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South Bend, IN Business Licensing & Operations: Towing Companies (2026)

Some Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

License fee
$125 per year from the City Controller
Insurance required
$50,000 property / $300,000 public liability
Sign notice
Posted at least 24 hours before towing
Police report
Immediate call to Police Radio Room after tow
Unclaimed vehicles
Notification form after 24 hours, kept 60 days
Penalty
$50 to $2,500, rising per offense

Summary

A South Bend company cannot tow, boot, or immobilize a vehicle from private property without an annual $125 vehicle removal service license and $50,000/$300,000 liability insurance on file with the Controller. Property owners must post a warning sign at least 24 hours before any tow, and operators must report every removal to the South Bend Police Department the same day.

(a)License required. No person shall engage in the business of towing or otherwise removing unauthorized vehicles from private property within the City, booting, impounding, disabling, or taking any other action having the effect of restricting the access to such vehicle...without first obtaining an annual vehicle removal service license...(d)License fee. If the applicant meets the requirements of this section, the Controller shall issue a license upon payment of an annual fee of one hundred twenty-five dollars ($125.00).(e)Liability insurance required. No vehicle removal service license will be issued hereunder unless there is on file in the office of the Controller...a current policy of insurance in an amount of not less than fifty thousand dollars ($50,000.00) for injury to or destruction of property...and a public liability policy covering accidental bodily injury...in an amount of not less than three hundred thousand dollars ($300,000.00)...(f)Notice requirements...(1)A property owner must post a sign, notifying the public of parking restrictions, at least twenty-four (24) hours before towing, booting, impounding, disabling, storing, or otherwise encumbering, or ordering the same of an unauthorized vehicle.

View official code

Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: Code of Ordinances: Supplement 65).

Full Breakdown

The license comes from the Office of the Controller after the Department of Code Enforcement, Police Department, and Fire Prevention Bureau review the application, and it requires a detailed fee schedule for removal, storage, and release filed with the Board of Public Works. No license issues unless the operator carries at least $50,000 in property-damage coverage and $300,000 in public liability coverage per occurrence, updated annually and kept on file with the Controller.

Before any tow, the property owner must post a sign at least twenty-four hours in advance, visible from every parking area and vehicle entrance, sized between 24 by 18 inches and 30 by 24 inches, made of light-reflecting material in contrasting colors. Each sign must list every parking restriction, name and phone number of the authorized removal service and the property owner or agent, and a number 'answered personally at all times of the day and night.' Contact information must appear in letters at least two inches tall.

Once a vehicle is towed, the operator must call the Police Department Radio Room immediately to report the license number, make, year, and impound location, and file a written notification form for any vehicle still unclaimed after twenty-four hours, keeping copies for at least sixty days. The operator must issue a dated, signed receipt for every payment, carry the current fee schedule in every tow truck for inspection on request, and release a vehicle only after the owner or an authorized designee shows proof of ownership and pays the filed rate. Fee changes take effect no sooner than thirty days after being filed with the Board of Public Works. Code Enforcement and the Fire Prevention Bureau inspect each licensed operator at least twice a year.

Violations & Fines

A first offense under this section draws a fine of at least $50, a second at least $250, and every offense after that between $250 and $2,500, with each day of noncompliance a separate violation. The rule does not apply to abandoned-vehicle removals the City itself orders under Chapter 20, Article 3, or Title 9 of the Indiana Code. Every vehicle removal service must post a true copy of Section 4-20.5 at its place of business.

Frequently Asked Questions

Can a South Bend tow company remove my car without warning?
No. The property owner has to post a sign at least twenty-four hours before any tow, boot, or impoundment, placed so it is visible from every parking area and entrance to the lot. The sign must list the parking restrictions, name the authorized removal service, and give a phone number that is answered personally day and night, in letters at least two inches tall.
What must a tow operator do right after removing my vehicle?
Section 4-20.5(g)(5) requires an immediate report to the South Bend Police Department Radio Room giving the license number, make, year, and place of impoundment. If the vehicle sits unclaimed for more than twenty-four hours, the operator also files a written notification form with police and keeps a copy for at least sixty days.
How much can a South Bend tow company charge to get my car back?
Only what appears on the fee schedule the operator filed with the Board of Public Works, which must be posted where vehicles are released and carried in every tow truck for inspection on request. Rate increases take effect no sooner than thirty days after filing, so a company cannot spring a new higher rate on you without notice.

Sources & Official References

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