Waiver of Subrogation
An endorsement that prevents an insurer from seeking reimbursement from a third party responsible for a loss.
A Waiver of Subrogation is an endorsement added to an insurance policy in which the insurer waives its right to subrogate (seek recovery) against another party. In construction, GCs often require subcontractors to carry a waiver of subrogation endorsement on their policies.
This is important because without it, if a subcontractor's insurer pays a claim, that insurer could turn around and sue the GC to recover the payout. The waiver prevents this scenario, reducing litigation risk on the project.