WHAT ARE SUBROGATION RIGHTS?
Occasionally, there may be doubt as to whether a disabling injury or sickness had anything to do with work. A work-related disability is covered under the workers’ compensation law, while a nonwork-related disability should be filed as a TDI claim. If you filed a workers’ compensation claim and it is being denied or controverted, you can then file a TDI claim, and your employer or the insurance carrier must pay the TDI benefits first provided you meet the eligibility requirements as described above. If you were subsequently awarded workers’ compensation benefits for the same disability, your employer or the TDI insurance carrier has the right to subrogate your workers’ compensation benefits to the extent of the TDI benefits already paid to you earlier. Subrogation may also extend to benefits resulting from a legal action on liability if such benefits are awarded subsequently for the same disability covering the same disability period. Here is an example of what subrogation is: Suppose
