Insurance appraisal is a contract process written into most Utah property policies. It isn’t a lawsuit and it isn’t mediation. It’s a way to have the amount of a covered loss decided by a small panel when you and your insurer can’t agree. The steps below describe how it usually unfolds. Your policy’s wording controls, so read your own appraisal condition alongside this guide.
Step 1: Confirm it’s an amount dispute
Appraisal only answers one question: how much the covered damage costs. Confirm the carrier has accepted coverage for at least part of the loss and that the disagreement is about scope or price.
Signs that appraisal is the wrong tool include an outright denial, a dispute over whether damage was caused by a covered peril, or an argument about an exclusion such as wear and tear. Those are coverage questions, which generally belong with an attorney.
Step 2: Document and supplement
Gather the carrier’s full estimate, your own estimate, photos and correspondence. Submit a written supplement request explaining what’s missing. Many disputes close here.
- The carrier’s complete line-item estimate, not just the summary page
- Your contractor’s or independent estimate, also itemized
- Dated photos, measurements and samples of damaged materials
- All letters and emails in date order
Step 3: Make the written demand
If the gap remains, either party can demand appraisal in writing under the policy’s appraisal condition, naming or promising to name an appraiser.
Send the demand in a way you can prove, such as certified mail plus email. Keep a copy. Check whether your policy requires anything first, such as a sworn proof of loss.
Step 4: Each side names an appraiser
You and the insurer each select a competent, impartial appraiser, usually within a set number of days stated in the policy.
Choose someone independent of the repair. An appraiser with a financial stake in the contract can give the other side grounds to challenge the award. Get the fee arrangement in writing.
Step 5: The appraisers pick an umpire
The two appraisers agree on a neutral umpire. If they can’t, many policies allow a court in the county where the property sits to appoint one.
A good umpire is experienced with the type of loss, has no conflicts and is willing to disclose prior work with either appraiser.
Step 6: Appraisers work the differences
The appraisers inspect, compare measurements and pricing, and agree on as many items as they can. Many files end with an agreed award.
This stage is where documentation pays off. Clear measurements, photos and pricing support make it easier for the other appraiser to agree.
Step 7: Umpire decides what’s left
Remaining items go to the umpire, who reviews both positions and the evidence, then joins one appraiser on each disputed item.
The umpire may inspect the property, ask for written positions or hold an informal meeting. The umpire usually decides only the items still in dispute.
Step 8: The award is signed and paid
Two signatures set the amount of loss. The insurer then pays according to the policy, less deductibles and prior payments.
A clear award separates replacement cost, depreciation and actual cash value. Recoverable depreciation is typically paid once repairs are completed within the policy’s time limit.
What appraisal doesn’t decide
- Whether a loss is covered or excluded.
- Whether the insurer handled the claim properly or owes anything beyond the policy.
- Questions of law, such as how a policy term should be interpreted.
For those questions, talk with a Utah attorney. The Utah Insurance Department also accepts consumer complaints about how claims are handled.
Utah timing to keep in mind
Utah law generally gives policyholders three years from the inception of a loss to bring an action on a first-party property policy (Utah Code § 31A-21-313). Policies can contain their own deadlines for notice, proof of loss and recovering depreciation. Appraisal doesn’t automatically pause those clocks, so track them separately. Our claim timeline planner can help.