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.