What is another term for "Transfer of Rights of Recovery Against Others to Us" found in many insurance policies?

The term "Transfer of Rights of Recovery Against Others to Us" refers to the legal principle where an insurance company can pursue recovery from third parties who may be responsible for a loss or claim after they have compensated the insured. This process is known as subrogation.

Subrogation allows the insurer to step into the insured's shoes and seek reimbursement from the party at fault, ensuring that the insurer can recoup losses that should be covered by another party's liability. This mechanism helps to maintain the integrity of the insurance system, as it prevents the insured from receiving a double recovery for the same loss—once from the insurer and potentially again from the third party.

This process is an essential component of insurance policies because it enables insurers to manage risk and control costs. By recovering funds from at-fault parties, insurance companies can keep premiums lower for policyholders.

On the other hand, the other terms listed do not encapsulate the same principle. A deductible involves the amount a policyholder must pay out of pocket before insurance coverage kicks in, liability coverage refers to the protection against claims resulting from injuries and damage to other people or property, and risk pooling is the practice of spreading risk among multiple parties to lessen the impact of loss. None of these concepts