Insurance companies frequently assert, and benefit from, the right to subrogation. That is, upon payment of the policyholder's loss, insurance companies argue that they stand in the policyholder's shoes to assert any rights the policyholder may have against third parties in connection with the loss.
Sauce for the Goose: Transfer of a Policyholder's Insurance Coverage Rights By Subrogation
Recent case law on subrogation supports the notion that in the appropriate circumstances, third parties that pay a policyholder's loss are themselves subrogated to the policyholder's rights against the insurance company for coverage.
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