Document background
A Subrogation Contract is a critical legal instrument used in the Danish insurance market when an insurance company seeks to exercise its right to pursue claims against third parties after compensating its insured. This document type is essential when an insurer has paid a claim to its insured and wishes to recover the paid amount from a responsible third party. The contract formalizes the transfer of legal rights from the insured to the insurer, enabling the latter to pursue recovery actions. Under Danish law, particularly the Insurance Contracts Act, specific requirements must be met for a valid subrogation, and this document ensures compliance with these requirements while protecting all parties' interests. The agreement is typically used following insurance payments for property damage, professional liability claims, or other insured losses where a third party may be legally responsible for the damage.
