The design of the Indiana State Flag is the result of a design competition sponsored by the Daughters of the American Revolution during the state's 1916 Centennial celebration. The winning design by Mooresville, Indiana artist Paul Hadley was adopted by the Indiana General Assembly in 1917. Originally described as the state "banner", the name was changed to "flag" by the the 1955 General Assembly.

LARGE FLAG    COLOR ME FLAG

On a field of blue, the flag displays a torch, colored gold or buff, surrounded by an outer circle of thirteen stars and an inner circle of five stars. 

The flaming torch stands for "..liberty and enlightenment." The six rays radiating from the torch are meant to symbolize the expansive nature of those two concepts. The thirteen stars of the outer circle represent the thirteen original colonies of the United States. The five stars of the inner circle represent the next five states admitted to the Union. The largest star, positioned at the top of the torch and below the state name, represents Indiana, the nineteenth state.

If you want more information on the State Flags of the United States, you might want to check How Proudly They Wave: Flags of the Fifty States by Rita D. Haban. This book is geared toward kids... and for adults like me who want to know about the history and design significance of the flags of all fifty states but can't find this information in an expensive encyclopedia.