Appraisal
Insurance claim disputes are common, and that is why you need the professional expertise of an experienced, ethical Public Adjuster like Horizon Public Adjusters. When there is a disagreement with an insurance company regarding the cost of repairing or replacing damaged property, it can be quite frustrating, especially for the policyholder, who often feels he has no choice but to settle for the amount offered by the insurance company. Whether by design or not, insurance companies do not always notify policyholders of their right to participate in alternative processes to resolve property damage insurance claim disagreements. Consequently, many policyholders never realize that they have a right to dispute an insurance settlement amount, nor do they understand how to properly initiate a property insurance claim dispute.
One way for policyholders to dispute their insurance company’s offer is to invoke the appraisal clause within the insurance policy. When conducted properly, appraisal can be a very effective alternative dispute resolution process. However, the appraisal clause should be reviewed and invoked by an experienced person such as Horizon Public Adjusters.
This is when having Horizon Public Adjusters fight for you and in your corner is essential!
What is the Job of the Appraiser?
The appraisal process starts where both the insurance company and the insured assign their appraisers. Unless there is an exclusion in the policy that the public adjuster can not be the appraiser, then we will recommend an appraiser; however, there is a cost for an independent appraiser and no cost for the public adjuster from Horizon. The appraiser must agree on a neutral umpire which is explained later.
The appraiser’s job is to find common ground on the items in terms of the cost. If the two appraisers can come to an agreement on the value of the damage, then an award is signed, and that amount is set and will become binding. There would be no need to bring in the umpire. The appraisal settlement amount is then sent back to the insurance company where it will be processed for payment.
Umpire
What is an Umpire? As stated, once the appraisers are appointed, it is their job to choose a third (impartial) person who acts as an umpire in the event the appraisers cannot agree on a fair settlement. If the two appraisers cannot agree upon the choice of which umpire to use, then a court appointed umpire will be designated. Once two of the three appointed people in the appraisal panel (one of the appraisers and the umpire) have agreed on the value of the claim, the value is set, and the claim is final. Note that there is a shared cost for the umpire, between the insurance company and the insured, usually about $1250 – $1500 each.
Let Horizon Public Adjusters be your personal advocate!