Indiana Stacking & Multiple Insurance Policies

Indiana statutes permit anti-stacking

IC 27-7-5-5 permits a policy or endorsement to provide that total liability from one accident does not exceed the highest limit under one applicable policy, subject to the statutory minimum. Indiana therefore does not have a blanket pro-stacking rule.

The policy must clearly implement the limitation

Statutory permission is not enough by itself; the accident-date contract must contain effective language. Read other-insurance, limits-of-liability and setoff provisions together with the declarations.

Wagner invalidated ambiguous anti-stacking wording

Wagner v. Yates held the language before the Court ambiguous because it did not clearly refer to other policies or external UIM coverage as the basis for limiting aggregate recovery. The ambiguity was construed against the insurer.

Compare every policy before adding or excluding limits

Create a matrix with insurer, policy, named insured, vehicle, UM/UIM limit, insured status and anti-stacking/setoff wording. Multiple applicable policies do not automatically mean either unlimited stacking or no stacking.

PUBLIC-INTEREST LEGAL EDUCATION

VictimsGuide does not provide legal services or create an attorney-client relationship. Insurance requirements, deadlines, remedies and controlling authority can change. Verify current primary authority, policy language and the law applicable to the particular event before legal reliance.