Indiana prejudgment interest rate
United States Indiana prejudgment interest has distinct contract and tort branches.
→ All Indiana judgment & prejudgment interest rates
Fixed by statute Discretionary
2026 Indiana prejudgment interest at a glance
- Current rate
- 8% per year
- Effective date
- July 9, 2026
- Controlling authority
- IC 24-4.6-1-103 (8% listed obligations); IC 34-51-4 (tort)
- Rate basis
- Fixed by statute
- Source checked
- July 9, 2026
- Recorded history
- 1 data point
Indiana’s contract/account branch under IC 24-4.6-1-103 uses 8% for listed obligations when no different rate controls. Tort actions follow the separate Prejudgment Interest Act, IC 34-51-4, which permits a court-selected simple rate from 6% to 10% only when its offer, timing, and procedural conditions are met. Neither figure is a universal statewide award.
When Indiana prejudgment interest applies
IC 24-4.6-1-103 covers specified instruments, accounts, and retained money, subject to the governing obligation. IC 34-51-4 separately governs tort prejudgment interest and requires compliance with its settlement-offer and timing conditions; the court chooses a rate within the statutory range.
When it starts accruing
The listed-obligation branch uses the applicable due, settlement, demand, or receipt date. The tort statute uses its own filing and settlement-offer period. The correct start date cannot be selected until the branch is known.
Simple or compound
The tort statute expressly uses simple interest. Do not assume that single tort instruction resolves every contract, account, agreement, or payment-allocation question.
→ Compare with the Indiana post-judgment interest rate (interest after judgment)
Indiana prejudgment interest is 8% for contract, written-instrument, and account claims (IC 24-4.6-1-103). SEPARATELY, tort/personal-injury prejudgment interest is set at the court's discretion within a 6%–10% per-year band (simple) under IC 34-51-4-9 — the 8% figure does not apply to tort claims. Verified 2026-07-11. Not legal advice.
Current recorded observation
| Effective date | Rate | Basis |
|---|---|---|
| July 9, 2026 | 8% | Statute |
Source & provenance
Observation recorded July 9, 2026 (00:00 UTC) from the cited source (Indiana General Assembly (official)):
https://iga.in.gov/laws/2026/ic/titles/24#24-4.6-1-103
Cite this page
StatuteRates. “Indiana Prejudgment Interest Rate.” StatuteRates.com. Accessed today. https://statuterates.com/rates/indiana-prejudgment-rate/ Rate recorded under IC 24-4.6-1-103 (8% listed obligations); IC 34-51-4 (tort), effective July 9, 2026.