Oregon Revised Statutes

Or. Rev. Stat. § 746.035 (2026)

Inducements not specified in policy

✓ current as of May 2026

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746.035 Inducements not specified in policy. Except as otherwise expressly provided by the Insurance Code, no person shall permit, offer to make or make any contract of insurance, or agreement as to such contract, unless all agreements or understandings by way of inducement are plainly expressed in the policy issued thereon. [1967 c.359 §570]

746.040 [Amended by 1961 c.256 §3; repealed by 1967 c.359 §704]

Notes of Decisions

Cited in 6 cases, 1983–1997 · leading case: Mountain Fir Lumber Co. v. Emp. Benefits Ins. Co., 667 P.2d 567 (Or. Ct. App. 1983).

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Mountain Fir Lumber Co. v. Emp. Benefits Ins. Co., 667 P.2d 567 (Or. Ct. App. 1983). · cites it 20× “Defendant argues that there can be no contract action, because the rebate agreement is an illegal contract under ORS 746.035 and ORS 746.045, and that there can be no fraud action, because there is no right to rely on an illegal promise.”

Warm Springs Forest Prods. Indus. v. Emp. Benefits Ins., 716 P.2d 740 (Or. 1986). · cites it 8× “2d 296 (1984), we held that an insurer's oral promise to rebate part of the premium for workers' compensation coverage could not be enforced by the insured, because the promise was not "plainly expressed in the policy," as required by ORS 746.035. [1] We remanded the present…”

Mountain Fir Lumber Co. v. Emp. Benefits Ins., 679 P.2d 296 (Or. 1984). · cites it 5× “The oral agreement for rebates, alleged by plaintiff and not denied by defendant, violates both ORS 746.035 and ORS 746.045: ORS 746.035: “Except as otherwise expressly provided by the Insurance Code, no person shall permit, offer to make or make any contract of insurance, or…”

Ins. Comm'r for the State v. Engelman, 692 A.2d 474 (Md. 1997). “36, § 1204 ; Or.Rev.Stat. §§ 746.035, 746.045; Pa. Stat.”

Warm Springs Forest Prods. Indus. v. Emp. Benefits Ins., 703 P.2d 1008 (Or. Ct. App. 1985). · cites it 6× “Plaintiff brought this action, alleging that defendant agreed to rebate a percentage of the insurance premiums, and sought damages for breach of that agreement, damages for fraud and misrepresentation, and reformation of the insurance contract.”

Rosboro Lumber Co. v. Emp. Benefits Ins., 672 P.2d 1336 (Or. Ct. App. 1983). “Rosboro further alleged that it was induced to change its carrier by EBI’s promise of lower cost, and based its claims for relief on that inducement.”

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