Subrogation is the legal right of your insurance carrier to pursue a third party that caused an insurance loss to your business in Florida. It helps keep your premium costs lower by recovering payouts.
How It Works in the Field
Imagine your employee is driving a company truck and is hit by a negligent driver. Your Workers Compensation pays for the employee's injuries immediately. Then, through subrogation, your insurer sues the negligent driver's auto insurance to get that money back.
Why Waivers Matter
In Florida construction, general contractors often force subcontractors to sign Waivers of Subrogation. This stops your insurer from recovering costs from the GC, placing the entire financial burden of the claim onto your policy and drastically impacting your future renewal rates.