Subrogation
In the world of personal injury claims, there can be a lot of complex jargon. While experienced personal injury lawyers can help you navigate through these issues and help, it is still helpful to have a basic understanding of some key terms. This article will provide an overview of subrogation. Let’s suppose you were the victim of an accident, which then caused injury. The sustained injuries may require immediate medical attention and treatment; however, compensation from the person who caused the injury may not arrive until much later. Subrogation allows for you to receive money from your insurance company for the treatment.
However, that does not mean the person who caused the accident is off the hook for payments. The process is as follows: the injury occurs, treatment is required, the victim’s insurance company pays for the treatment, and then said the company will then be repaid from the money received as damages from the defendant. This kind of payment through subrogation is not limited to medical treatment, as other forms of damages can be paid to the victim through some form of the insurance policy. However, subrogation only works when the insurance company receives the money back form the person who was at fault (or their insurance provider).
Subrogation and Insurance Companies
Subrogation, however, does not allow for the insurance company to give you money for a sustained injury, and then at a later date asking you for the money back. The insurance company would have to recover the money from the person at fault. There are many different types of subrogation payments, and they can also apply according to different circumstances. For an example of contractual subrogation, medical pay allows the insurance company to pay for medical bills that were required to treat an automotive accident. In this scenario, subrogation is allowed between the insurance company and the person who has made a contract with them – in this case, the victim of the accident who was insured. Following a personal injury lawsuit, the damages recovered would go to paying back the insurance company. There are many other forms of subrogation that can apply, and it is advised to speak with a lawyer prior to pursuing a personal injury case.
