Subrogation
Also called: subrogation rights, recovery from third party
Subrogation is the insurer's right to step into your shoes and pursue whoever caused the loss after paying your claim. It keeps costs down by pushing them to the party at fault, and it's why your insurer may pay first and argue later. If subrogation succeeds, your deductible is often refunded — a recovery many policyholders never think to ask about.