February 2020 Subrogation Newsletter
When and whether a vehicle involved in a collision is considered “totaled” is an issue of great angst and confusion for most consumers. Even insurance professionals can get turned around navigating the maze of rules and regulations surrounding the act of “totaling” a vehicle under a policy. It needn’t be all that complicated. This article will help take the guesswork out of when a vehicle is to be deemed a “totaled” or a “total loss” and the resulting responsibilities and ramifications applicable to a salvage title vehicle.
There are 22 million vehicles registered in Texas and 13 million head of cattle. Cattle and cars intersect more often than insurers would like to think about. In fact, in the fall season of September, October, and November, animal collisions in Texas account for 24% of all car crashes. Damages from these collisions amounts to over $1.3 billion annually which means that subrogating these losses has become an important area of claim reimbursement for aggressive and prudent insurers. Subrogating Texas vehicle/livestock collisions, however, is more of a challenge than one might expect. In fact, in many cases, the ability to pursue the livestock owner depends on whether a county has adopted local stock laws.
A mutual insurance company is one which is owned entirely by its policyholders. Subrogating on behalf of a mutual insurance company often requires special handling and techniques considering the nature of the individuals and businesses they insure and the types of losses they frequently encounter. Effectively representing them begins with an understanding of what they are and who they insure.