Bauder v. Farmers Insurance

Plaintiffs protected person 1 was seriously injured in an automobile accident. The driver of the other vehicle was uninsured. Defendant is plaintiffs automobile insurer, and its policy provides personal injury protection (PIP) coverage and uninsured motorist coverage, both with $100,000 limits. After the accident, defendant paid plaintiff $100,000 from the PIP coverage for medical expenses. Defendant then denied plaintiffs claim for uninsured motorist coverage payments on the ground that, under ORS 743.835, the PIP payments were an offset against and exhausted plaintiffs uninsured motorist…