Indiana 2025 Regular Session

Indiana Senate Bill SB0295 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1
2	2	Introduced Version
3	3	SENATE BILL No. 295
4	4	_____
5	5	DIGEST OF INTRODUCED BILL
6	6	Citations Affected: IC 25-0.5; IC 25-30; IC 26-2-10;
7	7	IC 34-30-2.1-384.3; IC 35-52-25-52.5.
8	8	Synopsis: Licensing of collateral recovery services. Renames the
9	9	private investigator and security guard licensing board as the private
10	10	investigator, security guard, and collateral recovery agency licensing
11	11	board, and adds two additional members to the board. Establishes
12	12	licensure for a collateral recovery agency. Requires a person to be
13	13	licensed as a collateral recovery agency to repossess collateral, attempt
14	14	to repossess collateral, hold one's self out as being in the business of
15	15	repossessing collateral, or use license plate recognition. Provides
16	16	certain requirements: (1) for an applicant seeking licensure as a
17	17	collateral recovery agency; (2) for a licensee to maintain licensure; and
18	18	(3) for a legal owner when personal effects are in or on the collateral
19	19	at the time of repossession. Requires equipment used to repossess
20	20	collateral to meet certain criteria. Provides that threatening a collateral
21	21	recovery agency's employee is a crime under certain circumstances.
22	22	Makes conforming changes.
23	23	Effective: July 1, 2025.
24	24	Doriot, Zay
25	25	January 13, 2025, read first time and referred to Committee on Commerce and Technology.
26	26	2025 IN 295—LS 7046/DI 148 Introduced
27	27	First Regular Session of the 124th General Assembly (2025)
28	28	PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
29	29	Constitution) is being amended, the text of the existing provision will appear in this style type,
30	30	additions will appear in this style type, and deletions will appear in this style type.
31	31	Additions: Whenever a new statutory provision is being enacted (or a new constitutional
32	32	provision adopted), the text of the new provision will appear in this style type. Also, the
33	33	word NEW will appear in that style type in the introductory clause of each SECTION that adds
34	34	a new provision to the Indiana Code or the Indiana Constitution.
35	35	Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
36	36	between statutes enacted by the 2024 Regular Session of the General Assembly.
37	37	SENATE BILL No. 295
38	38	A BILL FOR AN ACT to amend the Indiana Code concerning
39	39	professions and occupations.
40	40	Be it enacted by the General Assembly of the State of Indiana:
41	41	1 SECTION 1. IC 25-0.5-3-19, AS ADDED BY P.L.3-2014,
42	42	2 SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
43	43	3 JULY 1, 2025]: Sec. 19. IC 25-1-2-6(b) applies to the private
44	44	4 investigator, and security guard, and collateral recovery agency
45	45	5 licensing board.
46	46	6 SECTION 2. IC 25-0.5-4-26, AS ADDED BY P.L.3-2014,
47	47	7 SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
48	48	8 JULY 1, 2025]: Sec. 26. The private investigator, and security guard,
49	49	9 and collateral recovery agency licensing board (IC 25-30-1-5.2) is a
50	50	10 board under IC 25-1-4.
51	51	11 SECTION 3. IC 25-0.5-7-11, AS ADDED BY P.L.3-2014,
52	52	12 SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
53	53	13 JULY 1, 2025]: Sec. 11. The Indiana professional licensing agency
54	54	14 shall perform administrative functions, duties, and responsibilities for
55	55	15 the private investigator, and security guard, and collateral recovery
56	56	16 agency licensing board (IC 25-30-1-5.2) under IC 25-1-6-3(a).
57	57	17 SECTION 4. IC 25-0.5-8-23, AS ADDED BY P.L.3-2014,
58	58	2025 IN 295—LS 7046/DI 148 2
59	59	1 SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
60	60	2 JULY 1, 2025]: Sec. 23. An occupation for which a person is licensed,
61	61	3 certified, or registered by the private investigator, and security guard,
62	62	4 and collateral recovery agency licensing board (IC 25-30-1-5.2) is a
63	63	5 regulated occupation under IC 25-1-7.
64	64	6 SECTION 5. IC 25-0.5-9-24, AS ADDED BY P.L.3-2014,
65	65	7 SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
66	66	8 JULY 1, 2025]: Sec. 24. The private investigator, and security guard,
67	67	9 and collateral recovery agency licensing board (IC 25-30-1-5.2) is a
68	68	10 board under IC 25-1-8.
69	69	11 SECTION 6. IC 25-0.5-10-26, AS ADDED BY P.L.3-2014,
70	70	12 SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
71	71	13 JULY 1, 2025]: Sec. 26. The private investigator, and security guard,
72	72	14 and collateral recovery agency licensing board (IC 25-30-1-5.2) is a
73	73	15 board under IC 25-1-8-6.
74	74	16 SECTION 7. IC 25-0.5-12-12, AS ADDED BY P.L.3-2014,
75	75	17 SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
76	76	18 JULY 1, 2025]: Sec. 12. The private investigator, and security guard,
77	77	19 and collateral recovery agency licensing board (IC 25-30-1-5.2) is a
78	78	20 board under IC 25-1-11.
79	79	21 SECTION 8. IC 25-30-1-2, AS AMENDED BY P.L.3-2008,
80	80	22 SECTION 196, IS AMENDED TO READ AS FOLLOWS
81	81	23 [EFFECTIVE JULY 1, 2025]: Sec. 2. As used in this chapter:
82	82	24 (1) "Person" means an individual, a firm, a company, an
83	83	25 association, an organization, a partnership, or a corporation.
84	84	26 (2) "Licensee" means a person licensed under this chapter.
85	85	27 (3) "Private investigator firm" means the business of:
86	86	28 (A) making, for hire or reward, investigation or investigations
87	87	29 for the purpose of obtaining information with reference to:
88	88	30 (i) a crime against the state or wrongs done or threatened;
89	89	31 (ii) the habits, conduct, movements, whereabouts,
90	90	32 association, transactions, reputation, or character of a
91	91	33 person;
92	92	34 (iii) credibility of witnesses or other persons;
93	93	35 (iv) the location or recovery of lost, abandoned, unclaimed,
94	94	36 or stolen property;
95	95	37 (v) the causes, origin, or responsibility for fires or accidents
96	96	38 or injuries to real or personal property; or
97	97	39 (vi) the truth or falsity of a statement or representation;
98	98	40 (B) securing, for hire or reward, evidence to be used for
99	99	41 authorized investigation committees or boards of award or
100	100	42 arbitration or in the trial of civil or criminal cases; or
101	101	2025 IN 295—LS 7046/DI 148 3
102	102	1 (C) providing, for hire or reward, undercover investigators to
103	103	2 detect and prevent fraud and theft in the workplace or
104	104	3 elsewhere.
105	105	4 (4) "Board" refers to the private investigator, and security guard,
106	106	5 and collateral recovery agency licensing board established
107	107	6 under section 5.2 of this chapter.
108	108	7 (5) "Licensing agency" refers to the Indiana professional licensing
109	109	8 agency established under IC 25-1-5-3.
110	110	9 (6) "Business entity" means a firm, a company, an association, an
111	111	10 organization, a partnership, or a corporation.
112	112	11 (7) "Collateral recovery agency" refers to a person licensed
113	113	12 under IC 25-30-3.
114	114	13 SECTION 9. IC 25-30-1-5.2, AS AMENDED BY P.L.249-2019,
115	115	14 SECTION 123, IS AMENDED TO READ AS FOLLOWS
116	116	15 [EFFECTIVE JULY 1, 2025]: Sec. 5.2. (a) The private investigator,
117	117	16 and security guard, and collateral recovery agency licensing board is
118	118	17 established.
119	119	18 (b) The board consists of:
120	120	19 (1) the superintendent of the state police department or the
121	121	20 superintendent's designee; and
122	122	21 (2) subject to IC 25-1-6.5-3, the following four (4) six (6)
123	123	22 members appointed by the governor:
124	124	23 (A) One (1) individual who is associated with a private
125	125	24 investigator firm licensed under this article.
126	126	25 (B) One (1) individual who is associated with a security guard
127	127	26 agency licensed under this article.
128	128	27 (C) One (1) local law enforcement official.
129	129	28 (D) One (1) person who is not associated with the private
130	130	29 investigator firm or security guard agency other than as a
131	131	30 consumer.
132	132	31 (E) Two (2) individuals who are associated with a
133	133	32 collateral recovery agency.
134	134	33 (c) Each member of the board appointed by the governor shall serve
135	135	34 a term under IC 25-1-6.5.
136	136	35 (d) The governor may remove a board member appointed by the
137	137	36 governor under IC 25-1-6.5-4.
138	138	37 (e) A vacancy in the membership of the board shall be filled by
139	139	38 appointment by the governor under IC 25-1-6.5.
140	140	39 (f) Each member of the board is entitled to reimbursement for
141	141	40 traveling expenses and other expenses actually incurred in connection
142	142	41 with the member's duties, as provided in the state travel policies and
143	143	42 procedures established by the Indiana department of administration and
144	144	2025 IN 295—LS 7046/DI 148 4
145	145	1 approved by the budget agency.
146	146	2 SECTION 10. IC 25-30-1-6.5, AS AMENDED BY P.L.249-2019,
147	147	3 SECTION 124, IS AMENDED TO READ AS FOLLOWS
148	148	4 [EFFECTIVE JULY 1, 2025]: Sec. 6.5. (a) The board shall meet upon
149	149	5 the call of the board president.
150	150	6 (b) Three (3) Four (4) members of the board constitute a quorum.
151	151	7 SECTION 11. IC 25-30-1.3-1, AS ADDED BY P.L.185-2007,
152	152	8 SECTION 27, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
153	153	9 JULY 1, 2025]: Sec. 1. As used in this chapter, "board" refers to the
154	154	10 private investigator, and security guard, and collateral recovery
155	155	11 agency licensing board established under IC 25-30-1-5.2.
156	156	12 SECTION 12. IC 25-30-3 IS ADDED TO THE INDIANA CODE
157	157	13 AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
158	158	14 JULY 1, 2025]:
159	159	15 Chapter 3. Collateral Recovery Agency Licensing
160	160	16 Sec. 1. This chapter does not apply to the following persons
161	161	17 when engaged in an activity otherwise covered by this chapter:
162	162	18 (1) A financial institution or the employee of a financial
163	163	19 institution if the activity is conducted by the employee on
164	164	20 behalf of that financial institution.
165	165	21 (2) A towing company or towing operator when an employee
166	166	22 or agent of the financial institution is present at the site from
167	167	23 which a vehicle is towed.
168	168	24 (3) An automobile rental company or the employee of an
169	169	25 automobile rental company if the activity is conducted by the
170	170	26 employee on behalf of the automobile rental company.
171	171	27 (4) A towing company or towing operator when an employee
172	172	28 or agent of an automobile rental company is present at the site
173	173	29 from which a vehicle is towed.
174	174	30 (5) A retail seller of equipment (as defined in IC 26-1-9.1-102),
175	175	31 or an employee of a retail seller of equipment, if the activity
176	176	32 is limited to the repossession of the type of goods routinely
177	177	33 sold by the retail seller in the manner authorized by
178	178	34 IC 26-1-9.1-609 on behalf of the owner of a security interest
179	179	35 in that collateral.
180	180	36 (6) An entity or the employee of an entity that primarily
181	181	37 finances wholesale and retail transactions related to the
182	182	38 purchase or lease of equipment manufactured by the entity's
183	183	39 affiliate if the activity is limited to the repossession of the
184	184	40 equipment.
185	185	41 Sec. 2. For purposes of this chapter, the following definitions
186	186	42 apply:
187	187	2025 IN 295—LS 7046/DI 148 5
188	188	1 (1) "Assignment" means a written authorization by a legal
189	189	2 owner, lien holder, lessor, lessee, or licensed repossession
190	190	3 agency to locate or repossess, involuntarily or voluntarily, any
191	191	4 collateral that:
192	192	5 (A) is subject to a security agreement that contains a
193	193	6 repossession clause; or
194	194	7 (B) is the subject of a rental or lease agreement.
195	195	8 The term includes written authorization by an employer to
196	196	9 recover any collateral entrusted to an employee or former
197	197	10 employee if the possessor is wrongfully in possession of the
198	198	11 collateral. A photocopy, facsimile copy, or electronic copy of
199	199	12 an assignment has the same force and effect as an original
200	200	13 written assignment.
201	201	14 (2) "Automobile rental company" means a person whose
202	202	15 primary business is renting motor vehicles to the public for
203	203	16 thirty (30) days or less.
204	204	17 (3) "Board" refers to the private investigator, security guard,
205	205	18 and collateral recovery agency licensing board established by
206	206	19 IC 25-30-1-5.2.
207	207	20 (4) "Collateral" means any personal property that is subject
208	208	21 to a security, lease, or rental agreement. The term does not
209	209	22 include a recreational vehicle permanently attached to a
210	210	23 foundation and used as a primary residence.
211	211	24 (5) "Collateral recovery agency" means any person that, for
212	212	25 consideration:
213	213	26 (A) advertises as providing; or
214	214	27 (B) is engaged in the business of performing;
215	215	28 a repossession. The term includes a person that uses license
216	216	29 plate recognition for the purpose of performing a
217	217	30 repossession.
218	218	31 (6) "Conviction" means an adjudication of guilt by a federal
219	219	32 or state court resulting from plea or trial, regardless of
220	220	33 whether imposition of sentence was suspended.
221	221	34 (7) "Debtor" means any person obligated under a lease,
222	222	35 rental, or security agreement.
223	223	36 (8) "Felony" means a criminal conviction for which the
224	224	37 convicted person might have been imprisoned for more than
225	225	38 one (1) year.
226	226	39 (9) "Financial institution" has the meaning set forth in
227	227	40 IC 28-1-1-3.
228	228	41 (10) "Hazardous material" means a material or waste that
229	229	42 has been determined to be hazardous or potentially hazardous
230	230	2025 IN 295—LS 7046/DI 148 6
231	231	1 to human health, to property, or to the environment by:
232	232	2 (A) the United States:
233	233	3 (i) Environmental Protection Agency;
234	234	4 (ii) Nuclear Regulatory Commission;
235	235	5 (iii) Department of Transportation; or
236	236	6 (iv) Occupational Safety and Health Administration; or
237	237	7 (B) the environmental rules board established by
238	238	8 IC 13-13-8-3.
239	239	9 The term includes all of the hazardous materials identified in
240	240	10 49 CFR 172.101.
241	241	11 (11) "Indemnification" means any agreement that seeks to
242	242	12 indemnify and insure another against any type of claim, loss,
243	243	13 liability, recovery, or damages.
244	244	14 (12) "Legal owner" means a person holding:
245	245	15 (A) a security interest in any collateral that is subject to a
246	246	16 security agreement;
247	247	17 (B) a lien against any collateral; or
248	248	18 (C) an interest in any collateral that is subject to a lease or
249	249	19 rental agreement.
250	250	20 (13) "Licensee" means any person licensed as a collateral
251	251	21 recovery agency under this chapter.
252	252	22 (14) "License plate recognition" means a technology that uses
253	253	23 a camera and software to:
254	254	24 (A) identify and read a vehicle's license plate;
255	255	25 (B) compare images of license plates to a data base; and
256	256	26 (C) provide both live and historical data.
257	257	27 (15) "Person" means an individual, a firm, a company, an
258	258	28 agency, an organization, a partnership, or a corporation.
259	259	29 (16) "Personal effects" means:
260	260	30 (A) any property contained within or on the repossessed
261	261	31 collateral; or
262	262	32 (B) property that is not permanently affixed to the
263	263	33 repossessed collateral;
264	264	34 that is not the property of the legal owner, including
265	265	35 hazardous materials.
266	266	36 (17) "Personal information" means:
267	267	37 (A) information that identifies or reasonably can be used
268	268	38 to identify an individual, such as first and last name in
269	269	39 combination with the individual's:
270	270	40 (i) Social Security number or other government issued
271	271	41 number or identifier;
272	272	42 (ii) date of birth;
273	273	2025 IN 295—LS 7046/DI 148 7
274	274	1 (iii) home or physical address;
275	275	2 (iv) electronic mail address or other online contact
276	276	3 information or Internet provider address;
277	277	4 (v) financial account number or credit or debit card
278	278	5 number;
279	279	6 (vi) biometric data, health or medical data, or insurance
280	280	7 information; or
281	281	8 (vii) passwords or other credentials that permit access to
282	282	9 an online or other account;
283	283	10 (B) personally identifiable financial or insurance
284	284	11 information, including nonpublic personal information
285	285	12 defined by applicable federal law; and
286	286	13 (C) any combination of data that, if accessed, disclosed,
287	287	14 modified, or destroyed without authorization of the owner
288	288	15 of the data or if lost or misused, would require notice or
289	289	16 reporting under IC 4-1-11 and federal privacy and data
290	290	17 security law, whether or not the attorney general or the
291	291	18 attorney general's agent is subject to the law.
292	292	19 (18) "Principal officer" means an individual who holds the
293	293	20 office of owner, president, vice president, secretary, or
294	294	21 treasurer in a business.
295	295	22 (19) "Remote storage location" means a licensee's secured
296	296	23 storage facility that:
297	297	24 (A) is designated for the storage of collateral; and
298	298	25 (B) is either a secure building or has a perimeter that is
299	299	26 secured with a fencing construction that makes the area
300	300	27 not accessible to the public.
301	301	28 (20) "Repossession" means to take physical possession of
302	302	29 personal property that was used as collateral.
303	303	30 (21) "Towing company" refers to a business that moves a
304	304	31 vehicle by means of a tow truck or owns a storage lot. The
305	305	32 term includes a tow truck operator when acting on behalf of
306	306	33 a towing company.
307	307	34 Sec. 3. Unless licensed under this chapter, a person may not:
308	308	35 (1) repossess collateral in Indiana;
309	309	36 (2) attempt to repossess collateral in Indiana;
310	310	37 (3) hold one's self out to be a collateral recovery agency; or
311	311	38 (4) use license plate recognition to repossess collateral in
312	312	39 Indiana.
313	313	40 Sec. 4. (a) An application for licensure as a collateral recovery
314	314	41 agency must be on a form prescribed by the board accompanied by
315	315	42 the license fee established by the board under IC 25-1-8.
316	316	2025 IN 295—LS 7046/DI 148 8
317	317	1 (b) The application for licensure as a collateral recovery agency
318	318	2 must include the following:
319	319	3 (1) The applicant's full name and business's street address.
320	320	4 (2) The business name under which the applicant intends to do
321	321	5 business as a collateral recovery agency.
322	322	6 (3) The full name and residential address of each of the
323	323	7 collateral recovery agency's members, partners, directors,
324	324	8 and managers.
325	325	9 (4) The applicant's:
326	326	10 (A) Social Security number, if an individual; or
327	327	11 (B) federal Employer Identification Number.
328	328	12 (5) The following information concerning an owner or officer
329	329	13 in control or management of the collateral recovery agency:
330	330	14 (A) Name and any aliases.
331	331	15 (B) Age and date of birth.
332	332	16 (C) Place of birth.
333	333	17 (D) Social Security number or alien registration number,
334	334	18 whichever is applicable.
335	335	19 (E) Current residence address and mailing address.
336	336	20 (F) A statement of all criminal convictions, findings of
337	337	21 guilt, and pleas of guilty or nolo contendere, regardless of
338	338	22 adjudication of guilt.
339	339	23 (G) One passport type color photograph taken not more
340	340	24 than six (6) months immediately preceding submission of
341	341	25 the application.
342	342	26 (H) A personal inquiry waiver that allows the board to
343	343	27 conduct necessary investigations to satisfy the
344	344	28 requirements of this chapter.
345	345	29 (I) Any further facts as may be required by the board to
346	346	30 show that the individual signing the application is of good
347	347	31 moral character and qualified by experience and training
348	348	32 to satisfy the requirements of this chapter.
349	349	33 (6) Proof of certification and training from a nationally
350	350	34 recognized program, such as:
351	351	35 (A) the American Recovery Association's Certified
352	352	36 Collateral Recovery Specialist (CCRS) program; or
353	353	37 (B) the Recovery Industry Services Company's (RISC)
354	354	38 training program.
355	355	39 (7) Any other information required by the board.
356	356	40 Sec. 5. A licensee must maintain the following:
357	357	41 (1) A physical location with signage within Indiana.
358	358	42 (2) The ability to store a vehicle that has been repossessed.
359	359	2025 IN 295—LS 7046/DI 148 9
360	360	1 (3) The ability to store personal effects in a secured area out
361	361	2 of the elements.
362	362	3 (4) Reasonable hours that allow an individual ample
363	363	4 opportunity to retrieve the individual's personal effects or
364	364	5 collateral.
365	365	6 (5) Required insurance under section 6 of this chapter.
366	366	7 Sec. 6. (a) A licensee shall provide the board with a certification
367	367	8 of insurance evidencing coverage in the amount required under
368	368	9 this section.
369	369	10 (b) The coverage must:
370	370	11 (1) include the board as an additional insured for the purpose
371	371	12 of receiving all notices of any modification or cancellation of
372	372	13 the insurance;
373	373	14 (2) be written by an insurance company that is lawfully
374	374	15 engaged to provide insurance coverage in Indiana;
375	375	16 (3) provide for a combined single limit policy in the amount of
376	376	17 at least one million dollars ($1,000,000) per occurrence and a
377	377	18 three million dollar ($3,000,000) aggregate policy, which
378	378	19 must:
379	379	20 (A) include commercial general liability for wrongful
380	380	21 repossession, garage keepers, on hook, and drive away;
381	381	22 and
382	382	23 (B) be a direct primary policy.
383	383	24 (4) provide for a dishonesty bond policy in the amount of at
384	384	25 least one million dollars ($1,000,000); and
385	385	26 (5) insure for the liability of all employees licensed or
386	386	27 registered by the state while acting in the course of the
387	387	28 employee's employment.
388	388	29 (c) The licensee shall notify the board immediately upon
389	389	30 cancellation of the insurance policy, whether the cancellation was
390	390	31 initiated by the insurance company or the licensee.
391	391	32 (d) The board shall suspended the licensee's license on the date
392	392	33 of cancellation of the policy, unless new evidence of insurance is
393	393	34 provided to the board before the effective date of cancellation.
394	394	35 Sec. 7. An individual who has been convicted of a felony does not
395	395	36 qualify for a collateral recovery agency license under this chapter.
396	396	37 Sec. 8. This chapter does not preclude a domestic or foreign
397	397	38 limited liability company from being licensed as a collateral
398	398	39 recovery agency under this chapter.
399	399	40 Sec. 9. At all times, a licensee's license must be conspicuously
400	400	41 displayed at the licensee's location on record with the board.
401	401	42 Sec. 10. (a) Equipment used for repossessions must:
402	402	2025 IN 295—LS 7046/DI 148 10
403	403	1 (1) be registered in the state of Indiana;
404	404	2 (2) display the company name and Indiana department of
405	405	3 transportation number;
406	406	4 (3) bear a state licensing placard; and
407	407	5 (4) be inspected annually and maintain a valid Federal Motor
408	408	6 Carrier Safety Administration inspection.
409	409	7 (b) A licensee shall provide the board with evidence of
410	410	8 applicable insurance for the licensee's remote storage location that
411	411	9 specifies the licensee as the primary policy holder.
412	412	10 Sec. 11. (a) A licensee must store collateral in a secure location
413	413	11 within Indiana after repossession until the collateral is either:
414	414	12 (1) redeemed; or
415	415	13 (2) transferred to auction.
416	416	14 (b) The licensee may charge a reasonable fee for storing
417	417	15 collateral in the secure location. However, the licensee may charge
418	418	16 an additional fee for collateral that contains hazardous materials.
419	419	17 (c) The fee described in subsection (b) may be charged to either
420	420	18 the:
421	421	19 (1) debtor; or
422	422	20 (2) legal owner.
423	423	21 (d) If personal effects are contained in or on collateral at the
424	424	22 time of repossession, the licensee shall inventory and store the
425	425	23 personal effects until either:
426	426	24 (1) returned to the debtor; or
427	427	25 (2) disposed of in accordance with this section.
428	428	26 (e) If personal effects contained in or on collateral at the time of
429	429	27 repossession have an estimated value of at least ten dollars ($10),
430	430	28 the legal owner of the collateral shall provide the debtor with
431	431	29 written notice of the following:
432	432	30 (1) A list of each item of personal effects having an estimated
433	433	31 value of at least five dollars ($5).
434	434	32 (2) The estimated aggregate of all the items of personal
435	435	33 effects.
436	436	34 (3) A statement that if the debtor does not claim the property
437	437	35 within thirty (30) days after the notice was sent, the personal
438	438	36 effects will become the property of the licensee with no right
439	439	37 of redemption by the debtor.
440	440	38 The notice under this subsection must be sent by certified mail.
441	441	39 (f) If personal effects are not claimed by the debtor not more
442	442	40 than thirty (30) days after the legal owner sends notice under
443	443	41 subsection (e), the licensee may dispose of the personal effects.
444	444	42 However, the licensee shall:
445	445	2025 IN 295—LS 7046/DI 148 11
446	446	1 (1) surrender illegal items or contraband to local law
447	447	2 enforcement; and
448	448	3 (2) retain a receipt or other proof of surrender as part of the
449	449	4 licensee's records.
450	450	5 Sec. 12. (a) If the licensee has reason to believe that collateral
451	451	6 collects or stores personal information, the licensee shall eliminate
452	452	7 the personal information collected or stored in the collateral by
453	453	8 using a standardized electronic solution:
454	454	9 (1) as soon as practicable after repossession; and
455	455	10 (2) before releasing the collateral from the licensee's
456	456	11 possession.
457	457	12 (b) A licensee who complies with this section is not subject to
458	458	13 civil liability.
459	459	14 Sec. 13. (a) A person shall not threaten a collateral recovery
460	460	15 agency's employee, physically or verbally, during the course of a
461	461	16 repossession.
462	462	17 (b) A violation of subsection (a) is a Class A misdemeanor for
463	463	18 the person's first offense. However, any subsequent violation of
464	464	19 subsection (a) is a Level 6 felony.
465	465	20 SECTION 13. IC 26-2-10-0.5 IS ADDED TO THE INDIANA
466	466	21 CODE AS A NEW SECTION TO READ AS FOLLOWS
467	467	22 [EFFECTIVE JULY 1, 2025]: Sec. 0.5. As used in this chapter,
468	468	23 "collateral recovery agency" means a person licensed under
469	469	24 IC 25-30-3.
470	470	25 SECTION 14. IC 26-2-10-2 IS REPEALED [EFFECTIVE JULY 1,
471	471	26 2025]. Sec. 2. As used in this chapter, "motor vehicle repossession
472	472	27 agent" means a person who physically repossesses a motor vehicle or
473	473	28 watercraft on behalf of another person or on the person's own behalf.
474	474	29 SECTION 15. IC 26-2-10-6, AS ADDED BY P.L.38-2009,
475	475	30 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
476	476	31 JULY 1, 2025]: Sec. 6. (a) A motor vehicle repossession agent who
477	477	32 collateral recovery agency that repossesses or intends to repossess a
478	478	33 motor vehicle or watercraft must provide the following information, if
479	479	34 available, to the sheriff's department of the county having jurisdiction
480	480	35 in the location where the motor vehicle repossession agent collateral
481	481	36 recovery agency believes that the motor vehicle or watercraft will be
482	482	37 found:
483	483	38 (1) The identity of the repossession company. collateral recovery
484	484	39 agency.
485	485	40 (2) A description of the motor vehicle or watercraft.
486	486	41 (3) The name and address of the person believed to be currently
487	487	42 in possession of the motor vehicle or watercraft (if the
488	488	2025 IN 295—LS 7046/DI 148 12
489	489	1 repossession has not yet occurred), or believed to have been in
490	490	2 possession of the motor vehicle (if the repossession has already
491	491	3 occurred).
492	492	4 (4) The address where the motor vehicle repossession agent
493	493	5 collateral recovery agency believes that the motor vehicle or
494	494	6 watercraft will be found (if the repossession has not yet occurred),
495	495	7 or the address where the motor vehicle was found when it was
496	496	8 repossessed.
497	497	9 (b) A motor vehicle repossession agent collateral recovery agency
498	498	10 must provide the information described in subsection (a):
499	499	11 (1) before the repossession occurs; or
500	500	12 (2) not later than two (2) hours after the repossession.
501	501	13 SECTION 16. IC 26-2-10-7, AS ADDED BY P.L.38-2009,
502	502	14 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
503	503	15 JULY 1, 2025]: Sec. 7. A motor vehicle repossession agent who
504	504	16 collateral recovery agency that violates section 6 of this chapter
505	505	17 commits a Class C infraction.
506	506	18 SECTION 17. IC 34-30-2.1-384.3 IS ADDED TO THE INDIANA
507	507	19 CODE AS A NEW SECTION TO READ AS FOLLOWS
508	508	20 [EFFECTIVE JULY 1, 2025]: Sec. 384.3. IC 25-30-3-12 (Concerning
509	509	21 the elimination of personal information by a collateral recovery
510	510	22 agency).
511	511	23 SECTION 18. IC 35-52-25-52.5 IS ADDED TO THE INDIANA
512	512	24 CODE AS A NEW SECTION TO READ AS FOLLOWS
513	513	25 [EFFECTIVE JULY 1, 2025]: Sec. 52.5. IC 25-30-3-13 defines a
514	514	26 crime concerning collateral recovery agencies.
515	515	2025 IN 295—LS 7046/DI 148