Indiana: premium trust account rules
What Indiana requires of insurance producers holding premium funds, and what happens when those funds are diverted.
Citation
§ 27-1-15.6-12
Source chart last reviewed this jurisdiction: 2/25
What the jurisdiction requires
The source chart lists no summary of the producer's duty for Indiana. Read the cited provision directly — we would rather show this gap than paraphrase a statute we have not transcribed.
Penalties for diversion
The commissioner may levy a civil penalty, place on probation, suspend license, permanently revoke license, refuse to issue new license or any combination of the above against any producer who improperly withholds, misappropriates or converts money received in the course of an insurance transaction. In addition, or in lieu of any applicable denial, suspension, or revocation of a license the commissioner may impose a civil penalty between $50 and $10,000.
This reference is not legal advice. Citations and summaries are transcribed from the NAIC's Fiduciary Responsibilities—Premiums chart (Spring 2025) and reflect that chart's own review dates, which vary by jurisdiction. Statutes change, and the chart may lag the current code. Confirm the current text of any provision with the jurisdiction's insurance department or your own counsel before relying on it.
Tie out a Indiana trust account
Tie your premium trust account out three ways — bank, ledger and what you owe — with Indiana's cited rule beside the worksheet. Runs in your browser; nothing is uploaded.
Trust account reconciliation worksheetKeep your trust account provably in balance
Policy Balance Hub tracks premium held in trust against what you owe each carrier, so the reconciliation an examiner asks for already exists.