§ 36.4 Mitigation of Damages

• Library: Insurance Law in Oregon (OSBar) (2020 Ed.)

§ 36.4 MITIGATION OF DAMAGES

The insurer is not liable if the insured does not exercise reasonable diligence in minimizing the loss. Brown v. Nat'l Liberty Ins. Co. of Am., 117 Or 608, 612, 244 P 873 (1926). Insurance contracts generally contain strict mitigation provisions that must be followed before the insurer may be liable. This is consistent with a party's common-law duty to mitigate its damages. See generally 2 Damages ch...