At Lippman Recupero, we understand the complexities of insurance subrogation. We specialize in helping insurance companies maximize their recoveries on claims where a third party is at fault. 

After an accident, your company pays out to policyholders to cover damages. But what happens when a third party causes the accident? This is where subrogation comes in. Subrogation is the legal right of an insurance company to seek reimbursement from the party responsible for the loss it covered for its insured.

In simpler terms, your company pays for repairs upfront, then seeks to recoup those costs from the at-fault party’s insurance provider. This helps ensure the policyholder receives full compensation while holding the responsible party accountable.

When You Can Pursue A Subrogation Claim

Subrogation is an insurance company’s powerful tool for recouping costs paid out on claims. It comes in two flavors, each with its own approach:

• Contractual Subrogation: This leverages the wording within your insurance policy. Most policies contain a subrogation clause that grants you the legal right to pursue reimbursement from the at-fault party’s insurance company. This is a simpler and faster route because the right to recover is already established, streamlining the process and strengthening your position in negotiations.
• Equitable Subrogation: This legal concept offers an alternative path even if your policy lacks a subrogation clause. Here, the burden lies with you to prove the other party’s negligence and how they ultimately benefited from your coverage. While more complex, equitable subrogation provides valuable resources in situations where a contractual clause is absent.

Understanding both contractual and equitable subrogation empowers your insurance company to navigate various scenarios and maximize recoveries. Don’t hesitate to consult with Lippman Recupero, your trusted partner in maximizing subrogation recoveries. Our expertise ensures you get the most out of your insurance policies.

Types of Subrogation Claims

Subrogation claims can be broadly categorized into two main types: contractual and equitable. Understanding the distinction between these two is crucial for insurance companies to determine their legal standing when pursuing reimbursement.

• Contractual Subrogation: This leverages the wording within your insurance policy. Most policies contain a subrogation clause that grants you the legal right to go after the at-fault party’s insurance for reimbursement. This is the simpler and faster route, as the right to recover is already established. It strengthens your position in negotiations or litigation because the contract itself outlines your rights.
• Equitable Subrogation: This legal principle offers an alternative path even if your policy lacks a subrogation clause. Here, the burden shifts to you to prove the other party’s negligence and how they ultimately benefited from your coverage. Imagine a fire damages your insured’s property due to faulty wiring in a rented apartment. Equitable subrogation allows you to pursue the negligent landlord’s insurance, even without a specific clause, because they should have been responsible for the damages. While more complex, equitable subrogation provides valuable resource in situations where a contractual clause is absent.

Understanding both contractual and equitable subrogation empowers your insurance company to navigate various scenarios and maximize recoveries. Don’t settle for shouldering the entire burden. By wielding the double-barreled approach of subrogation, you can ensure your company recoups the costs it rightfully deserves.

How An Attorney Can Help Your Claim

Subrogation isn’t limited to just car accidents, property damage, and commercial insurance. It extends to a wider range of situations where an insurance company pays out a claim due to a third party’s fault. Here’s a breakdown:

Car accidents are a common scenario. If your insured gets into an accident caused by another driver, you can recover various costs from the at-fault party’s insurance. This includes car repairs, medical bills, rental car fees, and even loss of use compensation for the inconvenience of being without a vehicle.

Subrogation also applies to property damage beyond accidents. Imagine a fire damages your insured’s property due to faulty wiring in a rented apartment. You can seek reimbursement for repairs and replacements from the responsible party’s insurance. Vandalism and even some weather events (depending on your policy and state) can also fall under subrogation. If a neighbor’s faulty roof leaks and damages your insured’s property, subrogation might be an option to recoup those costs.

The world of commercial insurance also utilizes subrogation extensively. In product liability cases, if a defective product from a third-party manufacturer causes damage covered by your commercial insurance, you can pursue subrogation against their insurance to recoup the costs. 

Similarly, cargo damage during transport due to a carrier’s negligence (like improper handling) allows you to seek reimbursement for lost or damaged goods through subrogation against the carrier’s insurance. Business interruption insurance might also be applicable. If an event caused by a third party disrupts your insured’s operations and your company covers lost income, subrogation can help recover those lost earnings.

Contact Lippman Recupero Today

At Lippman Recupero, we take the burden of subrogation claims off your shoulders. Our team of experienced attorneys handles everything from initial investigation and evidence gathering to negotiation and litigation. We have a proven track record of securing maximum recoveries for our insurance carrier clients. Contact us today for a free consultation.

We understand the challenges of subrogation claims. Let’s discuss how our expertise can streamline your process and boost your bottom line. Schedule a free consultation today to learn more about how Lippman Recupero can be your trusted partner in subrogation recovery.