USING THE DOCTRINE OF SUBROGATION TO LIMIT THE UNJUST ENRICHMENT OF THE INSURED UNDER CAMEROONIAN INSURANCE LAW

Abstract

This piece reveals that the right of insurers to seek subrogation (reimbursement) for payment made in the occurrence of an event are the norms for virtually every category of insurance contracts, specifically contracts of indemnity. This right is not usually inserted in an insurance policy. Thus, even if such right is not expressly stipulated in the contract of insurance, the insurer will be entitle to such rights upon the fulfilment of the required conditions, making such right to be purely an implied rights into the contract. However, in Cameroon the CIMA Code governing insurance activities in Cameroon provides for subrogation rights in it article 42, thus whether insurance policies provides for subrogation rights, the principles of the CIMA Code automatically apply. This principle of subrogation does not exist as an independent principle but as means to curb any unjust enrichment or unjustified profit that the insured may seek to make from the loss suffered. In order to curb such unwarranted enrichment the insurer after compensating the insured is entitled to the rights of the insured against any third party responsible for the loss or claim from other insurer in case of contributory insurance subject to the exceptions provided the law.