Indiana lawmakers approve new towing fee structure effective July 2025

House Bill 1390, introduced in the Indiana House on April 9, 2025, aims to regulate towing practices across the state, addressing concerns about transparency and fairness in towing fees. The bill establishes clear guidelines for how towing companies can charge for emergency and private property towing, ensuring that rates are consistent and fair for both vehicle owners and towing companies.

One of the key provisions of House Bill 1390 is the requirement for towing companies to file their rates with the state police department if they wish to be included in the department's towing rotation. This means that when a vehicle is towed at the request of law enforcement, the fees charged will be based on pre-agreed rates, promoting accountability and reducing the potential for overcharging. For local law enforcement requests, the bill stipulates that towing companies must adhere to rates set by the local agency or, if none exist, to rates established by the state police department.

The bill also introduces a mechanism for vehicle owners to file complaints regarding towing practices, which will be reviewed by a newly established towing complaint advisory board. This provision aims to empower consumers and ensure that their grievances are addressed, fostering a more equitable towing environment.

Debate surrounding House Bill 1390 has highlighted concerns from both towing companies and consumer advocates. Towing companies argue that the regulations could limit their ability to set competitive rates, while consumer advocates emphasize the need for protections against predatory towing practices. As discussions continue, lawmakers are considering amendments to balance the interests of both parties.

The implications of House Bill 1390 extend beyond just towing companies and vehicle owners. By establishing clearer regulations, the bill seeks to enhance public trust in towing practices and law enforcement, potentially reducing conflicts and misunderstandings in towing situations. As the bill moves forward, its impact on the community will be closely monitored, particularly regarding how it affects towing fees and consumer rights.

As the effective date of July 1, 2025, approaches, residents and towing companies alike are encouraged to stay informed about the changes and prepare for the new regulations that aim to create a fairer towing landscape in Indiana.