What can I do if my insurance company may want to pursue a claim against someone but I don't?
Question Details: A couple of days after Christmas, my daughter fell off of the neighbor's new hoverboard and broke her wrist. Now my insurance company wants more details on the accident to determine if another party is responsible for the medical treatment. I don't want my neighbors to pay my daughter's medical bills. The situation could have just as easily been in reverse. I don't want the injury to have a negative impact on their homeowner's insurance or our relationship, for that matter. I don't feel they are to blame for her injury.
It's not up to you: insurers have the legal right (called "subrogation") to seek reimbursement of any amounts they paid out from someone else who is at fault in causing the injury and therefore the insurer's payment. The insurer does not have to simply absorb the loss, but can get the money from someone who was legally in the wrong in causing the expense. So if you have received money from one of your insurers, they are allowed to go after the neighbors if they feel that they are or may be at fault, to recover any and all amounts they had to pay out due to the accident.