IndyCar finalizes rule restricting non-charter entries to Indy 500 only after 2026

Penske Entertainment has informed its IndyCar entrants of a change in policy where non-charter entries like the pair of PREMA Racing cars that ran throughout 2025 will no longer be welcome in the series after 2026.

The only caveat is each May’s running of the Indianapolis 500, where the 10 teams who possess charter memberships and non-charter teams (like Abel Motorsports, Dreyer & Reinbold Racing, and HMD Motorsports for this year’s race) are permitted to file entries.

The rule takes effect upon completion of the final race on September 6 at WeatherTech Raceway Laguna Seca, which means the 10 full-time teams with aspirations to run extra cars and any non-charter teams who hold a desire to compete outside of the Indy 500 will have the 11 remaining races to participate before the window closes “indefinitely until further notice,” according to the series’ owner.

With the new rule set to be implemented in the coming months, Penske Entertainment has locked its 10 teams and their 25 full-time entries in as the only teams and cars approved to compete in IndyCar on either side of the Indy 500 in 2027. The rule expands to cover 27 cars in 2028 when single charters awarded to Chevrolet and Honda will add to season-long entries.

A note was also included to the teams which says Penske Entertainment “reserves the right to fill the car field for the race in the best interest of the sport” if the grid falls below 25 next year or below 27 in 2028.

The rule brings a formal end to any hope PREMA Racing held to find new investors and make its return, and also bars Abel and DRR and HMD and other potential entrants from competing in the series – beyond the Indy 500 – unless they buy charters from the 10 existing teams.

One other option exists for the non-charter teams, even though it’s a long shot, and that’s to be chosen by Chevy to run its lone charter entry. The rule governing manufacturer charters stipulates Chevy and Honda can only choose teams with less than three charters, which leaves AJ Foyt Racing, Ed Carpenter Racing, and Juncos Hollinger Racing as the primary options among full-time entrants, and Abel, DRR, and HMD among the established non-charter entrants.

Manufacturers are not required to choose a team; Chevy and Honda could elect to start their own single-car teams, but Honda has selected Meyer Shank Racing to field its factory entry and Chevy is expected to partner with one of the aforementioned Chevy-powered teams.