Case Title: Franklin v. Healthsource of Arkansas

Citation: 

Docket Number: 

State: arkansas

Court: Arkansas Supreme Court

Date: 1997-04-21T00:00:00Z

Document:
Curtis Lee FRANKLIN, Jr. v. HEALTHSOURCE of
ARKANSAS

96-116                                             ___ S.W.2d ___

                    Supreme Court of Arkansas
                Opinion delivered April 21, 1997


1.   Insurance -- subrogation -- entitlement to by insurer. -- The
     general rule is that an insurer is not entitled to subrogation
     unless the insured has been made whole for his loss; however,
     the insurer should not be precluded from employing its right
     of subrogation when the insured has been fully compensated and
     is in a position where the insured will recover twice for some
     of his or her damages.

2.   Insurance -- subrogation -- objectives of. -- Subrogation has
     dual objectives: (1) preventing the insured from recovering
     twice for the one harm, as would be the case if he could
     recover from both the insurer and from a third person who
     caused the harm, and (2) reimbursing the surety for the
     payment which was made; equity requires that the insured be
     made whole before the insurer's right to subrogation will
     arise. 

3.   Insurance -- contractual right of subrogation -- when insurer
     entitled to reimbursement. -- Pursuant to Shelter Mut. Ins.
     Co. v. Bough, 310 Ark. 21,