(FAQ’s) Frequently Asked Questions
Q: How much will the appraisal cost me?
A: Appraisal cost are not contingent upon the settlement of the claim. Appraisal costs can include hourly time rates that vary from state to state. Expenses for travel can vary and special reports as well. The Umpire amounts can by shared by the parties for their cost in this process.
Q: What is a Dispute?
A: To understand insurance appraisal, we first need to understand dispute. A property claim dispute arises when a policyholder (insur-ed pronounced ‘enshured’) and their Insurance Company (insur-er) disagree on the amount of loss and/or damages.
Q: How are disputes resolved?
A: Property claim disputes can be resolved by several means, depending upon the type of dispute. Legal Disputes: Issues regarding whether the claim is covered, or other legal matters must be resolved by the courts. Factual Disputes: These aim to answer questions such as, how much, how large or small an item is, or how many items were damaged, and; how much it will cost to restore or replace the damaged area or item.
Q: What is the Appraisal Process?
A: Appraisal is an alternative dispute resolution mechanism that is designed to resolve the factual components of an insurance claim dispute, reserving disputes regarding matters of law or “coverage” for the court(s). Appraisal is a Policy Provision found in the Loss Settlement section. It is an Alternate Dispute Resolution, which can resolve disagreement when the Carrier and Policyholder do not agree on the amount of loss. It is an alternative to a lawsuit. Appraisal does not address coverage issues but can include or exclude items based on causation depending on the state.
Q: How much does a mediation cost?
A: Generally, the cost of mediation is $350. Property mediation is free for the policyholder. The insurance company pays the entire cost of the conference. If the policyholder fails to appear for the conference, it can be rescheduled after the policyholder pays the mediator’s fees. If the insurance company fails to appear, without good cause, they must pay actual cash expenses of the policyholder in attending the rescheduled conference and they must pay the mediator’s fee for the rescheduled conference.
Q: Is mediation binding?
A: Not necessarily. Mediation is non-binding. Settlements reached at the Mediation can be rescinded within three days of the agreement if the claimant has not cashed the payment draft. Neither the policyholder nor the insurance company is legally obligated to accept the outcome of the mediation conference.
Q: Can I bring my attorney to the mediation?
A: The policyholder can bring their attorney to the mediation conference. However, the insurer must be notified of the attorney’s attendance prior to the conference.
Q: What happens after my property reaches litigative level?
A: It is oftentimes beneficial to gain an objective overview of the claim to gain altitude. A good loss consultant can provide the interested parties critical examination of the exposure presented based upon a factual analysis of the claim and a predictive assessment of the claim’s outcome.
Q: What should you look for in a good loss consultant?
A: A good loss consultant can provide the interested parties critical examination of the exposure presented based upon a factual analysis of the claim and a predictive assessment of the claim’s outcome. To the extent you require, Cameron Claims will provide in-depth inspections providing audio, video, and Matterport (TM) scans to document the current status of the property. From there we can offer reserve evaluations, comparative evaluations based upon causation and forensic reports you have procured towards the subject property.
Q: What is an Umpire?
A: An Umpire is a neutral party selected by both the insured and insurer appraisers. The Umpire holds unifying authority should the appraisers disagree on the amount of loss.