Which concept involves an insurer seeking to recover from a responsible party money paid out for a claim?

• A. Suit
• B. Temporary Worker
• C. Vicarious Liability
• D. Subrogation

Answer: (D)

Subrogation is the insurer's right to recover money paid to the insured from the party responsible for the loss. After paying a claim, the insurer steps into the insured's position and seeks reimbursement from the negligent party (or that party's insurer). This preserves the indemnity principle by preventing the insured from being paid twice and helps keep insurance costs fair for everyone. The other choices describe different concepts not about recovering paid claims: a suit is a legal action that could be used to seek damages, vicarious liability is about who bears liability for someone else's actions, and a temporary worker is unrelated to the claims-recovery process.