Lebo and Elsie are involved in an accident and Lebo’s car is damaged. Elsie accepts that she has been negligent. Lebo lodges a claim with her insurer, Stanza Insurance, and Elsie receives a letter from Stanza Insurance confirming that Lebo’s claim would be settled subject to subrogation. Which ONE of the following statements is CORRECT?

Question

Answer

Stanza Insurance has the right to claim from Elsie who caused the damage to Lebo’s car, but may not compensate Lebo for her loss unless their claim against Elsie is successful.

Answer

Stanza Insurance may compensate Lebo in full for the damage caused to her  car  and then claim against Elsie in Lebo’s name.

Answer

If Lebo is insured with more than one insurer, she may claim her total loss from each of her insurers.

Answer

Lebo has the right to claim compensation from both Elsie’s insurer and her own insurer, Stanza Insurance.

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Lebo and Elsie are involved in an accident and Lebo’s car is damaged. Elsie acce...

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