Tom, as an appraiser for several years and as a FL approved Umpire for a few years, you are absolutely correct.
The rigors of becoming an appraiser are many. Not only does one need to have a tremendous knowledge of all forms and types of physical property and the pricing of each and every aspect of the loss, but also similar knowledge, (or access to) the pricing of contents. There are not very many competent appraisers around anymore, and with the way the industry has changed, we surely need an increase in the amount of appraisers, as you stated, many more losses will go to appraisal. There is only one (1) book in publication, to my knowledge, written by Mr. Jonathon Wilkofsky, which addresses the rules and regulations. However there is also a wealth of (closely guarded) information that can be gathered. All of these rules originated in the original NY fire policy of the 1800's, and are still in place in most policies. Here is the information right from the horse’s mouth, so to speak: http://www.ins.state.ny.us/ogco2005/rg050424.htm The appraisal basics are such that, the process must be followed before suit can be brought. One can file suit, but until the appraisal process is completed, suit cannot be brought, Some carriers have opted to modify, eliminate and negate this process, but in the end it is not justified to the insured. Now, on the other subject, becoming an Umpire. As we all know, the only items which are decided by the umpire are those items which cannot be agreed upon by the appraisers. This however can vary from the price of a teacup, to the value of the entire loss. The assessment of each appraisers estimate as well as their written explanation is all important in the final decision of the umpire. There are some really simple appraisals, in which the umpire is never called in, although the appraisal, by law, cannot proceed without an umpire agreed upon by both appraisers, or one being appointed ex parte'. As for the times involved, some are settled in a matter of weeks, but many can last a year or more. The billing of a long term appraisal should have an agreement of interim billing as some last for months. The pricing can be as diverse as the loss. It is always the same; you get what you pay for. Great thread and perhaps some of the older members will join in the fray. |