This office lease form does not prevent the insurer from asserting any right it might have to recover its losses from a tortfeasor. A better way to approach this can be done by both obtaining an endorsement from the insurance company to waive its recovery rights and by inserting a clause in the lease to this effect.
Puerto Rico Waivers of Subrogation are legal agreements commonly used in insurance contracts and construction projects in Puerto Rico. They provide a means for parties to waive their subrogation rights in the event of a loss or damage covered by an insurance policy. A waiver of subrogation clause serves as a contractual provision where an insured entity voluntarily relinquishes its right to seek reimbursement or file a lawsuit against a third party responsible for the loss. In Puerto Rico, these waivers are significant in various industries, especially in construction projects and property insurance. There are multiple types of Puerto Rico Waivers of Subrogation, each relating to specific situations or parties involved. These include: 1. General Waiver of Subrogation: This waiver applies to all parties involved in a project or insurance policy. It prevents insurers from seeking recovery from any of the contracting parties, regardless of their degree of fault. 2. Owner-Controlled Insurance Program (CCIP) Waiver of Subrogation: This type of waiver is commonly used in construction projects where the owner of the project provides an insurance policy that covers all contractors and subcontractors involved. The waiver prevents the owner's insurance company from suing any of the contractors or subcontractors for any losses covered by the policy. 3. Contractor-Controlled Insurance Program (CCIP) Waiver of Subrogation: In contrast to CCIP, CCIP involves the contractor obtaining a master insurance policy covering all parties involved in a construction project. The CCIP waiver ensures that the contractor's insurance company cannot pursue recovery from subcontractors if they cause any covered losses. 4. Mutual Waiver of Subrogation: This waiver is commonly used in commercial lease agreements. It allows both the landlord and tenant to waive their subrogation rights against each other. In case of any loss or damage covered by their respective insurance policies, neither party can seek reimbursement from the other. 5. Professional Liability Insurance Waiver of Subrogation: This waiver is specific to professionals like architects, engineers, and consultants who carry professional liability insurance. It prevents their insurance company from seeking recovery against a client or other parties involved, even if the professional's error or omission led to the loss. Puerto Rico Waivers of Subrogation are important tools in risk management and transfer for construction projects and insurance policies. By understanding the different types and their implications, parties can navigate their contractual relationships effectively while ensuring financial protection in case of unforeseen events.
