How to Invoke Appraisal: A Step-by-Step Playbook
The exact sequence — from written demand to signed award — for invoking the appraisal clause on a Texas property claim.
Step 1 — Confirm the dispute is about amount, not coverage. Appraisal fixes the amount of loss; it does not decide whether a peril is covered at all. If the carrier is denying causation entirely, appraisal may still be appropriate under Johnson/Tippett — but plan accordingly.
Step 2 — Read the appraisal clause. Note the demand requirements, timing, and umpire-selection language. Some clauses require a specific waiting period after formal disagreement.
Step 3 — Send a written demand. It should identify the policy, claim number, date of loss, insured, insured location, and the amount in dispute. Our free appraisal demand tool builds this letter in about two minutes and emails it to your carrier with the claim number as the subject line.
Step 4 — Select a competent, disinterested appraiser. Disinterested means not paid on a contingency of the award. Competent means qualified to inspect and price this specific loss.
Step 5 — The two appraisers select an umpire. If they cannot agree within the policy timeframe, either side may petition the court to appoint one.
Step 6 — Panel inspections, exchange of position statements, and negotiation. Any two of the three sign the award. The award fixes ACV, RCV, or both depending on the demand.
Step 7 — The carrier must pay the award within the timeframe imposed by the Texas Insurance Code, typically within 60 days of an award triggering payment.