Why Is Car Insurance So Expensive in Oregon

Although GEICO offers the cheapest full coverage and minimum liability auto insurance in Oregon, other criteria, such as coverage quantity, driving history, age and credit score can also affect average rates.

Progressive, for example, is the cheapest for drivers with a DUI on their record. Retired or active military members and their families can get the cheapest rates from USAA for liability-only and full-coverage plans.

cheapest auto insurance Oregon 2021

The Cheapest Car Insurance in Oregon

Cheapest Minimum Liability Car Insurance in Oregon

In Oregon, liability-only coverage is the most basic and cheapest insurance option for drivers. This is because it only meets the state's minimum requirements.

MoneyGeek conducted a study on car insurance companies in Oregon and found the cheapest options for minimum coverage to be:

• USAA: $465 per year (only available to current and former military members)
• GEICO: $566 per year

The most expensive car insurance provider in Oregon is American Family, with an average annual rate of $1,037.

Cheapest Minimum Car Insurance in Oregon

These prices are only estimates based on rates for an average Oregon driver and should not be used to compare insurance prices.

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Cheapest Full Coverage Car Insurance in Oregon

To get protection against most road accidents and off-road incidents, Oregon drivers should choose a full coverage policy with higher liability limits and comprehensive and collision insurance. While these policies are more expensive, they protect against the cost of damage to your vehicle. Compare quotes from multiple insurers to find the best rates.

Based on MoneyGeek's study, the cheapest car insurance providers in the state for a driver with full coverage are:

• USAA: $770 per year (for military members only)
• GEICO: $979 per year

Allstate has the most expensive rate for comprehensive and collision insurance in Oregon, costing an average of $1,457 annually.

Cheapest Full Coverage Car Insurance in Oregon

How to Compare Cheap Oregon Car Insurance Quotes Online

Most insurance providers in Oregon provide quotes online. Use MoneyGeek's auto insurance calculator to see how much you'll pay as an average driver. However, drivers looking for a more personalized quote need to reach out directly to providers and provide more detailed information.

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Cheapest Car Insurance for Drivers With a DUI in Oregon

Insurers in Oregon charge higher rates for drivers with severe driving violations, such as a DUI. The average cost of car insurance in Oregon if you have a DUI is $1,787 per year. That is $606 more than the average annual rate for those with clean driving records.

The cheapest car insurers for Oregon drivers with a DUI and full coverage are:

• Progressive: $1,234 per year
• State Farm: $1,251 per year

Although USAA and GEICO are the most affordable options for drivers with clean records, Progressive and State Farm offer lower rates for those with DUI.

Average Car Insurance Rates With a DUI

Cheapest Car Insurance in Oregon for Drivers With an At-Fault Accident

If you are at fault in an accident in Oregon, your car insurance rates will almost certainly go up. Drivers deemed "at-fault" in an accident pay an average of $1,731 in insurance premiums each year in the state.

On average, the following two companies offer the cheapest auto insurance in Oregon for drivers who are at fault in an accident:

• American Family: $1,411 per year
• State Farm: $1,483 per year

Even though USAA's average quote of $1,193 per year is the lowest in the state, only current and former military personnel and their families qualify for the company's policies.

Cheapest Car Insurance With an At-Fault Accident

Cheapest Car Insurance for Drivers With Tickets in Oregon

Drivers who have driving violations in their records, like tickets, tend to have higher car insurance rates. In Oregon, the average rate for drivers with a speeding ticket is $1,541. That is higher than the average annual rate for drivers with a clean record, which is $1,181.

The cheapest car insurance companies in Oregon for drivers with a speeding ticket and full coverage:

• USAA: $977 per year (only for members of the military)
• State Farm: $1,251 per year

In comparison, USAA and GEICO offer the lowest rates for drivers with no tickets.

Average Car Insurance Rates With a Ticket

Cheapest Car Insurance Companies in Oregon for Drivers With Bad Credit

Having a bad credit score results in higher car insurance rates in Oregon. The annual average cost for drivers with poor credit in the state is $1,927, while the average rate for drivers with healthy credit scores is $1,181 annually.

The cheapest car insurance companies for Oregon drivers with poor credit and full coverage are:

• USAA: $1,283 per year (available to military members only)
• GEICO: $1,393 per year

USAA and GEICO are the most affordable companies for full coverage policies regardless of if you have poor or good credit.

Average Car Insurance Rates for Drivers With Bad Credit

Cheapest Car Insurance in Oregon for Seniors

Car insurance companies in Oregon usually charge senior drivers higher rates than young adults and middle-aged drivers. The average cost for senior drivers in the state is $1,235 per year. The average annual cost for the average 40 years old driver is $1,181.

The cheapest car insurance companies in Oregon for senior drivers with full coverage are:

• USAA: $867 per year (for military members only)
• MetLife: $920 per year

To compare, the cheapest rates for young adults and middle-aged drivers come from USAA and GEICO.

Average Car Insurance Rates for Seniors

Cheapest Car Insurance in Oregon for Young Drivers

Young drivers, due to their lack of experience on the road, pay higher premiums in Oregon when purchasing their own policies. Luckily, as they age, their average costs tend to lower. In Oregon, a 16-year-old pays an annual average of $2,856 when buying their own insurance, while a 25-year-old driver pays an average rate of $1,285 each year.

Allstate is the cheapest auto insurance provider in Oregon for 16-year-old drivers. However, MoneyGeek found that GEICO was the most affordable provider on average for the majority of age groups in that range.

Annual Car Insurance In Oregon for Young Drivers

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• Age

  Average Cost

  Cheapest Company

  Company Cost

• 16

  $2,856

  Allstate

  $2,487

• 17

  $2,686

  GEICO

  $2,052

• 18

  $2,442

  GEICO

  $1,868

• 19

  $2,704

  GEICO

  $2,186

• 20

  $2,393

  GEICO

  $1,991

• 21

  $1,870

  GEICO

  $1,524

• 22

  $1,726

  GEICO

  $1,369

• 23

  $1,522

  GEICO

  $1,184

• 24

  $1,407

  GEICO

  $1,124

• 25

  $1,285

  GEICO

  $1,101

Adding a teenage driver to your car insurance policy in Oregon can be expensive. Federal statistics show teens are almost three times more likely to have a fatal crash, so insurers charge more to cover them.

Your teen can also benefit from driver's education. Taking a defensive driving course teaches good defensive driving and may likely get a discount on an insurance premium. Look for a state-certified driver's ed course to ensure the insurance company will recognize the class.

Other ways to keep your rates down include ensuring your young driver gets good grades and maintains a clean driving record. The longer they go without an accident or ticket, the faster their rates will decrease. The best way to find the cheapest auto insurance for teenagers in Oregon is to shop around. Check out the above table for estimates of what parents can expect to pay when adding a young driver to their insurance plan.

The Oregon Department of Transportation offers The Oregon Parent Guide to Teen Driving. You may also want to ask your insurance company about an "accident forgiveness" clause that guarantees premiums will not increase after a minor accident. You'll likely save on premiums if your teen is insured on your policy, rather than their own, even if they own their own car.

Insurance Rate Information for Military Drivers and Veterans

More than 300,000 veterans and 1,500 active-duty military personnel live in Oregon. If you are a veteran or military service member, be sure to mention your service and ask if there are any discounts available. Many insurance companies offer discounted rates for veterans and military members.

For active-duty members, your insurance needs will reflect your current assignment. In many cases, you won't need auto insurance when stationed overseas. You can ask your insurance provider about suspending it during deployment, but be clear about the reason. Oregon does not allow insurers to charge more after a lapse in coverage if it is for a legitimate reason, like deployment.

Average Rates for Oregon service members

25 years $1,475
50 years $1,136

25 years $1,419
50 years $1,144

Car Insurance in Oregon: What You Need to Know

Like most states, Oregon has minimum required insurance coverage for all drivers. If you want to register a vehicle, you must insure it. The only exceptions are antique vehicles and collector's cars, as well as farm tractors and trailers and some other specialty vehicles.

Proof of Insurance in Oregon

You need to show proof of insurance anytime you are in the car, either on paper or on your smartphone. If you can't show proof of insurance when asked by a police officer, you may receive a citation.

Minimum Liability Insurance Requirements in Oregon

At a minimum, every vehicle on the road must have at least these insurance coverages:

• $25,000 injury liability per person
• $50,000 injury liability per accident
• $20,000 property damage
• $15,000 personal injury protection (PIP)
• $25,000 uninsured motorist injury liability per person
• $50,000 uninsured motorist injury liability per accident

These are just the minimums required by law. If you have significant assets, insurance experts recommend getting increased coverage.

Alternatives to Insurance in Oregon

The only option for legally driving in Oregon without auto insurance is a self-insurance policy, which involves a lot of paperwork. The first step you need to do is show proof of financial responsibility to the Department of Transportation. If you use the self-insurance option, you'll likely have to pay more than $20,000 to cover damages in an accident.

High-Risk Auto Insurance Program in Oregon

If multiple companies deny you coverage, there are additional resources in Oregon. The Oregon Automobile Insurance Plan provides car insurance to drivers who are unable to obtain coverage elsewhere.

How Much Coverage Do You Need in Oregon?

According to the Insurance Information Institute, insurance experts and consumer advocates recommend carrying liability coverage of $100,000 per person and $300,000 per accident.

Depending on the value of your car and your assets, you may want to consider additional types of insurance. If you have a relatively new vehicle, you may want to purchase collision insurance (which covers damage to your car in the event of a collision) and comprehensive insurance (which covers damage due to fire, theft or natural disaster).

On the other hand, if your car is worth less than your deductible and a couple of years' worth of premiums, collision and comprehensive insurance may not be worth it.

Cheapest Car Insurance in Oregon by City

The cost of your auto insurance in Oregon primarily depends on your location within the state. Eugene's full coverage car insurance rate of about $847 per year is the lowest in Oregon, on average. The average yearly premium for car insurance in Salem is $1,041, making it the most expensive area for car insurance.

Click on your city to learn more about the cost of auto insurance in your area.

Average Insurance Rate by City in Oregon

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FAQs About Car Insurance in Oregon

The most common questions Oregon drivers have about car insurance center around the cost of premiums and how much coverage to buy.

USAA and GEICO have the cheapest auto insurance in Oregon.

USAA and Hartford are the best insurance companies in Oregon based on MoneyGeek's research.

Car insurance rates vary per individual. However, the average cost in Oregon for the average driver with a clean record is $1,181 per year.

Being a safe driver with a clean record and having a good credit score will help lower your auto insurance rate in Oregon.

About the Author

sources

• Centers for Disease Control and Prevention . "Sobering Facts: Alcohol-Impaired Driving State Fact Sheets." Accessed December 28, 2020 .
• Experian . "2019 Consumer Credit Review." Accessed March 11, 2020 .
• Governing: The Future of States and Localities . "Military Active-Duty Personnel, Civilians by State." Accessed January 21, 2021 .
• National Association of Insurance Commissioners . "2018 Market Share Reports." Accessed March 12, 2020 .
• National Highway Traffic Safety Administration . "Traffic Safety Facts." Accessed March 17, 2020 .
• NOLO . "DUI Laws by State." Accessed January 21, 2021 .
• NOLO . "Oregon's DUII Diversion Program." Accessed January 21, 2021 .
• Oregon Division of Financial Regulation . "A consumer's guide to auto insurance." Accessed March 19, 2020 .
• Oregon DMV . "Minimum Insurance Requirements." Accessed March 12, 2020 .
• Oregon.gov . "DISTRACTED DRIVING FACT SHEET." Accessed January 21, 2021 .
• U.S. Department of Veterans Affairs . "National Center for Veterans Analysis and Statistics." Accessed January 21, 2021 .

Why Is Car Insurance So Expensive in Oregon

Source: https://www.moneygeek.com/insurance/auto/cheapest-car-insurance-oregon/

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