Oregon Auto Insurance Coverage Options

Oregon auto insurance buyers have several options available to them when choosing coverage. The following types of protection are offered by insurance companies licensed to sell policies in the state:

Bodily injury liability coverage pays for personal injury claims made by the occupants of the other vehicle when an at-fault accident occurs. It pays for medical bills, rehabilitation expenses, funeral costs, and legal fees incurred in defending an action.

Property damage liability coverage is used to pay for the cost of repairs to the other driver’s vehicle. It pays for the cash value of other people’s property damaged or destroyed in an accident.

Uninsured and underinsured motorist coverage pays out when the at-fault driver in an accident either doesn’t have coverage or doesn’t have enough protection to pay for the damages caused in an accident. It covers personal injury claims made by accident victims.

Uninsured motorist property damage coverage is used to pay for repairs or the cash value of the policyholder’s car after a collision where the driver doesn’t have any coverage or cannot be identified.

Personal Injury Protection (PIP) coverage compensates the policyholder and the occupants of his or her vehicle for their medical bills and rehabilitation costs following an accident. It also compensates covered individuals for their lost wages and childcare costs. This type of insurance also pays out a funeral benefit if the accident was a fatal one.

Collision and comprehensive insurance coverage pays for physical damage to the policyholder’s vehicle. Collision insurance pays out when the damage is caused by striking another vehicle or an object. Comprehensive insurance pays out when the damage is caused by events such as flooding, hail, falling objects, wind, fire, vandalism and theft.

Oregon State Auto Insurance Minimum Requirements

In Oregon, state auto insurance minimum requirements mean that drivers must have third party liability and Personal Injury Protection in place. Uninsured and underinsured motorist coverage must also be added to the policy.

Bodily injury liability insurance coverage pays for medical bills incurred by the occupants of the other vehicle in an accident. The policy must have at least $25,000 in coverage to pay for one person’s injuries and $50,000 to compensate all victims of the same accident.

Property damage liability pays for repairs to the other driver’s vehicle. The minimum amount of this type of protection required by law is $20,000.

Uninsured motorist coverage is used when the at-fault driver in an accident either does not have insurance or cannot be identified, such as in the case of a hit and run. Underinsured motorist protection takes effect when the level of insurance coverage available does not cover the damages incurred by the victims. The minimum levels for these types of protection is the same as for the bodily injury portion of the policy.

Personal Injury Protection (PIP) of at least $15,000 must also be bought to comply with state law. This amount is used to pay for the injuries sustained by the policyholder and the occupants of his or her vehicle in an accident. It covers medical expenses which are deemed to be reasonable and necessary in the circumstances.