Indiana Insurance Laws, Rules, and Regulations
Who regulates, and how
Indiana insurance is regulated by the Insurance Commissioner, who heads the Indiana Department of Insurance and is appointed by the Governor. The Commissioner licenses producers and insurers, examines companies and conducts market-conduct reviews, holds hearings, adopts administrative rules (760 IAC), and may fine, suspend, or revoke licenses. Rates in competitive lines are filed but not set by the Commissioner; they must be adequate, not excessive, and not unfairly discriminatory.
Licensing and producer duties
A producer must pass the exam, hold an insurer appointment, and renew a two-year license with 24 hours of continuing education per term, including at least 3 hours of ethics. Producers must report address changes, administrative actions, and criminal convictions to the Department and hold premium in a fiduciary capacity - no commingling. Rebating (returning commission or offering an inducement not stated in the policy) and sharing commissions with unlicensed persons are prohibited.
Market conduct
Indiana's unfair trade practices statute (IC 27-4-1) bars misrepresentation, false advertising, defamation, boycott/coercion, unfair discrimination, twisting, rebating, and unfair claim settlement practices. Insolvency protection comes from the Indiana Insurance Guaranty Association, which pays covered claims up to statutory caps.
Auto specifics
Indiana is a tort (at-fault) state. Minimum financial responsibility limits are 25/50/25 - $25,000 per person and $50,000 per accident bodily injury, $25,000 property damage. Uninsured/underinsured motorist coverage must be offered and may be rejected only in writing.
Traps
Assuming Indiana is a no-fault state; quoting limits above 25/50/25; omitting the 3 ethics hours from the 24.
Rule of thumb
"Appointed Governor, licensed Department, 24/3 CE, 25/50/25, UM by written rejection."