What is appraisal who pays for what?


Video Transcription


An appraisal is a process to resolve a dispute over the amount of the loss. What that means is when the insurance company comes out, they’re going to place a value on the claim. In other words, how much it’s going to cost to repair your property. If you have an expert or a contractor, they may have an estimate or you may have an estimate which is greater than what the insurance company has decided. One way to bridge that gap is through the appraisal process. Generally the insurance company will assign an appraiser to represent their interest, and you’ll appoint an appraiser to represent your interests. The two appraisers will try to agree on a value. If they can’t, an umpire will be appointed who will act as a judge and set the value. Be sure to review your policy and see what the requirements are, and who’s responsible to pay for the cost of the appraisal.

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