Insurance Appraisal FAQ

A process in most property insurance policies for settling disagreements about the amount of a loss. Each side names an appraiser, the appraisers choose a neutral umpire, and an agreement by any two of the three sets the amount of loss.

An insurance appraiser is a professional chosen by the policyholder or the insurer under a property policy's appraisal clause to determine the amount of a disputed loss. The two appraisers try to agree; anything they cannot agree on goes to a neutral umpire.

An insurance umpire is a neutral third party who resolves the differences between the two appraisers in an insurance appraisal. A decision agreed to by the umpire and at least one appraiser typically sets the amount of loss.

No. An adjuster investigates and settles a claim for the insurer (staff or independent adjuster) or for the policyholder (public adjuster). An appraiser is appointed only after a disagreement about the amount of loss triggers the appraisal clause.

Each side appoints its own appraiser to evaluate the loss. The umpire is a neutral third party who decides only the items the two appraisers cannot agree on.

Each party pays its own appraiser, and under most policies the umpire's fee and other shared expenses are split equally. Fees depend on the size and complexity of the claim.

From a few weeks for simple residential claims to several months for large or complex losses that need an umpire hearing.

Generally yes as to the amount of loss. Courts may set an award aside for reasons such as fraud, partiality or exceeding the scope of appraisal, and coverage defenses may still apply.

It depends on the state. Iowa licenses property insurance appraisers and umpires under Iowa Code chapter 522F. Most other states do not have a separate appraiser license, but they may regulate appraisers through statutes, regulations or case law, so check the rules where you work.

Build experience in construction, estimating or claims; learn estimating software and policy language; complete appraisal training such as the AUA Certified Appraiser program; get licensed where your state requires it; and keep up with continuing education.

Most umpires first build substantial experience as appraisers, adjusters, contractors or engineers, then develop a reputation for neutrality. The AUA Certified Umpire (AUA-CU) credential requires Credential Review Committee approval, 14 classroom hours, and 85% on both the exam and the practical assessment.

AUA offers two private professional certifications: the AUA Certified Appraiser (AUA-CA) and AUA Certified Umpire (AUA-CU). Both require AUA membership, a 14-hour classroom program, a knowledge exam and a practical assessment, and are renewed every two years with 14 CE hours.

Use the AUA certificate verification tool and search by certificate ID or full name.

Yes. AUA offers CE courses, including Ethics in Insurance Appraisal (3 CE hours), webinars and live workshops, including CE for Iowa-licensed appraisers and umpires.

Appraisers, umpires, adjusters, public adjusters, contractors, attorneys and other claims professionals anywhere in the United States.