Key Takeaways
- General liability insurance protects Oregon businesses from third-party injury and property damage claims
- Workers' compensation is mandatory in Oregon for all employers with one or more employees
- Professional liability (E&O) insurance is recommended for Oregon insurance producers
- Oregon's employer liability laws are strict with penalties for non-compliance
- Commercial general liability (CGL) policies follow ISO forms with state-specific endorsements
Last updated: January 2026
Casualty & Liability Insurance
Commercial General Liability (CGL)
Coverage Provided:
- Bodily injury liability: Third-party injuries
- Property damage liability: Damage to others' property
- Personal and advertising injury: Libel, slander, copyright infringement
- Medical payments: No-fault medical coverage ($5,000-$10,000)
CGL Policy Structure:
- Per occurrence limit: $1,000,000 typical
- General aggregate: $2,000,000 typical
- Products/completed operations aggregate: $2,000,000
- Defense costs: In addition to limits
Oregon Workers' Compensation
Mandatory Coverage: All Oregon employers with one or more employees must carry workers' comp.
Key Features:
- No-fault system: Employees receive benefits regardless of fault
- Exclusive remedy: Generally prevents employees from suing employer
- Coverage: Medical expenses, lost wages, disability, death benefits
Benefits Provided:
| Benefit Type | Coverage |
|---|---|
| Medical Treatment | All necessary and reasonable medical care |
| Temporary Disability | 66.67% of wages (subject to max) |
| Permanent Disability | Based on impairment rating |
| Vocational Rehabilitation | Retraining for injured workers |
| Death Benefits | Payments to dependents |
Oregon Workers' Comp Administration:
- Administered by: Oregon Workers' Compensation Division
- Dispute resolution: Workers' Compensation Board
- Penalties for non-compliance: Fines, criminal charges, personal liability
Exam Tip: Oregon requires workers' comp for all employers with 1+ employees (including part-time). Some states have higher thresholds.
Professional Liability (Errors & Omissions)
Recommended for: Insurance producers, real estate agents, accountants, consultants
E&O Coverage:
- Protects against: Professional negligence claims
- Covers: Legal defense and settlements
- Claims-made basis: Claim must be made during policy period
- Prior acts coverage: For acts before policy inception (if purchased)
- Retroactive date: Critical for coverage
Why Oregon Producers Need E&O:
- Fiduciary duty: High standard of care
- Complex products: Potential for mistakes
- Client expectations: Increased litigation
- DFR requirements: May be required by some insurers
Oregon Employer Liability
Beyond workers' compensation, employers face:
Third-Party Liability:
- Customer injuries on premises
- Product liability
- Completed operations liability
Employment Practices Liability Insurance (EPLI):
- Wrongful termination claims
- Discrimination allegations
- Sexual harassment claims
- Retaliation claims
Exam Tip: Workers' comp provides "exclusive remedy" - employees generally cannot sue employer but can sue third parties who caused injury.
Test Your Knowledge
How many employees must an Oregon employer have before workers' compensation insurance becomes mandatory?
A
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D