An efficient asymmetricsynthesis of isochromanone derivatives was realized through Z-selective-1,3-OH insertion/aldol cyclization reaction involving acyclic carboxylic oxonium ylides. The combination of achiral dirhodium salts and chiral N,N′-dioxide–metal complexes, along with the use of α-diazoketones instead of α-diazoesters, enables the cascade reaction efficiently. A variety of benzo-fused δ-lactones