Nebraska Revised Statutes

Neb. Rev. Stat. § 48-118 (2026)

Third-party claims; subrogation

✓ current as of July 2026
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When a third person is liable to the employee or to the dependents for the injury or death of the employee, the employer shall be subrogated to the right of the employee or to the dependents against such third person. The recovery by such employer shall not be limited to the amount payable as compensation to such employee or dependents, but such employer may recover any amount which such employee or his or her dependents should have been entitled to recover.

Any recovery by the employer against such third person, in excess of the compensation paid by the employer after deducting the expenses of making such recovery, shall be paid forthwith to the employee or to the dependents and shall be treated as an advance payment by the employer on account of any future installments of compensation.

Nothing in the Nebraska Workers' Compensation Act shall be construed to deny the right of an injured employee or of his or her personal representative to bring suit against such third person in his or her own name or in the name of the personal representative based upon such liability, but in such event an employer having paid or paying compensation to such employee or his or her dependents shall be made a party to the suit for the purpose of reimbursement, under the right of subrogation, of any compensation paid.

Notes of Decisions
Cited in 91 cases (7 in the last 5 years), 1933–2026 · leading case: In re Est. of Evertson, 889 N.W.2d 73 (Neb. 2016).
In re Est. of Evertson, 889 N.W.2d 73 (Neb. 2016). · cites it 15× “In the county court proceeding, Travelers filed a statement of claim to assert its subrogation right to Darla’s distribution from the settlement against the third-party tort-feasor, under Neb. Rev. Stat. § 48-118 (Reissue 2010). Travelers claimed a lien for $26,208 in indemnity…”
Jackson v. Branick Indus., Inc., 581 N.W.2d 53 (Neb. 1998). · cites it 37× “At the time of Jackson’s injury, Neb. Rev. Stat. § 48-118 (Reissue 1993) gave the employer and its insurer a subrogation interest against third-party tort-feasors in the amount of any compensation paid to or on behalf of the employee.”
Turney v. Werner Enter., Inc., 618 N.W.2d 437 (Neb. 2000). · cites it 31× “Wemer, however, eventually refused to sign the proposed settlement agreement, concluding that characterizing the settlement as payment for the Turneys’ “pain and suffering only” was adverse to Werner’s subrogated workers’ compensation interests under Neb. Rev. Stat. § 48-118…”
Turco v. Schuning, 716 N.W.2d 415 (Neb. 2006). · cites it 19× “We determine that the settlement of a third-party claim under Neb. Rev. Stat. § 48-118 (Reissue 2004) (now codified at Neb.”
Nekuda v. Waspi Trucking, Inc., 388 N.W.2d 438 (Neb. 1986). · cites it 56× “This case involves the allocation of attorney fees between an employer and the personal representative of the estate of a deceased employee under the provisions of Neb.Rev.Stat. § 48-118 (Reissue 1984). Section 48-118 applies to suits brought against third parties for injuries…”
Miller v. M.F.S. York/Stormor, 595 N.W.2d 878 (Neb. 1999). · cites it 25× “Because MFS had paid workers’ compensation benefits to Miller, MFS joined Miller’s suit against W&G as required by Neb. Rev. Stat. § 48-118 (Reissue 1993) of the Nebraska Workers’ Compensation Act.”
Burns v. Nielsen, 732 N.W.2d 640 (Neb. 2007). · cites it 12× “The judgment of the court is reversed, and the cause is remanded with directions for the court to order a “fair and equitable distribution of the proceeds” of the settlement, consistent with the interpretation of § 48-118.”
Dragon v. Cheesecake Factory, 300 Neb. 548 (Neb. 2018). · cites it 6× “Compare Neb. Rev. Stat. § 48-118 (Reissue 1993), with § 48-118 (Cum.”
Moyer v. Douglas & Lomason Co., 325 N.W.2d 648 (Neb. 1982). · cites it 28× “This case involves the allocation of expenses and attorney fees between employer and employee under Neb.Rev.Stat. § 48-118 (Reissue 1978). George H.”
Jameson v. Liquid Controls Corp., 618 N.W.2d 637 (Neb. 2000). · cites it 19× “1996), which the district court also treated as a motion under Neb. Rev. Stat. § 48-118 (Cum. Supp. 1996), to determine Aetna’s subrogation rights.”
Combined Ins. v. Shurter, 607 N.W.2d 492 (Neb. 2000). · cites it 40× “Shurter, appeals the decision of the district court for Adams County dismissing its petition for declaratory judgment filed against Shurter in which, pursuant to Neb. Rev. Stat. § 48-118 (Reissue 1993), Combined sought $34,045 of the $75,000 settlement proceeds which Shurter had…”
Gillotte v. Omaha Pub. Power Dist., 203 N.W.2d 163 (Neb. 1973). · cites it 26× “This case involves the allocation of reasonable expenses of trial and attorney’s fees between employer and employee under section 48-118, R. R. S. 1943. That statute applies to suits brought against third parties for injuries to an employee entitled to workmen’s compensation…”
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