MANAGEMENT

Detailed explanation-1: -Subrogation is right transferred to the insurer from the insured to recover the damage compensation caused by the third-party to the insured vehicle.

Detailed explanation-2: -According to Black’s Law dictionary, subrogation is “the principle under which an insurer that has paid a loss under an insurance policy is entitled to all the rights and remedies belonging to the insured against a third party with respect to any loss covered by the policy”.

Detailed explanation-3: -Subrogation is a term describing a right held by most insurance carriers to legally pursue a third party that caused an insurance loss to the insured. This is done in order to recover the amount of the claim paid by the insurance carrier to the insured for the loss.

Detailed explanation-4: -By using subrogation, an insurance company can recover the amount of the insurance claim paid to the insured client from the party that caused the damage.

Detailed explanation-5: -Salvage: The sale of damaged goods for which the insured has been indemnified by the insurance company.-Subrogation: Collection by the insurance company of the amount of a paid claim from a negligent third party or his insurer.