Terminology

TERMINOLOGY

Appraiser – A professional, hired by either the homeowner or insurance company, to inspect, analyze, estimate, and negotiate damages during the Appraisal Process. Appraisers are independent, and not previously engaged for the current claim. The appraiser fees are paid by the hiring party.

Umpire – A professional engaged by the two Appraisers to ultimately assist in the process should the two Appraisers fail to reach an agreement. The role of the Umpire will be to establish the majority opinion of the Appraisal Panel. The Umpire’s fees are shared equally between the homeowner and the insurance company.

Appraisal – A formal process where disputes are handled prior to legal proceedings. This is a cost-effective way to resolve differences in value for insurance claims when the homeowner and insurance company fail to reach an agreement. The homeowner and insurance company will each hire their own Appraiser. The two appraisers will agree on the umpire. Should the two Appraisers fail to reach an agreement the Umpire will become active and move the process to conclusion.

Appraisal Panel – Consists of the two Appraisers and the Umpire. In most States, the decision of the panel is binding / final.

Adjuster – Works directly for the insurance company handling the entire claim

Independent Adjuster – Hired by the insurance company to inspect damage, then provides the insurance company with pictures and detailed estimate.

Public Adjuster – Hired by the homeowner for a fee, typically a percentage of the estimate. The Public Adjuster will work directly with the insurance company on the homeowner’s behalf.