Oregon Auto Insurance

Oregon follows a Tort insurance system — if you were found at fault in an accident then you and your insurance company are responsible for reimbursing the other parties for their material losses and, eventually, take care of their medical expenses.

Minimum Liability Requirements in Oregon

As of April 2026, Oregon requires drivers to carry minimum liability coverage of 25/50/20 — at least $25,000 in bodily injury liability per injured person, up to $50,000 per accident, and $20,000 in property damage liability. The state also requires uninsured motorist coverage and Personal Injury Protection (PIP).

Source: CarInsurance.com, "US State Minimum Liability Car Insurance Requirements," updated April 15, 2026.

Average Car Insurance Premiums in Oregon

Drivers in Oregon pay an average of $2,518 a year for full-coverage car insurance — 14% below the national average of $2,922 a year.

Source: Experian, "Car Insurance Average Costs by State," published September 9, 2026.

Use of handheld devices while driving

The Oregon House Bill 2377 has put a ban on all text-based communication when operating a vehicle. Moreover, new drivers under 18 aren’t allowed to use cellphones altogether when behind the wheel. No further restrictions are in place, but authorities also recommend using hands-free devices when engaging in phone calls.

Teenage driving laws in Oregon

Oregon uses the Graduated Driver Licensing system, a concept meant to gradually introduce teenagers to driving on public roads. Kids are encouraged to get behind-the-wheel experience while keeping the incidence of stressful and risky situations down to a bare minimum. Several restrictions apply to GDL drivers:

• they must always be supervised by a licensed grown-up who has had the license for at least three years;
• they may not drive between midnight and 5 am unless accompanied by a licensed driver of 25 years old or more;
• in the first six months they may not carry passengers below the age of 20, except for immediate family members.

Violating these restrictions can lead to the suspension of the driving privileges or even revocation of the provisional permit.

Penalties for driving uninsured in Oregon

Driving without insurance in Oregon is a Class B traffic violation, same as being unable to show proof of evidence when being pulled over. You will be fined around $300, lose your driving privileges for 30 to 60 days and, in some areas, have your vehicle towed. If you are also convicted of driving without insurance you will have to file a SR22 certificate for three years.

If you are also involved in a car accident, whether or not you were at fault, your driver’s license will be suspended for a year and you will have a three year SR22 filing requirement once the suspension is over.

AutoInsuranceQuery editorial team. Last reviewed: September 16, 2026.