Under which type of policy are subrogation rights typically not applicable?

Subrogation rights refer to an insurer's ability to pursue a third party responsible for a loss after it has compensated the insured. In general, subrogation allows the insurer to step into the insured's shoes to seek recovery from liable parties.

In the case of a personal accident policy, subrogation rights are typically not applicable because these policies generally provide coverage to the insured for specific incidents, such as bodily injury resulting from accidents. The nature of personal accident insurance means that the claims are usually directly related to the insured individual, and there is less likelihood of a third party being liable for that personal injury. Therefore, if the insurer pays out a claim under a personal accident policy, there is no viable third-party recoverable loss for the insurer to pursue.

Other types of insurance, such as marine insurance, products liability insurance, and travel insurance, often involve scenarios where external parties might be liable for the loss. In those cases, subrogation rights can be crucial for the insurer to recover losses from responsible third parties.