How to Exercise the Right to Subrogation

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The equitable doctrine of subrogation places the subrogee in the precise position of the one whose rights are subrogated. Subrogation is the remedy for the purpose of enabling a party secondarily liable, to reap the benefit of any securities which the creditor may hold against the principal debtor, and by the use of which the party paying may thus be made whole.

In an insurance situation the insurance company, after it pays a loss to its insured, obtains by equity or contract, the right to an assignment from its insureds, up to the amount paid, of the insured’s rights against third parties responsible for the loss. T

Every claim investigated by a professional claims person requires a thorough investigation of subrogation possibilities. The insurance claims person who ignores the possibility of subrogation is completing only half of a thorough investigation.