FAQs

A: Most state statutes and insurance policies allow for insurance appraisals. Common language often found in policies state the following, “If you and we fail to agree on the actual cash value, amount of loss, or cost of repair or replacement, either party can make a written demand for appraisal. Each will then select a competent, independent, appraiser and notify the other of the appraiser’s identify within 20 days of receipt of the written demand. The two appraisers will choose an umpire. If they cannot agree upon an umpire within 14 days, you or we may request that the choice be made by a judge of a district court in a judicial district where the loss occurred. The two appraisers will then set the amount of loss, starting separately the actual cash value and loss to each item.”

A: Depending on the complexity of your disputed loss and the parties involved, appraisals can take anywhere from 2 to 6 months from start to finish, settlement in hand. The process can be delayed from the standard 2-3 month turn around if we and the insurer’s appraiser struggle to come to an agreement and an umpire must be hired to assist in settling the dispute.

A: It’s important to evaluate your insurance coverage to make sure you’re shielded from any financial or legal issues that may arise before, during, or after the appraisal. Without sufficient coverage, you could be liable for unexpected expenses, leading to legal consequences. By assessing your coverage needs, you’re being proactive in securing your financial security. Insurance appraisal panels are not allowed to discuss coverage.

A:

– The damage is not covered under the policy.
– The policy has lapsed or expired.
– Insufficient documentation was provided to prove weather-related events caused the damage.
– The insured failed to take reasonable preventative measures to protect their property from weather events.
– The insured is not in compliance with the terms of their insurance policy.
– The claim amount is more than the policy’s coverage limit.
– The damage is due to vandalism or other criminal activity.
– The insured failed to report the damage in a timely manner.

A: Documentation and preparation are the keys to insurance appraisal. Most policies state that the burden of proof is on the insured. Therefore, in order for the appraisal panel to understand exactly what is being disputed the more documentation to explain the insureds position the better. The fastest way to not get an outcome you are desiring is to produce a lack of documentation to support your case. You must prepare your documentation as if no one knows anything about your case, which is true, as both appraisers and the umpire are independent, disinterested, and competent parties to the claim. Each appraisal is different. Some appraisals will require the insured to produce a significant amount of documentation while other appraisals are minimal. It is situational based on the appraisal and its dispute.

Below is a list of several types of documentation that may aid the appraisal panel in discussing your insurance claim. The more facts that can be presented, over opinions the better.
– Appraisal demand
– Table of contents of all documentation which makes discussing the claim easier
– Summary of disputed and undisputed items
– Roof, siding, and/or other measurements
– Insureds most recent scope of work and price assessment
– Contractor estimate
– Plat map when the property has several buildings which aligns with contractors estimate
– Any applicable expert opinion reports; engineers, construction consultants, weather data, etc.
– Any applicable attorney opinion letters
– Third party product identification reports. ITEL (www.itelinc.com) and NTS (www.ntsid.com) are two commonly used product identification companies. We prefer NTS for roofing reports as they give supporting manufacturer documentation.
– Applicable building codes and documentation to support your findings
– Any building official statements, if applicable
– Can the property be repaired if a partial replacement was approved? Have you completed any repairability tests or have documentation to support your opinion? Are you prepared to give a presentation on the day of the appraisal?
– If the state allows for your property to be put back in a reasonably uniform appearance (matching) and your policy has supporting coverage we suggest bringing those products in their original manufacturer packaging.
– If applicable, pre-loss storm damage inspection reports id arguing against previous damage or new based on the date of loss

A: Demanding appraisal does not stop the requirements that your insurer may have in regard to when the work must be completed by in order for you to receive your recoverable depreciation. It is important that you ask your insurer and look at your policy to understand when all work on your property must be completed by. If you do not feel the construction work will be completed by that date it’s important to contact an attorney at least 30 days before that day to engage them to work with your insurance company on an extension. This is often called, “tolling the claim”. Tolling is a legal principle that allows for the suspension or extension of the policy and/or state statute.

A: The appraisal process is an alternative settlement resolution. This process is provided to save you and your carrier any avoidable expenses to avoid litigation. By the end of this process, our goal is (1) ensure that your property can be repaired the right way for a reasonable and fair price, (2) ensure that all appraisal fees and expenses remain reasonable for you.