Insurance companies will sometimes pay a claim to a homeowner and THEN try to recover the financial losses from the home inspector through a process called subrogation.
In subrogation, one party succeeds to the rights of another either by law or by contract. In this process, the home inspection insurance company blames the home inspector for the issue at fault EVEN if the homeowner does NOT blame the home inspector.
There are a growing number of subrogation cases that involve a home inspector’s professional liability. However, these claims CAN be squashed, as they are just as meritless as many other home inspection claims.
I describe how to protect yourself and fight back against subrogation claims in this week’s video blog.