Subrogation gives the insurer the right to recover from which party?

• A. The insured
• B. The insured's employer
• C. A negligent third party
• D. The insurance broker

Answer: (C)

Subrogation lets the insurer step in after paying a claim and go after the party at fault to recover the amount paid. When someone else’s negligence or fault caused the loss, the insurer can seek reimbursement from that negligent third party rather than from the insured. This protects the insured from paying twice and ensures the responsible party ultimately bears the cost. The targets of subrogation are the negligent third party; the insured, the insured’s employer, or the broker aren’t the parties from whom recovery is sought in this context.