Understanding Oregon's Auto Insurance Minimum Requirements

Like most US states, Oregon requires drivers to have car insurance. The minimum coverage levels are: $25,000 per person and $50,000 total for bodily injury liability; $25,000 for property damage liability; $15,000 per person for personal injury protection; and $25,000 per person and $50,000 total for uninsured motorist coverage.

Bodily injury liability insurance

In the state of Oregon, drivers are required to carry a minimum level of car insurance coverage. This includes liability coverage, which deals with bodily injury and property damage.

It is important to note that these limits may not be sufficient to cover all costs associated with a serious accident. The recommended coverage is 5 to 10 times the minimum amount to adequately protect yourself and your family. Additionally, bodily injury liability insurance does not cover your own injuries or damages to your vehicle; separate coverage is required for that.

Oregon also requires drivers to have uninsured/underinsured motorist coverage, which includes bodily injury coverage. This type of coverage pays for injuries and damages caused by a driver who does not have insurance or does not have enough insurance to cover the costs. The minimum coverage for uninsured/underinsured motorist bodily injury in Oregon is $25,000 per person and $50,000 per accident.

It is important for drivers in Oregon to understand the different types of insurance coverage required by the state and to ensure they have adequate protection in case of an accident.

Property damage liability

It is important to note that property damage liability coverage does not include damage to your own vehicle. If you want insurance that covers repairs to your own car, you will need to purchase additional coverage, such as collision coverage or comprehensive coverage. Collision coverage pays for repairs to your vehicle if it is damaged in a collision with another car or a stationary object, regardless of who is at fault. Comprehensive coverage, on the other hand, covers damage to your vehicle from non-collision incidents, such as weather events or animal collisions.

While the minimum property damage liability coverage in Oregon is $20,000, it is worth considering purchasing a higher limit. The cost of repairing or replacing a vehicle in the US can quickly exceed this amount. By increasing your property damage liability coverage, you can better protect yourself financially in the event of an accident.

In addition to property damage liability coverage, Oregon also requires drivers to carry bodily injury liability coverage and personal injury protection (PIP) coverage. Bodily injury liability coverage pays for the injuries you cause to another driver or their passengers in an accident that is your fault, while PIP coverage pays for your own medical expenses and those of your passengers, regardless of who is at fault. The minimum bodily injury liability coverage in Oregon is $25,000 per person and $50,000 per accident, while the minimum PIP coverage is $15,000 per person.

Uninsured motorist coverage

In the state of Oregon, drivers must have insurance and carry proof of their current insurance coverage with them while driving. Oregon law requires drivers to carry a certain level of car insurance coverage, which must be shown to any law enforcement officer who requests it.

In Oregon, uninsured motorist coverage is provided as part of the insurance policy. This means that if you are injured in an accident caused by an uninsured driver, your own insurance policy will provide coverage up to the limits of your uninsured motorist policy. This coverage allows you to recover economic and non-economic damages, such as medical expenses, wage loss, pain and suffering, and interference with normal activities. Uninsured motorist coverage also applies in hit-and-run accidents and accidents involving a "phantom vehicle" that causes a crash without making direct contact with your vehicle.

Additionally, underinsured motorist coverage is available if your uninsured motorist limits are higher than the minimum required by law. Underinsured motorist coverage entitles you to the difference between the limits on your uninsured motorist policy and the limits on the policy of a driver who causes your injuries in an accident but does not have sufficient coverage to fully compensate you.

It is important to note that you must obtain consent from your underinsured motorist carrier before settling with the at-fault driver's insurance carrier, as failing to do so may result in a loss of benefits. You must also make your underinsured motorist claim within the specified time frame.

Personal injury protection (PIP)

PIP also covers other expenses, such as lost wages, funeral expenses, essential services, and child care. Regarding lost wages, PIP covers 70% of any wages lost due to injury, up to a maximum of $3,000 per month. To receive these benefits, you must miss at least 14 consecutive days of work, and they will cover lost wages for up to 52 weeks. PIP also provides $25 per day for child care if you are hospitalized for more than 24 hours and have a minor child.

In Oregon, if you are in someone else's vehicle at the time of an incident, your primary PIP coverage would be through the policy on that vehicle. Once that coverage is exhausted, you may be able to use your own PIP insurance or your health insurance. If you are a pedestrian or bicyclist injured in an incident with a vehicle, PIP benefits are still available to you, first through your own auto insurance policy or that of a family member in your household, and then through your health insurance or other governmental benefits.

It is important to note that Oregon is not a traditional no-fault state, so you can sue the at-fault driver in an accident for costs like medical expenses, lost income, and pain and suffering. If you receive compensation from the other driver's insurer, this money may be subject to subrogation if it exceeds a certain limit, meaning your insurer may reclaim some of the money they paid you in PIP benefits.

Collision insurance coverage

In the state of Oregon, drivers are required to carry a certain level of car insurance coverage. While collision insurance is not legally mandated, it is one of the optional coverages that can provide extra protection.

Collision insurance is a type of coverage that pays to repair or replace your vehicle if it is damaged in a collision with another vehicle or object, such as a guardrail or a tree. This coverage applies regardless of who is at fault in the accident. It is typically available for various vehicles, including cars, motorcycles, boats, and RVs.

This type of insurance is particularly beneficial for vehicle owners who lease or finance their vehicles. It is also suitable for newer, more expensive vehicles and older vehicles that still maintain good value relative to the deductible and monthly rate. Collision insurance provides peace of mind, knowing that your car is covered in the event of an accident, and helps you avoid paying out-of-pocket for repairs above your deductible.

When deciding on collision insurance, consider factors such as the value of your vehicle and your ability to pay for repairs or a replacement out of pocket. If your vehicle is brand new or still valuable, collision insurance can help cover expensive repairs or replacement costs. Additionally, if you are financing or leasing your vehicle, your lender may require collision insurance to protect their investment.

While collision insurance is not mandatory in Oregon, it is an essential consideration for drivers who want to ensure they are adequately protected in the event of a collision. By including collision insurance in your policy, you can enhance your financial protection and have greater peace of mind while on the road.

Frequently asked questions