Businesses that manage outdoor recreation and fitness centers have been unable to avoid liability for claims of negligence when someone gets hurt using their services. This has been prevalent in the state since a 2014 Oregon Supreme Court ruling stated that Mt. Bachelor was liable for claims of negligence.

A man named Myles Bagley was paralyzed from the waist down after a crash he suffered at the resort's terrain park in 2006. Eight years later, he sued the resort in a lawsuit that claimed ski and snowboard jumps in the park were not safely kept up to code. The liability waiver he signed before that day was deemed unenforceable.

In the decade following this decision, lawsuits on claims of negligence from injuries sustained in the outdoors have financially riddled the companies that set out to facilitate a safe experience. Ski resorts and outdoor operators have seen egregious increases in insurance costs from companies that understand the risk of partnering with an outdoor operator in Oregon.

In the 2026 state legislative session, this issue came down to two different, yet similar, senate bills (SB 1593 and SB 1517). Senate Bill 1517 was passed at the end of the state legislative session on March 5th. The framework of this bill was heavily focused on the legal ground at play between an individual and a recreation operator. Senate Bill 1593 was more focused on protecting businesses from trial costs and negligence claims. In the end, SB 1517 was deemed more detailed than 1593.

Small operators are a big part of what makes outdoor recreation special for a lot of people. Having the ability to connect one-on-one with a tour guide or equipment provider fosters a strong economic environment for recreation professionals.

While Mt. Hood Meadows is anything but a small operator, its legal lobbyist, Greg Leo, understands the impact these unenforceable waivers have on small businesses. "Say you're a guide or a packer, or say you're a fly fishing guide... a guest is injured and then the lawyer comes to you and says, you know, well, we're going to sue you... defending that lawsuit can cost as much as a million dollars," Leo said.

The Oregon Trial Lawyers Association (OTLA) works with these types of cases, defending individuals who have been injured outdoors and at ski resorts. Oregon Senator Christine Drazan showed support for the reform of liability waivers throughout the legislative session. "Trial lawyers, I don't get the sense that they are too concerned about whether or not these business entities go out of business. That's the sense I've had," Drazan said.

Hans Bernard is a legal lobbyist for OTLA. In an over-the-phone conversation, he talked about the overwhelming support SB 1517 has had from lawyers and attorneys in the state legislature. He feels that the controversy surrounding this bill has become media-focused on the intersection of trial lawyers and recreation operators, while, in reality, "this has been a conversation between insurance and constitutional rights," Bernard said.

The outlying financial problems at play for individuals and recreation operators come down to trial costs and insurance rates. Individuals who have been injured using an outdoor service can work with a lawyer to pursue financial compensation for the damages suffered, claiming either gross or ordinary negligence.

In the state of Oregon, the difference between gross and ordinary negligence is a spectrum that takes into account the severity of neglect. The more outstanding proof there is for someone neglecting an issue of high importance, the more likely it is to be deemed gross negligence.

In a court of law, the difference between the two can help decide how much compensation is to be rewarded for a given case. This can make the subjectivity of each case harder to understand, with either an "ordinary" or "gross" label on it. Hans Bernard stated that "tragic outcomes being a result of strictly gross negligence is false."

With trial lawyers and operators in support of a new bill that better outlines the legality behind this process, the controversy shifts to the insurance companies.

For the most part, the largest ski resorts across the country are partnered with one of three liability insurance providers: MountainGuard, Safehold Special Risk, and XINSURANCE. With the ability to offer niche services for large corporations, these three players control liability for the American ski industry.

During the summer of 2025, ahead of the 2025-26 winter ski season, both Mt. Hood Meadows and Timberline Lodge (the two largest ski resorts on Mt. Hood) lost their liability insurance provider, Safehold Special Risk, after they pulled all insurance operations from the state of Oregon.

In a letter from Safehold Special Risk to the Oregon State Senate on June 12th, 2025, they said that their excess insurance line, which covers legal expenses between $1 million and $10 million, is the reason they have stopped operation in Oregon. "Oregon accounts for an astronomic 50% of our losses. One state out of 37 states accounts for half of our excess losses," the letter stated.

Today, MountainGuard remains the only insurance provider in the state of Oregon. With that control, they have the power to heavily increase insurance costs for these resorts.

Timberline has stated on their website that their insurance rates have skyrocketed 586% since 2020; Mt. Hood Meadows has upped their published number over that same timeframe to a 600% increase, all of which increases the cost of a lift ticket for anyone who wants to enjoy a day on the mountain. This environment between insurance companies and outdoor operators has created the controversy the state senate is working through.

In a written testimony from February 20th, 2026, MountainGuard articulated their support for SB 1593 over 1517, citing that 1593 is supported statewide by a variety of operators and businesses.

Given that 1593 is structured around financially supporting businesses instead of backing the individuals involved with the harm of a negligence claim, it makes sense why an insurance company would fight to keep that positive relationship.

With Senate Bill 1517 officially passed into law, some focus of outdoor recreation will shift towards the landscape of insurance companies in Oregon. Increased liability on signed waivers may be the first step to lowering insurance costs and stabilizing outdoor recreation.