Subrogation Release Form for Canada

Subrogation Release Form Template for Canada

A Subrogation Release Form is a legal document used in Canadian insurance law that formally releases an insurer's right to pursue recovery from a third party after settling a claim with their insured. This document is governed by both federal and provincial insurance regulations, with specific provisions varying by province/territory. It serves as a binding agreement where, in exchange for consideration, the insurer waives its right to step into the shoes of the insured to pursue recovery against the party responsible for the loss. The document must comply with provincial Insurance Acts and related legislation, including specific requirements for Quebec under the Civil Code.

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What is a Subrogation Release Form?

The Subrogation Release Form is essential in Canadian insurance claim settlements where an insurer decides to waive its subrogation rights against a third party. This document is typically used after an insurance company has paid a claim to its insured and determines that pursuing recovery from the responsible party is either not feasible or not in its best interest. The form must comply with both federal insurance regulations and provincial/territorial laws, including specific provisions under the Civil Code of Quebec for cases in that jurisdiction. It should clearly identify all parties, specify the claim details, outline the consideration provided, and include all necessary legal provisions to make it binding and enforceable. The document serves as protection for both the releasing and released parties by clearly defining the scope of rights being waived and preventing future legal actions related to the specified claim.

What sections should be included in a Subrogation Release Form?

1. Parties: Identification of all parties including the releasing party (insurer), the released party (third party), and the insured

2. Background: Details of the incident/loss, insurance claim, and the context for the subrogation release

3. Definitions: Key terms used in the document including 'Claim', 'Incident', 'Release', 'Subrogation Rights'

4. Consideration: Statement of the payment or consideration being provided in exchange for the release

5. Release Terms: Specific terms of the release including the scope of rights being released and any reservations

6. Representations and Warranties: Statements confirming the authority to execute the release and the validity of the claims

7. Governing Law: Specification of the applicable provincial/territorial law governing the agreement

8. Execution: Signature blocks and execution requirements for all parties

What sections are optional to include in a Subrogation Release Form?

1. Multiple Insurer Provisions: Required when multiple insurance companies are involved in the claim

2. Confidentiality: Used when parties wish to keep the settlement terms confidential

3. Third Party Rights: Needed when there are additional parties who may have rights affected by the release

4. Currency Specification: Required for international cases or when multiple currencies are involved

5. Partial Release Provisions: Used when only certain aspects of subrogation rights are being released

6. Indemnification: Added when specific indemnity provisions are required beyond the basic release

What schedules should be included in a Subrogation Release Form?

1. Schedule A - Claim Details: Detailed breakdown of the insurance claim amount and payments made

2. Schedule B - Incident Report: Detailed description of the incident giving rise to the claim

3. Schedule C - Related Claims: List of any related claims or potential claims affected by the release

4. Appendix 1 - Supporting Documents: List of relevant insurance policies, claim forms, or other supporting documentation

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Canada

Publisher

Genie AI

Cost

Free to use
Relevant Industries

Insurance

Legal Services

Real Estate

Construction

Manufacturing

Transportation

Healthcare

Retail

Maritime

Energy

Professional Services

Property Management

Relevant Teams

Legal

Insurance Claims

Risk Management

Compliance

Operations

Underwriting

Corporate Affairs

Document Management

Finance

Relevant Roles

Insurance Claims Manager

Legal Counsel

Risk Manager

Insurance Adjuster

Claims Representative

Compliance Officer

Insurance Broker

Underwriting Manager

Corporate Counsel

Settlement Officer

Insurance Operations Director

Claims Attorney

Risk Assessment Specialist

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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