What is a Subrogation Lien?

In a personal injury claim, an injured person may have received compensation from an insurance company for damages or injuries.  As an example, the insurance company may have made a payment to the injured person for the cost of a car which has been totaled.

In this case, the insurance company will usually be entitled to receive a monetary payment equal to the amount paid to its insured for the value of the car if the insured recovers against a third-party (such as a another driver).  The insurance company is entitled to receive its payment prior to any payment made to the insured.

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