Oregon car insurance laws

Oregon’s 3.1 million licensed drivers know that there are laws in place to protect them and their vehicles when they are on the road. Those include insurance laws, which state that all drivers must carry a solid insurance policy with a required amount of coverage. This is why it is so important. Consider the following Oregon statistics for 2018, the most recent year for which there is data:

  • There were 27,717 injuries that did not result in death.
  • 446 accidents resulted in 502 deaths, an increase of 10.67% compared to the previous year
  • 41,073 people were hurt in crashes
  • 826 bicycle crashes were caused by accidents; 1,036 were motorbike accidents

Oregon’s car insurance laws aim to reduce accidents and allow people to travel quickly. Oregon’s auto insurance requirements ensure that drivers have the financial means to cover injuries and damages caused by accidents.

Oregon has laws regarding car insurance

You will need multiple types of coverage to meet Oregon’s car insurance requirements. Here is the minimum requirement for Oregon car insurance laws:

  • $25,000 bodily injury liability per person
  • $50k per accident bodily injury liability
  • $20,000 per accident property damage liability
  • $15,000 Personal Injury Protection (PIP).
  • $25,000 per uninsured motorist
  • $50,000 per accident uninsured motorist liability

Oregon offers liability insurance

Liability coverage is the most fundamental element of Oregon insurance laws. This simply means that you are responsible if something happens to you. In this instance, you are responsible if you cause property damage or injuries. You don’t have to pay thousands of dollars for an accident you caused. Your liability insurance protects you against having to pay the high medical costs of serious accidents.

In some cases, the minimum liability requirement may not be sufficient. Higher liability limits may be an option if you have the funds. You might be in an accident that needs hospitalization and surgery. These costs can easily exceed the $25,000 minimum liability. Or think about the fact that the average cost of a new car in the U.S. is more than $40,000. The $20,000 minimum liability for a total loss of another driver’s vehicle would not be enough to cover the cost of buying a new car.

Other types of insurance are available that aren’t required by law, but they are still useful. Comprehensive and collision insurance, for instance, will cover damage to your car after an accident. Many insurers offer new car replacement coverage, gap coverage and roadside assistance.

Is Oregon a no-fault state?

Oregon is not one of 12 no-fault states in the U.S. No-fault states allow you to file a claim with your insurer after an accident, regardless of who was at fault. No-fault laws aim to reduce the time it takes to pay claims and keep lawsuits from going to court.

Oregon is an at-fault state. Oregon liability claims are made to the insurance company that represents the at-fault driver. The other driver can sue the at-fault driver if they do not have sufficient coverage to cover all costs.

Driving without Oregon insurance can result in severe penalties

Oregon’s auto insurance regulations state that anyone without an insurance policy will face penalties. Those penalties include fines of between $130-1,000, depending on the court decision, and there will be additional fees if your license is suspended, which could be for up to one year. You may also have your car impounded. To get your license back, you’ll need an SR-22 certificate.

Oregon offers additional options for auto insurance

To provide greater coverage, you can add additional coverage to your policy once you have Oregon’s minimum car insurance. Although we have already spoken of collision and comprehensive, most insurance companies offer additional coverage options. These include the following:

  • Gap coverage: Your car’s value will drop quickly due to depreciation. This coverage will cover the difference if your car is totaled and you owe more than the car’s value.
  • You can replace your car with a new one if it is damaged or totaled. This coverage will cover you for the cost of a new car, the same make and model that you had.
  • Roadside assistance: If you’re driving, this will pay for towing, battery charging, flat tire replacement, and other costs.
  • Ridershare coverage: This coverage is available to drivers who use Lyft, Uber or other rideshare companies. It will supplement the basic coverage that you already have and can be added to your existing insurance.

Questions frequently asked

Which Oregon car insurance company is best?

A good strategy for finding the best car insurance company in Oregon is to gather several quotes from some of the top companies writing policies in the state. You should have a variety of quotes from different insurers so that you can find the best rate.

Which Oregon state has the lowest car insurance?

In Oregon, there are many cheap insurance companies. A good place to start your search is with Bankrate’s page on the Cheapest Car Insurance in Oregon for 2021. We recommend any of the following companies to help you find a policy that offers good coverage and is affordable.

What is the cost of Oregon car insurance?

The average cost of full coverage in Oregon is $1,346 a year, which is below the U.S. average of $1,674. Rates will vary depending upon a variety of factors including the age and make of your vehicle, personal characteristics like your credit rating, marital status, and marital status.