Towing matters.
Summary
Provides that the proceeds from the sale of abandoned vehicles or parts by a city, county, or town shall first be credited against the costs of removal, storage, and disposal of the vehicle incurred by the towing company or storage facility. Allows a towing company responding to a summons for an emergency towing to utilize the shoulder of the roadway as necessary to reach the scene of a disabled motor vehicle. Provides that a commercial private property owner that establishes a tow-away zone must post a tow-away zone sign at the location of the tow-away zone that is at a height of more than five feet and less than seven feet from the ground. Prohibits a towing company from towing a motor vehicle from a tow-away zone if the tow-away zone sign is not at the required height. Provides that a towing company or storage facility shall accept a credit card or debit card as a form of payment. Prohibits a towing company or storage facility from charging a credit card service fee of more than three percent (3%). Establishes requirements for the storage of collateral by collateral recovery agencies. Specifies the time within which a self-service storage facility owner may tow or remove a motor vehicle, trailer, or watercraft.
Bill status
signed
all 5 stages cleared
Introduction
Jan 2026
Committee Review
Feb 2026
House Passage
Feb 2026
Senate Passage
Feb 2026
Signed into Law
Mar 2026
Introduced Jan 5, 2026
Signed Mar 4, 2026
Maddy AI version diff · 3 comparisons
What changed between versions
Enrolled House Bill (H)
→
House Bill (S)
·
6 edits
MODERATE
This bill updates Indiana's towing and collateral recovery laws to clarify emergency towing procedures, standardize tow-away zone signage height, and establish new rules for collateral recovery agencies. The changes aim to protect vehicle owners from unreasonable fees and ensure towing companies follow specific operational standards.
Scope change
The bill expands the scope of regulation to include specific height requirements for tow-away zone signs and creates a new chapter regulating collateral recovery agencies, while modifying existing sections on towing fees and vehicle release procedures.
REQUIREMENT
Added a new section allowing towing companies to use road shoulders for emergency towing to reach disabled vehicles.
Modified tow-away zone sign requirements to mandate a specific height of more than five feet but less than seven feet from the ground.
Established new requirements for collateral recovery agencies regarding the storage of collateral.
Modified vehicle release procedures to include specific notification requirements and dispute resolution timelines.
ENFORCEMENT
Added a prohibition preventing towing companies from towing vehicles from zones where the sign does not meet the required height specifications.
TECHNICAL
Added a new chapter specifically governing collateral recovery agencies.
Floor votes · Senate Feb 24, 2026 · House Feb 2, 2026
How they voted
47–0
Passed · 2 other
Total votes 49
Feb 24, 2026
D
Democratic9
88% Yea
R
Republican40
97% Yea
Vote distribution
All Yea
All Nay
Mixed
No data
Full legislative history
Actions timeline
Total actions
26
Key actions
12
Committee
2
Amendments
4
Mar 4, 2026
Signed into law
Signed by the Governor
executive
Feb 27, 2026
Upper · Passed
Signed by the President Pro Tempore
upper
Feb 27, 2026
Upper · Passed
Signed by the President of the Senate
upper
Feb 26, 2026
Lower · Passed
Signed by the Speaker
lower
Feb 26, 2026
Lower · Passed
House concurred with Senate amendments; Roll Call 387: yeas 87, nays 0
lower
Feb 24, 2026
Upper · Passed
Third reading: passed; Roll Call 238: yeas 48, nays 0
upper
Feb 23, 2026
Amended
Amendment #6 (Ford J.D.) failed; voice vote
upper
Feb 23, 2026
Upper · Passed
Amendment #1 (Brown L) prevailed; voice vote
upper
Feb 23, 2026
Upper · Passed
Amendment #2 (Crider) prevailed; voice vote
upper
Feb 23, 2026
Upper · Passed
Amendment #5 (Doriot) prevailed; voice vote
upper
Feb 17, 2026
Upper · Passed
Committee report: amend do pass, adopted
upper
Feb 2, 2026
Lower · Passed
Third reading: passed; Roll Call 173: yeas 80, nays 0
lower
Jan 27, 2026
Lower · Passed
Committee report: amend do pass, adopted
lower
2 primary · 3 co-sponsors
Sponsors
Role
Legislator
Party
State
District
P
Craig Haggard
RRepublican
P
Jim Tomes
RRepublican
Co
Alaina Shonkwiler
RRepublican
Co
Bob Morris
RRepublican
Co
Jim Pressel
RRepublican
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