Oregon Revised Statutes

Or. Rev. Stat. § 806.130 (2026)

Self-insurance

✓ current as of May 2026
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      806.130 Self-insurance. (1) To qualify as a self-insurer for purposes of financial responsibility requirements under ORS 806.060, a person must do all of the following:

      (a) Apply to the Department of Transportation and be issued by the department a certificate of self-insurance under ORS 806.140.

      (b) Either:

      (A) Establish to the satisfaction of the department that the person possesses and will continue to possess the ability to pay and discharge judgments described under ORS 806.040 that might be obtained against the applicant; or

      (B) Be qualified under the laws of the State of Oregon or under an ordinance of a city of this state to act as a self-insurer and be acting as a self-insurer.

      (c) Agree to provide the same coverage and to pay the same amounts with respect to an accident occurring while the certificate is in force that an insurer would be obligated to provide and to pay under a motor vehicle liability insurance policy, including providing the coverage required under ORS 806.080 (1)(b) and uninsured motorist coverage and liability coverage to at least the limits specified in ORS 806.070.

      (d) Have more than 25 motor vehicles including commercial buses registered in the person’s name.

      (2)(a) If an accident occurs while a certificate of self-insurance issued under ORS 806.140 is in force, the liability protection provided and the amounts paid under subsection (1)(c) of this section are secondary to any motor vehicle liability insurance or uninsured motorist coverage available to a customer of the self-insurer, an operator of the self-insured vehicle or an occupant of the self-insured vehicle unless otherwise agreed to by the self-insurer. A self-insurer is required to provide the minimum payments established under ORS 742.502 and 806.070 only when the motor vehicle liability insurance policy of a customer of the self-insurer or an operator of the self-insured vehicle does not provide the minimum required payments established in ORS 742.502 and 806.070.

      (b) A self-insurer may recover from a customer of the self-insurer or an operator of the self-insured vehicle the amounts paid under subsection (1)(c) of this section.

      (3) Nothing in this section requires a self-insurer to provide liability coverage when a person is operating the vehicle without permission of the self-insurer. [1983 c.338 §849; 1985 c.16 §430; 2007 c.287 §1]

Notes of Decisions
Cited in 10 cases, 1992–2017 · leading case: Thompson v. Est. of Adrian L. Pannell, 29 P.3d 1184 (Or. Ct. App. 2001).
Thompson v. Est. of Adrian L. Pannell, 29 P.3d 1184 (Or. Ct. App. 2001). · cites it 62× “In that context, plaintiff alleged that she was engaged in defendant's business as a volunteer and as defendant's agent or bailee; that defendant had made representations to volunteers, including plaintiff, regarding insurance coverage for volunteers; that defendant was…”
Farmers Ins. v. Snappy Car Rental, Inc., 876 P.2d 833 (Or. Ct. App. 1994). · cites it 18× “In this action, plaintiff seeks a declaration that defendant is primarily obligated to indemnify Curtin and seeks reimbursement of the $17,500, as well as the costs of defending the claims.”
Haynes v. Tri-Cnty. Metro. Transp., 103 P.3d 101 (Or. 2004). · cites it 5× “See ORS 806.130 - 806.140 (describing requirements to obtain self-insurance and certificates of self-insurance).”
Van Vonno v. Hertz Corp., 841 P.2d 1244 (Wash. 1992). · cites it 6× “See Or. Rev. Stat. § 806.130 (2)(a) (1989). On July 23, 1988, a collision in Clark County, Washington, involving the rented vehicle caused the deaths of Van Vonno's wife and daughter, and seriously injured Van Vonno and his son.”
Haynes v. Tri-Cnty. Metro. Transp., 79 P.3d 353 (Or. Ct. App. 2003). · cites it 23× ““(2) A person may only comply with the financial responsibility requirements of this state by establishing the required ability to respond in damages in one of the following ways: «Hi * * * * “(d) Becoming self-insured as provided under ORS 806.130.” (Emphasis added.) The…”
West Hills Dev. Co. v. Inc, 391 P.3d 851 (Or. Ct. App. 2017). “See ORS 806.130 (self-insurer qualifications); ORS 806.”
Haynes v. Tri-Cnty. Metro. Transp. Dist., 103 P.3d 101 (Or. 2004). · cites it 4× “Moreover, ORS 806.130 requires a self-insurer to "agree" to pay the amounts that an insurer would pay, including UM coverage, before it can obtain a certificate of self-insurance from the Oregon Department of Transportation.”
Wilson v. Tri-Cnty. Metro. Transp. Dist., 161 P.3d 933 (Or. 2007). · cites it 5× “300, requires all owners or operators of motor vehicles, *4 including TriMet, to meet statutory financial responsibility requirements for motor vehicle accidents either by obtaining a liability insurance policy or by “[b]ecoming self-insured as provided under ORS 806.130.” ORS…”
Ajir v. Buell, 348 P.3d 320 (Or. Ct. App. 2015). “Pannell, 176 Or App 90 , 29 P3d 1184 (2001), rev den, 333 Or 655 (2002), in which we held that former ORS 806.130, amended by Or Laws 2007, ch 287, § 1—a different statute addressing the obligation of self-insured entities to provide uninsured motorist coverage—did not require…”
Wilson v. Tri-Cnty. Metro. Transp. Dist., 161 P.3d 933 (Or. 2007). · cites it 4× “300, requires all owners or operators of motor vehicles, including TriMet, to meet statutory financial responsibility requirements for motor vehicle accidents either by obtaining a liability insurance policy or by "[b]ecoming self-insured as provided under ORS 806.130." ORS…”
— Or. Rev. Stat. § 806.130(1) — 2 cases
Thompson v. Est. of Adrian L. Pannell, 29 P.3d 1184 (Or. Ct. App. 2001). “In that context, plaintiff alleged that she was engaged in defendant's business as a volunteer and as defendant's agent or bailee; that defendant had made representations to volunteers, including plaintiff, regarding insurance coverage for volunteers; that defendant was…”
Haynes v. Tri-Cnty. Metro. Transp., 79 P.3d 353 (Or. Ct. App. 2003). ““(2) A person may only comply with the financial responsibility requirements of this state by establishing the required ability to respond in damages in one of the following ways: «Hi * * * * “(d) Becoming self-insured as provided under ORS 806.130.” (Emphasis added.) The…”
— Or. Rev. Stat. § 806.130(2) — 1 case
Farmers Ins. v. Snappy Car Rental, Inc., 876 P.2d 833 (Or. Ct. App. 1994). “In this action, plaintiff seeks a declaration that defendant is primarily obligated to indemnify Curtin and seeks reimbursement of the $17,500, as well as the costs of defending the claims.”
— Or. Rev. Stat. § 806.130(3) — 8 cases
Thompson v. Est. of Adrian L. Pannell, 29 P.3d 1184 (Or. Ct. App. 2001). “In that context, plaintiff alleged that she was engaged in defendant's business as a volunteer and as defendant's agent or bailee; that defendant had made representations to volunteers, including plaintiff, regarding insurance coverage for volunteers; that defendant was…”
Haynes v. Tri-Cnty. Metro. Transp., 103 P.3d 101 (Or. 2004). “See ORS 806.130 - 806.140 (describing requirements to obtain self-insurance and certificates of self-insurance).”
Farmers Ins. v. Snappy Car Rental, Inc., 876 P.2d 833 (Or. Ct. App. 1994). “In this action, plaintiff seeks a declaration that defendant is primarily obligated to indemnify Curtin and seeks reimbursement of the $17,500, as well as the costs of defending the claims.”
Van Vonno v. Hertz Corp., 841 P.2d 1244 (Wash. 1992). “See Or. Rev. Stat. § 806.130 (2)(a) (1989). On July 23, 1988, a collision in Clark County, Washington, involving the rented vehicle caused the deaths of Van Vonno's wife and daughter, and seriously injured Van Vonno and his son.”
Haynes v. Tri-Cnty. Metro. Transp., 79 P.3d 353 (Or. Ct. App. 2003). ““(2) A person may only comply with the financial responsibility requirements of this state by establishing the required ability to respond in damages in one of the following ways: «Hi * * * * “(d) Becoming self-insured as provided under ORS 806.130.” (Emphasis added.) The…”
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