Any time you sign a contract, you should understand the consequences of each clause in the agreement. Where a contract contains a waiver of subrogation clause, the parties mutually waive their right to sue the other for damages that may arise from the transaction. Such clauses are used in combination with an insurance policy covering any potential liability for damages. The waiver is used where the transaction is complex, involving many contractors, and for the purpose of minimizing lawsuits and claims by shifting the risk of loss to the insurance carrier.
Report the incident that gives rise to the claim to the insurance company. Take photographs of the scene and damaged property. Collect any surveillance camera footage that captured the event. Collect the names and contact information and take the statements of all witnesses. Write a statement describing the event and include any surrounding, relevant information necessary to make the narrative clear.
File your claim with the insurance carrier. The insurance company covering the party at fault sets out procedures for filing a claim with a waiver of subrogation clause. Contact the insurer and submit the claim by phone or the company website. The insurance company will use this information to create a preliminary report of the incident. A claims adjuster will follow up on the report to inspect the site of the incident, estimate the damages and collect the evidence you gathered. Make duplicates and keep copies of all your records. Contact a contractor to obtain your own estimate of the damages and cost of repairs.
Negotiate a settlement agreement with the insurance company. Have all the facts straight and the information and documentation organized and readily at hand. This set of information includes photographs, video, witness statements, police reports, damage estimates and all other documentation showing how the events occurred resulting in your property loss and the amount of damages. By coming to the negotiation table well prepared, you increase your strategic bargaining position to settle for a larger amount. If the negotiations fail to produce an agreement that reimburses you for your losses and expenses, consider filing an action against the insurance company in court.
- Matthiesen Wickert Lehrer SC: Understanding Waivers of Subrogation
- Coverage Counsel: Waiver-of-Subrogation Clause Not Waived By Not Being Asserted as Affirmative Defense
- Business Liability Insurance Guide: How To File A Business Insurance Claim
- CarInsurance.com: Negotiating an insurance claim settlement
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