Property Management

In South Carolina, what is 'subrogation' in the context of property insurance?

AThe tenant's right to sublease the property
BThe insurer's right to pursue a third party who caused the loss after paying the insured's claim✓ Correct
CThe landlord's right to deduct insurance costs from the security deposit
DThe process of transferring a renter's insurance policy

Explanation

Subrogation is the insurance principle where the insurer, having paid a claim, steps into the insured's shoes to recover the payment from the responsible party. Landlords and tenants should be aware of waiver of subrogation clauses in leases.

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