Salem, Oregon — The fate of Oregon’s ski industry is currently taking place in the state’s legislature.
Currently, Oregon’s Senate is debating a bill that would add new protections to the state’s ski and outdoor industry. Senate Bill 1196 would add new legal protections for ski resorts. In Oregon, the liability waivers signed by guests aren’t enforceable due to court rulings, leading to many lawsuits. This bill would change that. Opponents argue that it would take away a recreationist’s rights when they suffer injuries.
Ski resorts rely on liability insurance to operate, due to the risk of high-cost lawsuits. These lawsuits previously brought down many ski areas in the 1970s and 80s, before new laws added new protections to the ski industry. However, not many protections exist currently in Oregon ski resorts due to the litigation these operators have faced in recent years. This means that ski resorts need liability insurance to survive, which is a major expense.
A series of lawsuits has made liability and insurance major issues for Oregon ski areas. After a settlement gave a biker $10.5 million over a crash at Mt. Hood Skibowl, the ski area closed its mountain biking park, likely for good. Mt. Bachelor has faced various lawsuits over the years, including narrowly avoiding a $4.7 million lawsuit from a skier this spring. Earlier this year, Willamette Pass got sued for $3.6 million over a fall from a chairlift.
The pressure increased this week due to an announcement from a liability company. OregonLive.com reports that Safehold Special Risk will no longer provide coverage in the state of Oregon. This insurance provider gave coverage to Timberline (which lost its insurance on May 30th), Mt. Hood Meadows, and more Oregon mountains. In their letter to Oregon’s legislature, the claims manager for Safehold cited the state as being “an extreme outlier.” The state of Oregon accounts for 20% of their losses up to $1 million, and 50% of losses from $1 to $10 million. The move from Safehold Special Risk is likely to make the legislature change the state’s laws. If nothing gets passed, only one insurance provider for ski resorts would be left in Oregon.
Andrew Gast, the General Manager of Mt. Ashland, told lawmakers in a hearing last week that this is a life-or-death issue for the non-profit ski area:
“If that insurer pulls out, as others already have, due to Oregon’s unique liability environment, we will not be able to operate. That’s not an exaggeration. The situation is precarious.”
The clock is ticking on getting this bill passed and signed into law by the Governor. The 2025 legislative session in Oregon concludes on June 29th. If nothing gets passed, the outdoor industry will have to wait until the 2026 legislative session, and who knows what the Oregon ski & outdoor industry will be like by then. So if you’re an Oregon resident, it sounds like a quality time to reach out to your members of Congress.
Image/Video Credits: Kurt van Krieken, KGW, Ryan Eads
Congress is federal. You mean state legislators. Lawyers ruin everything, and I say that as a lawyer.