Indiana's Minimum Auto Insurance Requirements Explained

State‑required liability limits

Indiana law requires drivers to carry at least $25,000 per person for bodily injury, $50,000 per accident for bodily injury, and $25,000 for property damage (often written as 25/50/25). These are the minimum limits that satisfy the state's financial responsibility rules.

What the limits cover

The $25,000 bodily‑injury‑per‑person limit pays for medical expenses, lost wages, and pain‑and‑suffering for one injured party. The $50,000 per‑accident limit applies when multiple people are injured in the same crash, capping the total payout. The $25,000 property‑damage limit reimburses repair or replacement costs for another driver's vehicle or other property.

Optional coverage that many choose

While not required, Indiana drivers often add:

• Uninsured/underinsured motorist coverage – protects you if the other driver lacks sufficient insurance.
• Medical payments (MedPay) – covers medical costs regardless of fault, up to a set amount.
• Collision and comprehensive – pays for damage to your own vehicle from accidents, theft, weather, or vandalism.

How to stay compliant

Proof of insurance must be carried in the vehicle at all times. If stopped, you'll need to show the insurance card or a digital copy. Failure to provide proof can result in a fine, license suspension, or vehicle impoundment.

Cost considerations

Minimum coverage is usually the cheapest legal option, but the low limits can leave you financially exposed after a serious crash. Many drivers balance cost and risk by purchasing a modest increase, such as 30/60/30, which adds a small premium but raises protection.

Comparison of common minimum‑plus options