On Subrogation

The idea that an insurance company cannot subrogate against its own insureds seems like common sense, but is this a hard-and-fast rule?  What happens when an insurance company tries to seek reimbursement for medical expenses paid to their insured when they also insure the tortfeasor who caused those injuries? What if that insured seeks her own recovery against the tortfeasor for the same medical expenses? What if an insured’s intentional act was the cause of serious injuries or death? Does their insurance company have a right to subrogate to recover those amounts from their insured?

In this installment in our series, follow Rebecca and Steve as they navigate the anti-subrogation rule and explain why insurance carriers cannot typically subrogate against their own insureds, and when such actions may be permitted. 

The Made Whole Doctrine protects an insured’s right to recovery before recovery is collected by its insurer.   But what if the tortfeasor does not have enough insurance to cover the loss? Is the insured entitled to recovery for pain and suffering? And the ultimate question, when is the insured considered fully compensated for the loss?

Being “made whole” varies even in those states that do apply the Made Whole Doctrine.    Listen as Steve and Rebecca lead you through several states’ application of the doctrine, from those that require a legal determination that the insured has been made whole before any subrogation recovery, to those that parse out the doctrine based on damage types, to those that reject it entirely.   

Federal and State Governments are powerful entities. But are they so powerful that they can never be sued for damages?

In this installment in our series on third party liability, join Rebecca and Steve as they explain why sovereign immunity can be a liability for your case if your third party is a government entity.   The special forums for these claims, the special rules, time limits, and notice requirements that apply, and whether the entity can be sued for subrogation at all depend on which state or political subdivision is at fault.  So buckle up and take notes for your next cross country claim.

You’ve seen it before: drinks flowing at your local bar on busy Saturday night. A patron who’s had too much leaves behind the wheel. If this person goes on to cause an accident, can the bar owner or bartender be held responsible for serving too much? What if it’s a house party, instead of a bar? The answer is, they might be.

Sit back and drink up this intoxicating subject as Steve and Rebecca use multi-state case law as real examples for when someone other than the inebriated party can be held responsible for a victims’ injuries. From dram shop laws creating liability for bar owners, to social host laws that do the same for homeowners, use this episode as one more reason to take the keys from your own guests who have had too much. 

Each week, we bring you free education and advice on legal issues related to subrogation law.  Listen to more podcasts at https://rathbonegroup.libsyn.com.

A tortfeasor goes on a donut run driving the company car and causes an accident with your insured.  Can the insured - or her insurance company - also recover damages from the company?  The answer is, “it depends.”

Rebecca and Steve return to explain the factors that turn an employee’s actions from a frolic into a detour, a single liable tortfeasor into a viable claim against the employer, via the doctrine of respondeat superior.  What is within the course and scope of employment, when is an errand a frolic instead of a detour, and how can you prove this person was an employee in the first place? Listen to learn the tools you need to determine whether or not an employer has exposure when their employees cause damage both inside and outside the workplace.

Each week, we bring you free education and advice on legal issues related to subrogation law.  Listen to more podcasts at https://rathbonegroup.libsyn.com

Learn more about us:

Rebecca Wright: https://www.rathbonegroup.com/our-people/rebecca-w-wright/

Steve Alsip: https://www.rathbonegroup.com/our-people/steven-alsip/

As that great American philosopher, Kenny Rogers, once sang,

"You got to know when to hold 'em, know when to fold 'em"

But how do you know when to walk away?  Join Rebecca and Steve as they walk through the process of evaluating a claim that looked great on intake, to tease out whether or not it was a good bet as a subrogation case for the client.  From determining the filing jurisdiction, to identifying claims and challenges, learn the steps to take to evaluate the cards you were dealt.

Listen to more podcasts at https://rathbonegroup.libsyn.com

What happens when someone else causes an accident while driving your car?  Are you liable for the damages caused by this irresponsible driver?  Our most recent podcast launched a new series on third-party liability.  Today, Steve and Rebecca pick up with our second installment, defenses raised by third party owners.  In addition to the usual negligence defenses, owners raise additional arguments to challenge their own liability.  Using multi-state case law as real-life examples, Steve and Rebecca travel from Oregon to Washington, DC to explain how to address these defenses, from shifting the burden of proof, to proving ownership, to key-in-ignition statutes that attach liability to the owner even if the vehicle was stolen. 

If you missed our first episode on third party liability, check out our previous episode.  Do you have claims involving car and truck rental companies?  Don't miss our podcast on the Graves Amendment, or head to our YouTube channel for a Graves Amendment video.

Be sure to rate, review, and subscribe to On Subrogation, so you can keep up with all the latest episodes.  Questions or comments about this podcast?  Contact us at [email protected].

How do you recover damages if your tort driver is uninsured, underinsured, or otherwise uncollectable?  What is the risk to lending your car to your drunk friend? (spoiler: don't do this).  In this, our first in a multi-part series on third-party liability, Steve and Rebecca discuss when and how the owner of a vehicle will be vicariously liable for damages cased by a different driver, by statute, common law, or by negligent entrustment.  As a bonus, learn some great arguments for why you can't loan your car to your cousin, the terrible driver.

Be sure to favorite or subscribe to the On Subrogation podcast so that you can catch the next episodes on other types of third-party liability!

Service of process just joined the digital age, in two jurisdictions, anyway. Alaska, in 2019, and now Texas, in 2021, officially allow litigants to serve summons' via social mail, e-mail, and other electronic means. Just like everything else on the internet, though, these new service rules are not as simple as they seem. Listen as Rebecca and Steve discuss the requirements for social media or electronic service, pitfalls to avoid, and how you can use these tools to serve your subrogation defendants online.

Want to see more? Check out our YouTube video on Service by Social Media. For more on Service of Process, you can listen to our podcast episodes on serving In-State Defendants, Out-of-State Defendants, and International Defendants.

You've seen it before - you're insured was minding her own business, driving down the highway, when suddenly, there's a cow in the road!  Or a horse! Or a ... goose?  She swerves and... you have a damages claim to subrogate.  Is the owner of an animal running at large liable for the damages that animal caused?  It depends. In this episode, Steve and Rebecca discuss the cases of animals in the road and animals running at large, and how the laws regarding liability for the damages caused by these animals differs from state to state, and even from town to town.  Learn about open range states, fence in states, and what kind of proof you need to recover when your insured is damaged by animals on the loose. For more on open range laws, check out our YouTube video, Livestock Liability in Open and Closed Range States. For more information about animal claims, check out our episode, When Animals Attack! - Dog Bites.

Note that due to the issues surrounding COVID-19, we are suspending posting new content, so this will be our last new episode of On Subrogation for a little while.  Rathbone Group, LLC is open for business, and you can still submit your questions or file referrals to us at [email protected].  Stay well!