A waiver of subrogation is a document that prevents your insurance company from using subrogation to pursue reimbursement for claims payments from the at-fault party.

Subrogation is the right of an insurer to pursue the party that caused the loss to the insured in an attempt to recover funds paid in the claim.

Using this information, subrogation professionals can then determine if a waiver of subrogation or lack of contractual privity pose challenges to an insurer’s recovery.

Under a mutual waiver of subrogation, both the landlord and tenant agree to waive claims against one another to the extent the loss is covered by insurance.

The Maryland Supreme Court has agreed to hear a Baltimore City case that will determine the scope of subrogation waivers in construction contracts.