I have rented cars in NJ, CA, MI, WI, TX with my Indian license (no IDP) and you should the shape it is in, its literally in shreds but still they just took a xerox of it, swiped my card and said enjoy ur drive n drive safely. But I travel on B1 only so guess it dont matter when you never stay in the US beyond 3 months, never was stopped cause I did not try anything crazy..
PS there are only 3 states in the US where you dont need insurance, yes its optional when you rent cars Wisconsin is one of them, dont remember the other two.. google it
Chaxy has given some good inputs above