March 2013 9 Prompt attorney response and attendance at the loss scene investigation only 16 hours after the loss resulted in the preservation of the critical evidence that otherwise would have been missed; a creative theory of recovery; and, leading to a multi-million dollar jury verdict. – • Early cooperation with the risk manager and the negotiation of a Common Interest Agreement resulted in full recovery of the insured’s deductible in conjunction with the insurers’ subrogation recovery • Retention of the proper experts led to a multi-million dollar verdict once the true cause of the loss was established by the new expert and the evidence he uncovered • Using highly-specialized experts, prompt scene inspection techniques, preservation of otherwise lost evidence and innovative theories of recovery produced a nine-figure recovery without trial • An eight-figure recovery was achieved when an expert was able to work closely and collaboratively with the local regulatory agency who permitted him the sole inspection of a closed scene within 48 hours of the loss; subsequent retention of specialized experts thereafter resulted in determining the not-so-obvious location of the fire’s origin (in addition to avoiding lateraised adverse party coverage defences) • Utilizing divers, the critical ‘smoking gun’ evidence was recovered in a pipeline far downstream of a failed valve months after the loss because subrogation counsel learned of this opportunity due to on-going and positive discussions with insured’s counsel; the valve manufacturer later issued a recall because the critical piece was improperly installed • An ‘on-notice’ contractor’s threat of a temporary restraining order to the insured that would have prevented essential repairs and extended the business interruption period was diffused by subrogation counsel who worked with the adjuster and the insured’s counsel to avoid the application for a temporary restraining order and to preserve the relevant evidence. Due to a suggestion from counsel , technical experts utilized an idle crane and were able to visualize a construction failure that led to a multi-million dollar recovery. Conclusion In the end, the prompt use of experienced, large loss subrogation counsel, over the course of several losses, frequently results in greater net returns than nearly any other best subrogation practice. When used efficiently, a subrogation best practices program will likely never again require you to ask at any stage of an adjustment, “Subrogation? Hmmm…What now?” © 2013 Xchanging