Subrogation

{
  "id": "MLC-T-INS-003228",
  "term": "Subrogation",
  "field": "Insurance and risk management",
  "definition": "An insurer's right to pursue a third party that caused a loss for which the insurer has already paid a claim to its policyholder. By paying the claim, the insurer acquires the insured's legal right to seek recovery from the responsible party, effectively stepping into the insured's shoes to sue for damages. Subrogation clauses are standard in most property and casualty insurance policies, such as auto and homeowners insurance, to recover claim payouts.",
  "url": "https://mlchart.com/terminology/insurance/subrogation/"
}