Mechanic repairing a car. Backlogged body shops combined with a scarcity of parts increased the dollar value of subrogation claims filed in arbitration. (Photo: chartphoto/Adobe Stock)

Arbitration filings leading to subrogation recovery is a process that has been in place for well over three-quarters of a century. However, in all that time perhaps there has never been more of an impact to the process, procedure and (frankly) the ability to prevail at hearing than what the insurance community has experienced over the last few years. What has been the noticeable effect on the insurance industry as a whole, where roughly 13% of all subrogation claims make their way to intercompany arbitration? Every dollar recovered is essential to the bottom line of carriers and self-insureds as they leverage the arbitration process as a means to secure those monies where disagreement exists over liability for the loss; the damages incurred or coverage.

Let’s look at four key areas that have had the biggest bearing on intercompany arbitration as subrogation departments emerge from the last several years, and what they can do to ensure the optimal opportunity for recovery on every claim making its way before an arbitrator.



Join PropertyCasualty360

Don’t miss crucial news and insights you need to make informed decisions for your P&C insurance business. Join now!

  • Unlimited access to - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including, and
  • Exclusive discounts on PropertyCasualty360, National Underwriter, Claims and ALM events

Already have an account? Sign In Now
Join PropertyCasualty360

Copyright © 2023 ALM Global, LLC. All Rights Reserved.