Oregon car insurance: required PIP benefits, uninsured motorist rules and minimum liability

What Oregon's required PIP pays

Oregon law (ORS 742.520) requires PIP on every private passenger auto liability policy. It protects you, relatives in your household, children being raised in your home, your passengers and pedestrians your car hits. ORS 742.524 spells out the minimum benefits per person:

Income and essential services benefits start only if the disability lasts at least 14 days. Insurers can sell higher PIP limits, and some offer a small deductible on PIP for you and your household. Our personal injury protection guide compares Oregon with no-fault states.

Fault still matters: Oregon's add-on system

Required PIP can make Oregon look like a no-fault state, but it is not one. Oregon is an at-fault state with "add-on" PIP: the benefits are added to your policy without taking away your right to sue. After a crash:

1. Your PIP pays first for medical bills and other listed losses, whoever caused the crash.
2. The at-fault driver's liability insurance remains responsible for injuries and damage, including costs above your PIP and pain and suffering.
3. Insurers sort out repayment. When your insurer has paid PIP and another driver was at fault, the insurers settle reimbursement between themselves.

See no-fault vs at-fault states for how this compares with neighbors.

Liability and UM/UIM minimums

Oregon's liability minimums are $25,000 per person and $50,000 per accident for bodily injury, and $20,000 for property damage. Uninsured motorist coverage must match your bodily injury limits unless you choose lower limits in writing, and it can never fall below $25,000 / $50,000. Underinsured motorist coverage is included in that UM coverage, so it also helps when an at-fault driver has too little insurance.

An estimated 14.7% of Oregon drivers were uninsured in 2023, just below the national 15.4%. Read our uninsured motorist guide for how UM and UIM claims work.

What Oregon drivers pay

Oregon's average auto insurance expenditure was $1,170.31 a year in 2023, below the national $1,281. The combined average premium for liability, collision and comprehensive was $1,268.47, compared with $1,438 nationally.

The Oregon Division of Financial Regulation stresses that prices vary between insurers, so comparing quotes matters. Insurers look at your driving record from the Oregon DMV and other states. Our shopping at renewal guide lists what to compare.

Cancellation, nonrenewal and new cars

State law limits when an Oregon insurer can drop you:

• Nonpayment: at least 10 days' notice before cancellation.
• Other cancellations and nonrenewals: at least 30 days' notice, with the reason.
• Common nonrenewal reasons: frequent claims, costly claims and a poor driving record.
• New vehicles: tell your insurer right away. Policies give only a short window to add a new car, and the regulator notes there is no law granting extra time, so check your policy.

If no insurer will cover you, you may qualify through the Western Association Automobile Insurance Plans, usually with an agent's help; the plan's number is 800-227-4659. See canceled or nonrenewed for next steps.

Crash risk on Oregon roads

Oregon's crash death rate was 12.6 per 100,000 people in 2024, above the national 11.5 per 100,000 people. Measured by distance driven, it was 1.44 per 100 million miles, compared with 1.19 per 100 million miles. An estimated 33% of drivers killed were at or above the legal alcohol limit (national: 31%), and 54% of deaths were on rural roads (national: 41%).