easty said:
I also think we should also refer to:
“STRATA SCHEMES MANAGEMENT ACT 1996 – SECT 92
Insurance claim where owner at fault
92 Insurance claim where owner at fault
If an insurer of an owners corporation accepts a claim by the
owners corporation based on an act or omission by an owner of a lot, the insurer has no right of subrogation in relation to the owner based on that act or omission unless it is proved that the act or omission was wilful”.
What is subrogation? This definition is from the FindLaw website:
Simply stated, the right of subrogation is the right to pursue someone else’s claim. If you are subrogated to someone’s claim, it sounds as though you are somehow subordinated to it — but that’s not what it means. It means that you may pursue it as though it were your own. It can arise by the express agreement of the parties, or automatically by operation of law.
Let’s look at a few examples.
- Insurance. Suppose you own a building which burns down due to the negligence of a third party. Normally you could sue the negligent third party for causing your building to burn down. If your fire insurance company pays off your claim, however, the insurance company is then subrogated to your claim against the negligent third party. This means your claim against the negligent third party is treated as having been assigned to the insurance company, which may sue him to recover the amount it paid you on account of the fire loss.