If you’ve been in a car accident in Oregon, you’ve probably heard the term “PIP” thrown around. Maybe your insurance adjuster mentioned it. Maybe someone told you to file a claim right away. And if you’re like most people, you nodded along while quietly wondering what “PIP” has to do with your car wreck.
Here’s a plain-language breakdown of how Oregon’s Personal Injury Protection insurance works, what it covers, and what to do when it runs out.
What Is PIP Insurance?
Personal Injury Protection (PIP) is a type of mandatory insurance coverage included in every auto insurance policy issued in Oregon. Under Oregon Revised Statute 742.520, all private passenger motor vehicle liability policies in Oregon must include PIP coverage. There are limited exceptions, but if you’re driving a standard personal vehicle in Oregon, you have PIP.
The key thing that separates PIP from other insurance coverage: it pays out regardless of who caused the accident.
That’s why it’s sometimes called “no-fault” coverage. You don’t have to wait for someone to be declared at fault, and you don’t have to win a lawsuit before your medical bills get covered. You were hurt in a crash, you have PIP, and it starts paying.
In the days and weeks after a serious crash, you shouldn’t be arguing with insurance adjusters about liability while you’re also trying to recover from your injuries and manage mounting bills. PIP gives you immediate financial support while the bigger picture gets sorted out.
What Does Oregon PIP Cover?
Oregon’s minimum PIP requirements are spelled out in ORS 742.524. Here’s what the law requires:
Medical Expenses
PIP covers reasonable and necessary medical treatment related to your accident injuries, including hospital visits, surgeries, ambulance fees, prescriptions, dental care, rehabilitation, physical therapy, prosthetic services, etc. Per Oregon law, these expenses are covered for up to two years from the date of the crash. The minimum coverage required is $15,000 per person, though your policy may provide more.
If you need surgery 18 months after your accident, PIP should still cover it, assuming you haven’t exhausted your limit.
Medical expenses are presumed reasonable and necessary unless your insurer disputes them within 60 calendar days of receiving the provider’s claim. In other words, the default is that your bills get paid.
Lost Income
If your injuries keep you out of work for at least 14 consecutive days, PIP will cover 70% of your lost wages, up to a maximum of $3,000 per month, for up to 52 weeks of aggregate disability. This applies to salary, wages, tips, commissions, and income from a self-owned business.
Two things worth knowing here. First, the 52 weeks don’t have to be consecutive. If you go back to work and then need to take additional time off later for a related surgery or setback, those weeks count toward the same PIP claim. Second, you’re entitled to lost income benefits even if your employer paid you sick leave or vacation during that time.
Essential Services
This benefit applies specifically to people who are not typically employed for income. If your injuries leave you unable to handle your own household tasks for at least 14 days, and you have to hire someone outside your household to help, PIP can cover up to $30 per day for those services, for up to 52 weeks in aggregate. Think grocery runs, cleaning, yard work, and similar tasks you would normally handle yourself. This benefit pays up to $30 per day for up to 52 weeks in aggregate.
Child Care
If you’re the parent of a minor child and your injuries require you to be hospitalized for at least 24 hours, PIP can cover up to $25 per day in child care costs, beginning after that first 24 hours. The maximum total benefit for child care is $750.
Funeral Expenses
If a car accident results in death, PIP covers reasonable and necessary funeral expenses incurred within one year of the crash, up to $5,000.
Who Is Covered?
PIP coverage is broader than most people expect. Under ORS 742.520, a standard Oregon auto policy’s PIP covers:
- You, the policyholder
- Household family members, even when riding in someone else’s vehicle
- Passengers in your vehicle at the time of the crash
- Pedestrians and bicyclists struck by your vehicle
How coverage applies depends on the situation.
If you’re a passenger in someone else’s car, their policy’s PIP pays first. If that coverage runs out, your own PIP may pick up from there. If you’re a household family member injured in another vehicle, the same order applies: that vehicle’s PIP first, then your own policy.
For pedestrians and bicyclists, Oregon law treats bicyclists the same as pedestrians for PIP purposes. If you have your own auto insurance policy and you’re hit while walking or biking, your own PIP pays first. If you don’t have auto insurance but someone in your household does, their policy applies next. If no one in your household has coverage, the PIP from the vehicle that struck you becomes the source of benefits.
What PIP Does Not Cover
Understanding the limits is just as important as understanding what’s covered.
PIP does not cover damage to your vehicle. It does not pay for pain and suffering. It does not compensate you for the full impact of your injuries on your life, your relationships, or your future earning capacity.
It also has a cap. The minimum is $15,000 in medical coverage. If you have a serious injury and your treatment costs exceed that, PIP stops paying. And for many accident victims in Oregon, a $15,000 limit runs out fast, especially with hospital stays, specialist visits, and months of physical therapy.
Oregon requires PIP, but Oregon is not a “no-fault state” when it comes to your right to pursue a claim. That means even after PIP pays out, you still have the right to file a personal injury claim against the at-fault driver to recover what PIP didn’t cover, including pain and suffering, full lost wages, and other damages.
Can PIP Hurt Your Other Insurance Rates?
Generally, no. Because PIP is no-fault coverage, filing a PIP claim typically does not cause your premiums to go up. Policies vary, so it’s worth confirming with your insurer, but this concern shouldn’t stop you from using benefits you’ve already paid for.
How to File a PIP Claim in Oregon
Before you contact your insurance company, talk to an attorney. This isn’t about delaying your care; it’s about making sure you don’t say something in that first call that gets used against you later. Insurance adjusters are trained to ask questions that can minimize your claim, and that process starts from the very first conversation.
Once you have legal guidance, your attorney can help you notify your insurer and navigate the claims process. When your insurer is contacted, they’ll need the date, time, and location of the crash, a description of your injuries, and information about any medical treatment you’ve received or scheduled. They should also be asked specifically how to submit medical bills directly through your PIP claim.
Your medical providers can bill your PIP insurer directly. Make sure they know you have PIP coverage and give them your claim information as early as possible, since delays in notification can slow down payment.
What Happens When PIP Runs Out?
PIP covers the immediate aftermath. It was never designed to cover everything.
Once your PIP limit is exhausted, your health insurance takes over for ongoing medical costs. If you don’t have health insurance, those bills come directly to you. For serious injuries, that gap can add up quickly.
The path to recovering what PIP doesn’t cover, including pain and suffering, full lost wages, and future medical expenses, is a personal injury claim against the at-fault driver. That’s where having an attorney in your corner matters most. Insurance companies assign adjusters to your case immediately after a crash, and their job is to settle it for as little as possible. Without representation, most people don’t know what their claim is actually worth, and they accept far less than they’re entitled to.
Oregon’s Minimum Insurance Requirements (For Context)
PIP is one piece of Oregon’s required auto insurance coverage. Under Oregon DMV requirements, drivers must carry:
- $25,000 per person for bodily injury liability
- $50,000 per crash for bodily injury liability
- $20,000 per crash for property damage
- $15,000 per person in PIP coverage
- $25,000 per person / $50,000 per crash for uninsured motorist coverage
These numbers matter because they represent the floor, not the ceiling. A single night in the hospital can cost tens of thousands of dollars. An extended recovery with surgeries, specialist visits, and physical therapy can push well past $100,000. If the driver who hit you only carries the state minimum, their $25,000 bodily injury limit may be exhausted long before your medical bills are.
That’s where the picture gets more complicated. When the at-fault driver’s liability limit doesn’t cover your full damages, you have two potential avenues. The first is a personal injury claim against the driver themselves, which can recover damages beyond their policy limit if they have personal assets. The second is your own uninsured/underinsured motorist (UM/UIM) coverage, which allows you to turn to your own policy when the at-fault driver’s insurance simply isn’t enough. These aren’t mutually exclusive, and understanding which applies to your situation, and in what order, is exactly the kind of thing an attorney sorts out on your behalf.
PIP and Car Accidents in Oregon: The Bigger Picture
PIP exists to give injured people a financial runway. It means you can get to a doctor, pay your bills, and keep your household running while you recover, without waiting months for a lawsuit to resolve. For many Oregon drivers, it’s a relief they didn’t even know they had.
But PIP alone rarely covers everything. Serious crashes produce serious consequences, and those consequences extend far beyond what a $15,000 medical cap can address. If someone else’s negligence put you in this situation, you have options beyond what PIP provides.
At SLP Injury Law, we’ve been representing Oregon accident victims since 1958. We know how PIP works. We know how insurers think. And we know what it takes to make sure you’re not left covering the gap out of your own pocket.
If you’ve been injured in a car accident in Oregon, a consultation costs you nothing. We work on a contingency fee basis, so you don’t pay unless we win your case.
Talk to a car accident attorney today. You deserve to understand every option you have.