Subrogation Claims Handling Process

A subrogation claim that may seem hopeless or destined for lengthy litigation may be resolved through persistent, professional and persuasive communication. Our experience has shown that a straightforward, professional approach produces far better results than strong-arm tactics. A persistent, professional strategy that the claimant understands can result in legal action, if necessary, generally produces quicker payment. Our policy to “ask nicely once” allows us the flexibility to work with debtors who make good faith settlement proposals and aggressively litigate claims against debtors that refuse to pay.

Although all claims are somewhat unique, and the process is always subject to modification based on the particular claim or the adjuster’s wishes, this is a general outline of the process we use to recover:

• Client sends information on the claim including supporting documentation.
• Claim is reviewed and claim information is input into claims tracking program.
• Demand letter is sent to claimant via U.S. mail and acknowledgment letter is sent to the Client.
• Telephone contact with the claimant begins.
• Resolution of any disputes is conducted and limited supporting documentation may be sent to the claimant.
• Settlement negotiations begin.
• Either lump sum settlements are collected or clear written, and signed, commitments for recovery obtained.
• Once written payment commitments are obtained, active monitoring of payments begins.
• If claimant fails to cooperate in resolving the claim, final pre-litigation collection attempts are made.
• Updates and recommendations are sent to the Client, including details on commencing litigation.
• The Client authorizes litigation and suit is filed.
• If the Client decides not to authorize litigation, the claim is worked for an additional 60 days then closed.
• Once Judgment is obtained, all appropriate legal action is taken to enforce satisfaction of the Judgment, including but not limited to wage garnishments, bank levies, court-ordered examination of the judgment debtor and use of all available lien procedures.

Flexible contingent fee agreements are available.

About the Author: Carl H. Starrett II has been a licensed attorney since 1993 and is a member in good standing with the California State Bar and the San Diego County Bar Association. Mr. Starrett practices in the areas of bankruptcy, business litigation, construction, corporate planning, insurance subrogation and debt collection.