The Nittany Lions scored three goals in about four minutes to tie the game late in the third period.
Liam Souliere recorded his second consecutive shutout.
Unable to overcome Indiana's first half goal, Penn State fell out of the Big Ten Tournament in the quarterfinal match.
Courtney Correia and Tessa Janecke each tallied two points in the Nittany Lions' win over the Lakers.
The Nittany Lions were knocked out of the Big Ten Tournament in their third loss of the season.
Penn State men's soccer veterans Pete Mangione and Seth Kuhn rolled in All-Big Ten first team postseason honors.