The term “subrogation” is common in the insurance world and it applies in many personal injury and car accident cases in Florida. It is likely that you will hear it mentioned at some point in many insurance cases. An example of subrogation is the typical two car accident with physical damage to the vehicles.
If the party who was not at fault has collision coverage and goes through their own car insurance company to get their vehicle repaired, they will have to pay a deductible out of their pocket and their car insurance company will have to pay to fix the car. The car insurance company of the person who was not at fault would then make an effort to recover their costs from the insurance company of the at fault driver. This process is called subrogation and if the insurance company is successful in recovering their costs, they can most likely refund their insured’s deductible.
The above is an example of subrogation in a property damage claim, but the same idea applies to a personal injury case. When health insurance covers some medical costs, or where uninsured motorist is in play in a personal injury case, subrogation can be an issue in the case. It is important when there are subrogation issues in your case that your personal injury attorney can make sure that any effect on your settlement is avoided or minimized.