What is subrogation or a right of subrogation?
Any time your insurance company (health insurance or auto mobile insurance) has to pay out money because of someone else’s negligence, they get a right to get their money back from the negligent person. Under the law, they can directly sue the person for the money they paid out. If you, their insured, sue the person and recover money, they have a right to get the money back from you. You also have the duty not to interfere with your insurance companies’ subrogation right. Thus, if you incorrectly release a responsible party from liability and accept a quick settlement, you could be at risk for being sued by your own insurance company because you did not protect their interests. If you insurance company has paid any of your bills resulting from a car crash or other personal injury, as a result of the negligence of someone else, you will want to discuss with an attorney exactly how that could affect your situation. If you have questions about subrogation claims or rights, please contact
