Oregon: Multiplier Method vs. Per Diem Method Compared

Two different ways to turn pain and suffering into a dollar figure — but in Oregon, whether a claim is for wrongful death matters more than either one.

The multiplier method: scaling off your damages

The multiplier method is the industry's default approach. It takes your economic damages — medical bills and lost wages — and multiplies that total by a factor generally between 1.5 and 5, chosen based on injury severity, recovery time, and whether any permanent impairment is involved.

The per diem method: valuing each day

The per diem (Latin for "per day") method works differently. It assigns a specific dollar value to a single day of pain and suffering and multiplies that rate by the total number of days of documented recovery, tying the value directly to time rather than to the size of your medical bills.

Why the wrongful-death question overshadows both methods here

Oregon's $500,000 noneconomic damages cap has landed very differently depending on claim type. For wrongful death claims, the cap has generally been upheld. For ordinary bodily injury claims, the Oregon Supreme Court held it unconstitutional as applied in Busch v. McInnis Waste Systems, and Oregon courts have followed that pattern consistently since. Against that backdrop, whether a claim is classified as wrongful death or ordinary bodily injury can swing the available noneconomic recovery far more than whether a 2x or 4x multiplier is used.

So the claim type comes first

Before investing effort in choosing between the multiplier and per diem methods for a serious Oregon injury claim, it's worth confirming which category the claim actually falls into — that classification changes whether a cap genuinely limits the outcome far more than either valuation method would.

Neither is required by Oregon law

Both methods remain negotiating tools, not a formula Oregon courts are required to apply. A jury retains discretion to award whatever amount it finds appropriate for noneconomic damages — subject to the $500,000 cap only where Oregon courts have actually let it stand.

Multiplier vs. per diem — frequently asked questions

What is the multiplier method for valuing pain and suffering?

It takes your economic damages — medical bills and lost wages — and multiplies that total by a factor, generally between 1.5 and 5, based on how severe and lasting the injury is.

What is the per diem method, and how does it differ?

The per diem method assigns a specific dollar value to each day you experience pain and suffering, then multiplies that daily rate by the number of days of recovery, rather than scaling off your economic damages.

Why does the wrongful-death distinction matter more than the valuation method in Oregon?

Because Oregon's $500,000 noneconomic cap survives for wrongful death claims but has consistently been held unconstitutional as applied to ordinary serious bodily injury claims — a difference that can dwarf anything the multiplier or per diem method would produce.

Does either method's output survive the cap for an ordinary injury claim in Oregon?

Generally yes — Oregon courts have repeatedly declined to enforce the cap against a genuinely large noneconomic award for a seriously injured living plaintiff, so the full multiplier or per diem output typically stands for that category of claim.

Is either method required by Oregon law?

No. Neither is a formula set by statute. Both are negotiating tools used by attorneys and insurance adjusters to reach a number for the jury or the settlement table.

This page provides general guidance only and is not legal advice. Figures are based on the multiplier and per diem methods commonly used across the personal injury industry and ORS § 31.710, verified per our methodology. Confirm how these methods apply to a specific claim with a licensed Oregon attorney before acting.