Why Did My Oregon Car Insurance Go Up? A New Law Lets You Ask for the Reasons in Writing

If an insurer renews your qualifying Oregon auto policy at a higher premium, you may ask the insurer in writing to explain the increase. This right applies to qualifying policies renewed on or after September 1, 2026. The detailed explanation is generally not automatic—you must request it.

The process can help you understand the rating factors behind a renewal price. It does not automatically lower the premium, establish that the increase was improper, or prove that a recent crash caused it.

Oregon enacted this right through HB 2563, now codified at ORS 742.075, and implemented it through OAR 836-054-0110 through 836-054-0130. The Act took effect September 26, 2025, but the explanation right became operative September 1, 2026, for qualifying renewals on or after that date. (Oregon Laws 2025, chapter 351, sections 3–5)

Key Takeaways

• An insured may request a written explanation when an existing qualifying private-passenger auto policy is renewed at a higher premium on or after September 1, 2026.
• For any covered renewal increase, the insured may request an explanation; the increase does not have to exceed 2%.
• A request must include the insured’s name and address, policy number, policy type, and a clear statement asking why the premium is increasing at renewal.
• You may submit the request by mail, email, hand delivery, or the insurer’s portal if one is available.
• The insurer must respond no later than 20 days after receipt.
• Claims history may be one contributing factor, but an increase after a crash does not by itself prove that the crash caused the increase or was the only cause.
• This is a transparency right, not a premium cap, refund requirement, automatic reversal, or decision about crash fault or claim handling.

The Short Answer: Eligible Oregon Policyholders Can Request a Written Explanation

When an insurer renews an existing qualifying auto policy at a higher premium, the insured may submit a written request for an explanation. The insurer must respond no later than 20 days after receipt. Oregon’s final statute and rules do not specify in the cited text how weekends or holidays affect that period, so this article does not characterize or calculate it more narrowly.

There is no 2% minimum increase for making a request. The rule’s greater-than-2% figure serves a different purpose: it helps determine whether an individual factor “significantly contributes” to the increase and therefore must be identified under the significant-factor response framework.

The renewal offer or automatic-renewal notice must prominently and conspicuously state that the insured may request an explanation in writing. That statement must also appear on the first premium invoice sent after renewal. (ORS 742.075)

Does Oregon’s Premium-Explanation Law Apply to Your Policy?

Policies and Renewals That Generally Qualify

The law covers private-passenger automobile coverage used primarily for personal, family, or household purposes. It concerns an existing qualifying policy that an insurer renews at a higher premium on or after September 1, 2026. The statutory definition appears in ORS 746.600(33).

Whether a particular policy fits that definition can depend on the policy and its use. This article cannot classify an individual policy.

New Purchases, Excluded Vehicles, and Other Exclusions

This process does not apply to applications for or purchases of new insurance policies. It also does not apply to a personal insurance policy that provides coverage for:

• a boat;
• a motorcycle;
• an off-road vehicle;
• a recreational vehicle;
• an antique vehicle maintained as a collector’s item; or
• a vehicle maintained only for a specialty use that does not involve passenger transportation on Oregon surface roads or highways.

Personal umbrella policies and policies covering health, disability, life, or long-term care are also excluded.

The statute does not apply to changes an insured initiates with respect to the policy’s coverage or premium amount. If the insurer determines that all factors contributing to the increase resulted from those insured-initiated changes, the insurer may respond, in a manner it determines, that the increases were due to insured-initiated policy changes. (ORS 742.075(7)(a)(D); OAR 836-054-0120(2))

How to Request the Reasons for Your Premium Increase

Step 1: Check the Renewal Documents and Find the Submission Instructions

Review the renewal offer or automatic-renewal notice and the first premium invoice after renewal. Those documents must contain notice of the right to ask in writing for an explanation.

A request may be submitted by:

• mail;
• email;
• hand delivery; or
• the insurer’s portal, if one is available.

As a practical documentation step, submit the request by any method OAR 836-054-0130(4) permits—postal mail, email, hand delivery, or the insurer’s portal if one is available—and keep your renewal notice, a copy of the request, and any delivery or submission confirmation. Oregon DFR has stated that an insurer may not limit a consumer to a single permitted method. These recordkeeping steps are useful but are not additional legal requirements. (Oregon DFR Hearing Officer’s Report for ID 2-2026)

Step 2: Include Each Required Item

Under OAR 836-054-0130, the request must include:

• the insured’s name;
• the insured’s address;
• the policy number;
• the policy type; and
• a clear statement asking why the premium is increasing at renewal.

The request must be printed, typewritten, or legibly handwritten. The approved rule does not add a requirement to explain why you are asking, provide a claim number, use a special form, or make an allegation about the increase.

Step 3: Make a Clear Request

Optional sample request language—not a mandatory form:

I am requesting a written explanation of why the premium for my Oregon [policy type] policy, policy number [number], is increasing at renewal. My name is [insured’s name], and my address is [address]. Please send the explanation and any contact instructions to [preferred contact or mailing address].

Complete each bracketed field and submit the request by any method permitted under OAR 836-054-0130(4). This sample is only wording you may adapt; it is not statutory language or an official form.

Step 4: Document When the Insurer Receives the Request

The insurer’s response is due no later than 20 days after receipt. Keeping a portal confirmation, email record, delivery record, or other submission confirmation may help document the receipt date.

The approved sources do not state a clear cutoff for how long after renewal an insured may submit a request. Acting promptly can reduce uncertainty, but this article does not supply a deadline that the statute or rules do not state.

What the Insurer’s Written Response Must Contain

A Clear and Understandable Explanation

The response must be written, clear and reasonable, nontechnical, understandable to an average policyholder, and sufficient to explain the insurer’s reasons. That standard does not mean the insurer must disclose every model, calculation, criterion, or protected piece of information.

Insurer, Policy, and Contact Information

The response must include:

• the explanation date;
• the licensed insurer’s name, address, and NAIC number;
• the insured’s name;
• the policy type and number;
• the policy period and effective date; and
• instructions for contacting the insurer.

These items provide a useful checklist when reviewing the response. (OAR 836-054-0120(3))

One to Four Significant Factors—or a Different Insured-Specific Explanation

The required structure depends on whether any contributing factors satisfy Oregon’s significance test:

1. If factors meet the test: The insurer must identify and explain each qualifying factor, with at least one and no more than four.
2. If no factor meets the test: The insurer must still provide an insured-specific explanation of all factors and information specific to that insured that generally contributed to the increase.

An insurer therefore does not always have to list exactly four reasons. The alternative response also should not be merely a generic discussion of insurance pricing; the rule requires an explanation tied to the insured.

What Does “Significantly Contributes” Mean?

Under OAR 836-054-0115(3), a factor “significantly contributes” only when both parts of this test are satisfied:

1. the factor’s attributable impact exceeds 2% of the current policy premium; and
2. the factor ranks among the four highest dollar impacts of all factors contributing to the increase.

This test concerns how the insurer identifies significant contributing factors in its response. It is not a minimum overall increase that determines whether an insured may request an explanation. For any covered renewal increase, the insured may request an explanation; the increase does not have to exceed 2%.

The rule does not separately define “current policy premium.” For that reason, this article does not attempt to assign that phrase a formula or provide a numerical example that could imply one.

What Kinds of Factors Might the Explanation Identify?

The statute lists possible factors such as garaging location, driving record, mileage, claims history, fees, surcharges, discounts, lawfully used demographic or rating variables, base-rate or relativity changes, credit-related factors, and premium caps or transition rules.

These are examples. They do not mean every insurer uses every factor or that any listed factor affected your renewal. For wider context, see the broader Oregon auto-insurance coverage and cost guide.

If Your Premium Rose After a Crash, Timing Alone Does Not Prove Why

Claims history may contribute to a renewal increase. But a higher premium after a crash does not establish that the particular crash caused the increase or was its only cause. Other factors may also have contributed.

The written explanation addresses renewal-rating factors. It does not determine collision fault, decide whether a claim was handled correctly, resolve coverage, or establish the value of an injury claim. The approved statute and rules also do not specify exactly how much event-level detail an insurer must provide when “claims history” contributes. A policyholder should not assume the response will attribute the increase to one particular collision.

What This Right Does Not Do

ORS 742.075 and its implementing rules create a transparency process. They do not themselves:

• cap the premium or prevent an increase;
• require a refund, reduction, or automatic reversal;
• provide a detailed explanation automatically without a written request;
• decide crash fault or a claim-handling dispute;
• establish that an increase is lawful or unlawful;
• require disclosure of the contents of a credit-based insurance scoring model, criteria for placement of insurance, eligibility rules, confidential trade secrets, or filings with the Department of Consumer and Business Services related to usage-based insurance or the usage-based component of a rate; or
• make insured-initiated changes subject to the section or bring expressly excluded policies into the process.

The request should not be described as an appeal, and receiving an explanation does not guarantee a way to overturn the price.

A Practical Checklist After You Receive the Response

Review whether the response:

• is written and understandable;
• includes the explanation date;
• identifies the licensed insurer by name, address, and NAIC number;
• includes the insured’s name, policy type and number, policy period, and effective date;
• provides contact instructions;
• identifies and explains one to four factors if any satisfy the significance test; or
• otherwise provides an insured-specific explanation of all contributing factors and insured-specific information when none satisfies the test.

Keep the response with your renewal documents, request, and submission record. If you need clarification, use the contact instructions in the response. The approved sources for this article do not establish a specific appeal, complaint, damages, or enforcement procedure, so those issues are beyond this article’s scope.

Frequently Asked Questions

Can I Request an Explanation If My Oregon Renewal Increase Is Less Than 2%?

Yes, if the policy and renewal otherwise fall within the law. You may request an explanation for any covered renewal increase. The greater-than-2% figure is part of the test for whether an individual factor “significantly contributes,” not a threshold for submitting a request.

How Long Does the Insurer Have to Respond?

The insurer must respond no later than 20 days after receipt. The final statute and rules cited here do not explain weekend or holiday computation, so keep your submission record and avoid assuming a more specific calculation.

Does the Insurer Have to Send the Detailed Explanation Automatically?

Ordinarily, no. The insured must request the explanation in writing. However, the renewal offer or automatic-renewal notice and the first premium invoice after renewal must state that the insured may ask for one.

Will the Response Tell Me Whether One Accident Raised My Premium?

Not necessarily. Claims history may be a contributing factor, but the law does not promise attribution to a particular event. An increase after a crash does not itself prove that the crash caused the increase or was the only cause.

Does the Insurer Always Have to List Four Reasons?

No. The insurer must identify and explain one to four factors that meet the significance test. If no factor meets the test, the insurer must instead provide the required insured-specific explanation of the factors and information that generally contributed.

Can the Request Force the Insurer to Reduce or Refund My Premium?

No such result is promised. The statute and rules establish a right to information, not a premium cap, refund requirement, automatic reversal, or outcome guarantee.

Primary Sources

• ORS 742.075
• ORS 746.600
• Oregon Laws 2025, chapter 351
• OAR 836-054-0115
• OAR 836-054-0120
• OAR 836-054-0130
• Oregon Division of Financial Regulation, Permanent Administrative Order ID 2-2026
• Oregon DFR Hearing Officer’s Report for ID 2-2026

This article provides educational information only and is not legal advice. Insurance policies and individual circumstances vary.