Appraisal and Umpire Services
RESOLVING ANY INSURANCE DISPUTES
Insurance Coverage Issues
Insurance policies are designed to give you the peace of mind that comes with knowing you’ll be reimbursed if you suffer a major loss. But what happens if a loss occurs and your insurance carrier doesn’t follow through?
If your insurer has offered to pay you less than what you believe you’re owed, an independent appraisal can help move you closer to receiving a fair payout.
While an appraisal doesn’t address coverage issues, it does provide you with a fair and honest assessment of your loss. This can help you negotiate an appropriate payout with your insurance carrier.
Challenging a Carrier’s Payout Offer
While every insurance policy may have different language, most address the process of challenging an appraisal with verbiage that is similar to this:
“If there is a disagreement about the value of the loss, either the policy owner or the carrier may request a loss appraisal. In this case, each party may select a proficient appraiser within 20 days after receipt of the written request for appraisal.
The two selected appraisers will then work together to select an umpire within a 15-day period. If the appraisers are unable to make an agreed-upon umpire selection within 15 days, the policy owner may request legal intervention. In this case, a judge in the state where the property is located will select the umpire.
Each appraiser completes his or her own assessment of the loss before coming together to reach an agreement and submitting a written report to the carrier. The agreed-upon amount will be the amount of the loss. If the appraisers cannot agree, the umpire will review both appraisals and select the one that will be used to determine the value of the loss.
When this process is elected, each party is responsible for paying for their own appraiser and will equally split the cost of the appraisal and umpire.”
What does it mean?
While this language may seem a bit intimidating, the process itself is actually quite simple. If you receive an unacceptable payout offer and choose to request an appraisal, you’ll follow these six steps.
- Begin by carefully reading your settlement offer. If you feel that the extent of the damage and the value of your loss has been underestimated, you can initiate the review process by filing for an appraisal.
- You and the insurance carrier each select an appraiser to represent your interests, then the two appraisers work together to select an umpire. If they can’t agree on the selection, the courts will appoint an umpire to your case.
- Both appraisers meet at the location where the loss occurred and review pertinent evidence, photos, and documentation. Then, each appraiser conducts an independent appraisal to estimate the extent of the damage and the amount of the loss. If they both agree, they submit a recommendation to the insurance carrier and this is the amount of loss used to calculate your payout.
- If the appraisers are unable to agree on a loss amount, the umpire steps in, reviews the photos, documentation, and each appraisal, then does his or her own independent appraisal of the property.
- The umpire issues his or her proposed decision, which is called an “award.”
- One or both of the appraisers signs the award, indicating that they agree with the umpire. Once signed, this creates a binding decision and the insurance company uses this value as your loss.
The experts at Spartan Appraisal Services will guide you through every step of this process, from initiating an appraisal request to reaching the final settlement with your insurance carrier. You can feel confident that our network of appraisers will help you get the insurance payout you deserve.
Insurance Umpire Services
A property insurance appraisal umpire, also known as simply an “umpire,” is an individual who is selected by both the insured and insurer’s appraisers, or by the courts if the appraisers cannot agree upon the selection of the umpire.
If the appraisers cannot agree on the value of the loss, the umpire resolves the issue by completing an independent appraisal and making a recommendation. To avoid further complications and reduce potential conflicts, it’s typically best to appoint an umpire at the beginning of the appraisal process.
Qualities of a Suitable Umpire
When choosing an insurance appraisal umpire, you’ll typically look for someone who is:
Our network of appraisers, loss consultants, and public adjusters have extensive experience in adjusting losses and dealing with insurance companies. We’re equipped to provide you with a fair and impartial umpire for your appraisal.