Who is the primary party entitled to the claim payment when an insured property is salvaged?

When an insured property is salvaged after a loss, the primary party entitled to the claim payment is the insurer. This is based on the principle of subrogation, where the insurance company pays the insured for the loss and then has the right to recover the salvage value of the damaged property. Salvage refers to the remaining value of the damaged property that can be sold or repurposed after a claim has been settled.

In this situation, once the insurer pays the claim amount to the insured, they take possession of the salvage to either sell it themselves or deduct its value from the claim settlement. This process helps the insurer minimize their loss and recover some of the expenses incurred after the claim. Therefore, the insurer has the primary right to any proceeds from the salvaged property.