Indiana § 27-4-4-5 - Vexatious refusal to pay without reasonable cause; attorney's fees
Full text of Indiana Indiana Code § 27-4-4-5 — Vexatious refusal to pay without reasonable cause; attorney's fees, with citation guidance and answers to common questions.
§ 27-4-4-5. Vexatious refusal to pay without reasonable cause; attorney's fees
Sec. 5. In any action against an unauthorized foreign or alien insurer upon a contract of insurance issued or delivered in this state to a resident of this state or to a corporation authorized to do business in this state, if the insurer has failed for thirty (30) days after demand prior to the commencement of the action to make payment in accordance with the terms of the contract, and it appears to the court that the refusal was vexatious and without reasonable cause, the court may allow to the plaintiff a reasonable attorney fee and include such fee in any judgment that may be rendered in the action. Such fee shall not exceed twelve and one-half percent (12 1/2%) of the amount which the court or jury finds the plaintiff is entitled to recover against the insurer, but in no event shall such fee be less than twenty-five dollars ($25). Failure of an insurer to defend any such action shall be deemed prima facie evidence that its failure to make payment was vexatious and without reasonable cause.
Formerly: Acts 1955, c.203, s.5. As amended by P.L.136-2018, SEC.174.
Source: official Indiana text · Last verified 2026-08-27
Frequently Asked Questions About Indiana § 27-4-4-5
What does Indiana Code § 27-4-4-5 cover?
Section 27-4-4-5 ("Vexatious refusal to pay without reasonable cause; attorney's fees") is part of the Indiana Code, the codified statutory law of Indiana. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Indiana § 27-4-4-5?
A common citation format is "Indiana Code § 27-4-4-5" (Indiana). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Indiana law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Indiana official source linked on this page or consult a licensed Indiana attorney.
How does Indiana § 27-4-4-5 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Indiana can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Indiana.