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Can an insurance company subrogate unpaid balance of claim after signing a property damage release with the at fault insurance ?

San Antonio, TX |

California claim. Limits issue so PD release sent. Adverse carrier wants at fault insured to sign payment plan along with being paid the PD limits.

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Attorney answers 5

Best Answer

If the other side signed a release, then the at fault party is released and does not have to sign anything. Your question is not real clear as to what happened, so I hope that answers it.

This is not legal advice. You should always discuss the specifics of your issue in person with an attorney. Be aware that there are time limits on all claims that depend on the kind of claim, so do not delay in seeking an attorney.



That's what I thought. My adjuster advised me that the other insurance carrier wants me to sign some type of payment plan so that the other insurance company is made whole. So my insurance would pay it's full pd limits, on top of that i would be paying some type of payment plan to the other insurance company. So if that's the case what's the point in signing the release?

Richard Kurt Arbuckle

Richard Kurt Arbuckle


I agree. So just make sure there is a release.


Sure. But it's rare for carrier to enter into deal that leaves its insured exposed.

If you want to discuss please email me at or call on my mobile: (206) 714-1421. Thanks.


I agree with Mr.Myers. The insurance company will ordinarily obtain a release that includes their insured. Get a copy of the release and see if you were named.


Innocent driver's insurance company settles the PD claim for policy limits with the at fault driver's insurance company. It now wants to subrogate the balance of the PD claim with the at fault driver? The at fault driver's insurance company most likely got a full and final release, at least as to PD claims, so I cannot imagine a senario where the at fault driver would now owe the balance of the PD claim not covered by the policy limit settlement. The PD release should be reviewed carefully to ensure the at fault driver was released in full. If the at fault driver's insurance company paid the PD policy limit and did not get a full and final release, that person should seek legal counsel for insurance bad faith/breachof fiduciary duty type claims depending on the amount in controversey.


Richard laid it out well

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