Kelley v. State Farm Mutual Automobile Insurance

Defendant insurance company appeals a supplemental judgment in plaintiffs favor in this action for under-insured motorist (UIM) benefits under ORS 742.502 and ORS 742.504. On appeal, defendant assigns error to the trial court’s award of attorney fees and costs under ORS 742.061(1), a statute that requires insurance companies to pay attorney fees to an insured who prevails in an action to recover insurance benefits, unless the insurer falls within the statute’s attorney-fee “safe harbor.” As we explain, our recent decision in Spearman v. Progressive Classic Ins. Co., 276 Or App 114, 366 P3d…