"One party takes on the rights of another. " In the case of a health insurance claim, these letters help us gather facts.Subrogation is when a third party demands to be paid back out of your injury settlement for payments that they made up front. Thank you for using our online questionnaire. Subrogation claims aid insurance companies in recovering expenses they pay out when they're not liable for damages. Subrogation for health plans. Identify, investigate, recover and prevent inaccurate payments linked to accident-related medical and disability expenses. Advantages include greater security and accuracy of data, along with faster processing and payment. Both subrogation claims and rights of reimbursement generally arise out of a contract22 that predates the payment of expenses (i.e. An employee is injured on the job.