Waiver of Subrogation

A waiver of subrogation is a provision where the insurer gives up recovery rights against a specified party after paying a claim.

Waiver of Subrogation is an important insurance concept because it can affect how coverage is selected, priced, interpreted, or applied at claim time. In practical terms, it helps explain what the policy may do, what the insured may be responsible for, or how the insurance company may evaluate a covered situation. This term is commonly associated with Commercial General Liability, Workers Compensation, Commercial Property. For business insurance customers, understanding Waiver of Subrogation can make it easier to compare policies, ask better questions, avoid coverage gaps, and understand what may happen before, during, or after a claim. The exact impact of Waiver of Subrogation depends on the policy form, endorsements, limits, deductibles, exclusions, state law, and the facts of the loss or account.

Example: Example: A business owner comparing quotes for commercial general liability coverage asks whether Waiver of Subrogation could affect contracts, claims, or required limits. The agent reviews the policy wording and explains how it may apply to the business operation.