subrogation rights

Subrogation rights are the legal ability of an insurer to pursue recovery from a third party that caused a loss after paying a claim to their insured. Essentially, once the insurer compensates the insured, they step into the insured’s shoes to seek reimbursement from the responsible party, ensuring that the liable party bears the cost. This process helps prevent the at-fault party from avoiding payment and helps keep insurance and related costs manageable.