SB 25 - This act allows an insurer the right to subrogation of an insured's legal claim for bodily injuries where the insurer has paid for those injuries. If the insured sues and gets a legal judgment, settlement, compromise or reimbursement, the insurer shall have a lien on the recovery, provided the insurer has filed a claim within 10 days after being notified of the lawsuit.

The amount of any recovery shall be the amount assessed as medical costs, less the following: (1) the insured's attorney fees and costs; (2) any copayment or deductible paid by the insured; and (3) a percentage reduction if the insured's recovery was reduced by his own comparative fault. The insurer shall pay a proportional share of the insured's attorney expenses. The insurer may not receive more than 50% of the recovery.

If the insured does not sue, the insurer can bring suit against the liable party at the insurer's expense to recover for insurance benefits paid. The insurer can also recover its legal fees and costs before the insured receives the balance. Any recovery by the insurer shall be considered when revising rates for group policy holders.
MIKE HOEFERKAMP