What is subrogation in insurance? This question may be hovering around your head because you are looking for an insurance quote for your next policy. Subrogation refers to an insurance benefit where the insured party holds the other party responsible for all the damage caused to him/her. In simple terms, subrogation means that the insured party is responsible for what the insured did. So, the literal meaning of subrogation is a legal privilege where the insured party holds the other party responsible for all the damage caused to him/her. It is very important for you to understand the importance of this in your insurance. In case of an accident, Subrogation arises when the insured party has been in an accident and another party is held liable for all the injuries and damages caused. The law states that the other party must bear the responsibility to pay for the medical expenses, lost wages and all the damages caused by the accident. The insurer pays for the same when Subrogation occurs....
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