Does Central Oregon Car Insurance Cover Medical Expenses?

Does car insurance also cover medical expenses? This is a top question that every driver has. It’s an essential safeguard for drivers in Central Oregon, but many people are unclear about whether their policy covers medical expenses in the event of an accident.

The answer depends on your coverage type, Oregon’s insurance laws, and the specifics of your policy. Understanding these factors can help you make informed decisions about your auto insurance coverage and ensure you’re adequately protected in an accident.

Understanding Personal Injury Protection (PIP) in Oregon

Oregon is a fault-based state for car accidents, meaning that the driver responsible for the accident is typically required to pay for damages. However, Oregon law also mandates that all auto insurance policies include Personal Injury Protection (PIP), which helps cover medical expenses for you and your passengers regardless of who caused the accident.

Under Oregon law, PIP coverage must provide at least:

• $15,000 per person in medical expenses for up to two years after an accident.
• Coverage for lost wages (up to 70% of income, with a maximum of $3,000 per month, for up to 52 weeks).
• Reimbursement for essential services (e.g., housecleaning, childcare) if injuries prevent you from performing daily tasks.
• Coverage for funeral expenses up to $5,000.

Since PIP is mandatory, almost all drivers in Central Oregon have some level of medical coverage through their auto insurance policy. However, medical expenses can quickly exceed the $15,000 minimum, so some drivers purchase additional coverage.

What If Medical Costs Exceed PIP Coverage?

If your medical expenses surpass your PIP coverage limit, you have several options for covering the remaining costs:

1. Health Insurance – After PIP benefits are exhausted, your health insurance may help cover additional medical bills. However, some policies may require you to reimburse them if you later receive a settlement from the at-fault driver’s insurance.
2. At-Fault Driver’s Insurance – If another driver caused the accident, their liability insurance should cover your medical expenses beyond your PIP coverage. Oregon law requires drivers to carry at least $25,000 in bodily injury liability per person and $50,000 per accident, but these amounts may not be enough if injuries are severe.
3. Uninsured/Underinsured Motorist Coverage (UM/UIM) – If the at-fault driver lacks insurance or has inadequate coverage, UM/UIM coverage can help pay for your medical expenses. Oregon law requires auto policies to include at least $25,000 per person/$50,000 per accident in UM/UIM coverage unless the driver opts out in writing.
4. Lawsuit or Settlement – If necessary, you can file a personal injury lawsuit against the at-fault driver to seek compensation for medical bills, lost wages, and other damages.

Should You Purchase Additional Medical Coverage?

While Oregon’s PIP requirement provides a basic level of medical expense coverage, it may not be sufficient in the case of serious injuries. To protect yourself further, consider:

• Increasing your PIP limits beyond the state minimum.
• Adding medical payment coverage (MedPay) provides additional funds for medical costs.
• Ensuring adequate UM/UIM coverage in case the at-fault driver is uninsured.

Contact Us

Yes, Central Oregon’s car insurance covers medical expenses, primarily through Personal Injury Protection (PIP). However, PIP coverage has limits, and additional protections such as health insurance, at-fault driver liability, or UM/UIM insurance may be needed to cover medical costs after an accident. Reviewing your policy and considering additional coverage options can ensure you have the financial protection you need in case of an accident.

To learn more about our car insurance services, or to get a quote, contact us today by calling (541) 318-8835 or click here to connect with us online.