The aim of the doctrine of subrogation is that the insured should not get more than the actual loss or damage. When insurer (insurance company) pays full compensation for any insured loss (of insured property), the insurer (insurance company) holds the legal right (claim) of the insured property. This also means the insurer (insurance company) has the legal right to claim any future gains from the said property for any recovery and/or settlement. In insurance, after payment of a claim, the insurers shall be entitled to take over the legal right of the insured against the liable third party for the purpose of recovery. The principle of subrogation is a corollary to the principle of indemnity, it has its birth from the principle of indemnity and it has its existence to preserve the principle of indemnity.
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