What is subrogation?

Subrogation is a legal concept in accident law that is used to prevent someone from being financially responsible for damages they did not specifically cause. Subrogation occurs when an insurance company steps in to cover losses incurred as a result of an accident. The insurance company then “subrogates”, or steps into the shoes of, the victim and attempts to recover any losses they paid out to the victim from a third-party responsible for the accident. This prevents the victim from having to pursue the third-party and pay for any legal costs associated with their recovery. In California, subrogation is a common practice and must be used when dealing with claims arising from automobile accidents. This prevents victims from having to go to court or deal with the third-party in order to recover damages. Additionally, subrogation allows for a more efficient claim process, as the insurance company’s interests are aligned with the victim’s interests, meaning both are motivated to pursue the third-party and recover any losses as quickly as possible.

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What is subrogation?

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