

  1. Erie: $283 per year.
  2. Geico: $306 per year.
  3. State Farm: $462 per year.
  4. Indiana Farmers: $467 per year.
  5. Progressive: $477 per year.
Since young people often have fewer assets to protect with liability insurance, they can usually get away with lower coverage limits. For an age group with relatively high insurance rates on average, that's good news, keeping rates as low as possible. For this price set, we averaged rates for 25-year-old male and female drivers who have clean driving records, good credit and bare-bones insurance coverage.

Poor credit and minimum coverage

For a young driver in Indiana with a good driving history and poor credit, these are the cheapest insurers and average rates for minimum coverage auto policies:

  1. Geico: $425 per year.
  2. Indiana Farmers: $788 per year.
  3. Progressive: $791 per year.
  4. Allstate: $804 per year.
  5. Erie: $805 per year.
Poor credit is common for younger folks just starting out, who may still be building their credit files. That can increase rates further, so it's extra important to shop around and compare as many insurance quotes as possible to find the cheapest you can get. For these prices, we averaged rates for 25-year-old male and female drivers with no recent accidents or violations (earning them a good driver discount), minimum coverage car insurance, and credit in the "poor" tier as reported to an insurer.

Cheapest for minimum coverage after a crash

When a 25-year-old driver in Indiana has caused a recent accident, the cheapest insurance companies and average rates for minimum coverage are:

  1. Erie: $387 per year.
  2. Geico: $535 per year.
  3. Indiana Farmers: $555 per year.
  4. State Farm: $637 per year.
  5. Travelers: $719 per year.
To get prices for this group, we averaged rates for 25-year-old male and female drivers with good credit and a recent at-fault crash costing $10,000 in property damage. Since car insurance is often pricier after a crash, and especially so for young drivers, we assumed minimum required insurance in the state to contain costs for our hypothetical driver. Depending on your situation, you may still be rejected for coverage, including from the companies listed above. If you've caused a crash, no matter your age, be sure to check auto insurance quotes just after the third and fifth anniversaries of your incident, when insurers often adjust rates downward.

Cheapest for minimum coverage after a DUI

For 25-year-olds in Indiana whose driving record includes a recent DUI, these are the cheapest insurers and average rates for minimum required coverage:

  1. Indiana Farmers: $467 per year.
  2. Erie: $468 per year.
  3. Progressive: $576 per year.
  4. Geico: $637 per year.
  5. American Family: $748 per year.
Young drivers with a recent DUI on their records will need to be diligent to find the lowest car insurance rates they can get — it's likely that many companies' rates will be quite expensive. Depending on the circumstances, you may be rejected for coverage, including from the companies listed above. But spending the time to shop around for quotes can help you find the lowest price from a company available to you. For this analysis, we averaged rates for male and female 25-year-old drivers with a recent DUI conviction. They had good credit and minimum required car insurance, which helps keep rates down.

Cheapest for minimum coverage and a ticket

For a young Indiana driver with a recent speeding ticket, the cheapest car insurance companies and average rates for minimum coverage are:

  1. Erie: $306 per year.
  2. Geico: $422 per year.
  3. Indiana Farmers: $555 per year.
  4. State Farm: $566 per year.
  5. Progressive: $651 per year.
Getting a speeding ticket is never fun, and neither is the higher car insurance bill you may receive months later. At that point, it's time to shop around for better rates, and it wouldn't hurt to repeat on your third and fifth ticket anniversaries, when insurers may adjust rates downward. We analyzed rates for 25-year-old male and female drivers with a recent speeding violation for going 16 mph over the speed limit to see prices for this group.

Cheap for military families

For drivers with a military connection, cheap auto insurance is often available through USAA, whose policies are exclusively for active service members, veterans and their families. We didn’t rank USAA alongside other companies since it isn’t offered to the general public, but it was among the three cheapest options in Indiana for every driver category above.

Recap: Cheapest car insurance in Indiana

  • Good drivers: Erie
  • Minimum coverage: Erie
  • Poor credit: Geico
  • After an at-fault crash: Erie
  • After a DUI: Indiana Farmers
  • After a speeding ticket: Erie
  • Married couples: Geico
  • Families with a teen: Geico
  • Young good drivers: Geico
  • Minimum coverage for young good drivers: Erie
  • Minimum coverage for young drivers with poor credit: Geico
  • Minimum coverage for young drivers after a crash: Erie
  • Minimum coverage for young drivers after a DUI: Indiana Farmers
  • Minimum coverage for young drivers after a ticket: Erie

» MORE: Compare car insurance

Minimum required auto insurance in Indiana

Indiana requires drivers to carry liability insurance to drive legally. This coverage pays for others’ injury and property damage costs if you cause a crash.

The minimum liability limits you must select are:

  • $25,000 bodily injury liability per person.
  • $50,000 bodily injury liability per accident.
  • $25,000 property damage liability per accident.

While these limits will satisfy legal requirements, they may not always be enough to pay off a legal settlement against you. A single crash could easily result in more than $25,000 in damage to another driver’s vehicle, for example. Any repairs that exceed that amount would be your responsibility.

Check out our guide to car insurance requirements by state for more details on choosing your liability limits, plus optional coverages you might want such as collision, comprehensive and uninsured motorist insurance.

Alternative Indiana car insurance

If you’re denied car insurance on the voluntary market due to credit problems, a checkered driving record or other circumstances, you can seek coverage through the Indiana Automobile Insurance Plan.

For more help finding competitive car insurance rates, try NerdWallet’s auto insurance comparison tool.

Methodology

For our “good driver” profile, NerdWallet averaged rates from the largest insurers in the state for 40-year-old men and women in all ZIP codes with 12,000 annual miles driven. The policy includes:

  • $100,000 bodily injury liability per person.
  • $300,000 bodily injury liability per accident.
  • $50,000 property damage liability per accident.
  • $100,000 uninsured motorist coverage per person.
  • $300,000 uninsured motorist coverage per accident.
  • Collision coverage with a $1,000 deductible.
  • Comprehensive coverage with a $1,000 deductible.
If required, minimum additional coverages were added and "good driver" discounts were automatically applied. Our “young driver” had all the same characteristics, but average rates were for 25-year-old men and women. We used a 2016 Toyota Camry LE for all single drivers. We used the same assumptions for all other driver profiles, with the following exceptions:

  • For drivers with minimum coverage, we adjusted the numbers above to reflect minimum required coverage by law in the state.
  • We changed the credit tier from “good” to “poor” as reported to the insurer to see rates for drivers with poor credit.
  • For drivers with one at-fault crash, we added a single at-fault crash costing $10,000 in property damage.
  • For drivers with a ticket, we added a single speeding violation for driving 16 mph over the speed limit.
  • For drivers with a DUI, we added a single drunken driving violation.
Couples in our analyses were 50-year-old men and women with good credit and clean driving histories, averaged across all ZIP codes with the same policy outlined above. To see rates for families with a teen, we added an 18-year-old licensed two years ago, averaging rates for male and female teens. For couples and families we added a 2016 Nissan Rogue S to create a two-car household.

In all cases, a paperless discount, e-signature discount and electronic funds transfer discount were automatically applied. These are rates provided by Quadrant Information Services. Your own rates will be different.