It was the team's third contest this season that was decided in overtime.
The Nittany Lions finish strong to start the Penn State Classic.
Penn State quickly lost control against the Hoosiers despite Kai Phillips' early goal.
Penn State snapped its four-game win streak, dropping its Big Ten opener.
Both Penn State men's and women's basketball missed out on the tournaments last year.
The Lady Lions announced their 2025-26 conference schedule Thursday, featuring nine home games at the Bryce Jordan Center.