From $244,544 to $5.31 M — The Power of Expert Appraisal Representation
Imagine being told that the loss of your multi-million-dollar commercial property is worth only a fraction of its true value. That’s exactly what happened to a Texas-based property owner whose insurer initially offered just $244,000. Through a professional appraisal process, that offer was transformed into a $5.3 million settlement.
Here’s how expert appraisal representation can help resolve commercial claim disputes efficiently and effectively.
When an insurance company and a policyholder cannot agree on the value of a loss, the appraisal clause provides a faster, more cost-effective alternative to litigation.
What Is the Insurance Appraisal Process?
The insurance appraisal process is a formal mechanism used to settle valuation disputes in residential and commercial property claims. It is designed to resolve disagreements about how much damage is worth—not whether the damage is covered. Coverage disputes must be handled through litigation.
When to Invoke the Appraisal Clause
The appraisal clause may be appropriate when:
- The insurer’s valuation is significantly lower than expected.
- There is disagreement over repair versus replacement costs.
- The insurer refuses to negotiate the amount of damage.
- The policyholder wishes to avoid litigation to save time and money.
- Business-interruption losses are in dispute.
Continental Adjusters specializes in helping commercial property owners determine the right time to invoke the appraisal clause. With more than $4 billion in settlements recovered for clients, their expertise ensures that owners receive maximum value for their claims.
How the Insurance Appraisal Process Works
Step 1: Initiating the Appraisal Clause
Either party—the insurer or the policyholder—may invoke the appraisal clause in writing. Once initiated, both sides are required to participate as outlined in the insurance policy. This formally transitions the dispute from negotiation to a structured valuation process, avoiding the cost and delay of litigation.
Step 2: Selecting Appraisers
Each party appoints a qualified appraiser to represent its interests. These professionals inspect and evaluate the property loss.
Continental Adjusters employs appraisers with extensive experience in commercial properties such as office buildings, hotels, retail centers, and mixed-use developments.
Step 3: Appointing an Umpire
If the two appraisers cannot agree on the value, they select an umpire—an independent third party who reviews both valuations and issues a final determination. The umpire’s decision becomes binding when agreed upon by at least two of the three participants.
Step 4: Inspection and Evaluation
Both appraisers conduct site inspections, review documentation, and analyze construction costs, market conditions, and potential business-interruption losses.
Continental Adjusters’ forensic accountants precisely calculate business-interruption damages, ensuring every loss component is accurately valued.
Step 5: Final Award
The appraisers exchange findings and attempt to reach consensus. If they cannot, the umpire resolves the differences and finalizes an itemized award. This decision is binding for both parties.
Why Expert Representation Matters
- DIY appraisal is risky. Without professional guidance, property owners often accept undervalued settlements.
- Contractors cannot legally negotiate claims. Only licensed adjusters can represent you in this process.
- Commercial claims are complex. They often involve multiple buildings, specialized assets, and business-interruption factors.
- Insurance companies use professional appraisers. Policyholders deserve equally qualified representation.
- You only have one opportunity to get it right.
The Continental Adjusters Advantage
With specialized commercial expertise, forensic accounting capabilities, and licensing in more than 40 states, Continental Adjusters gives property owners a decisive edge. According to the National Association of Public Insurance Adjusters, professional representation consistently results in higher claim settlements.
Timeline and Cost Considerations
The appraisal process typically takes several months to a year, depending on property size, loss complexity, and documentation quality.
Continental Adjusters expedites this process to secure faster resolutions.
Costs vary based on factors such as property complexity and valuation method. Each party pays its own appraiser and shares the umpire’s fee equally. Continental Adjusters operates on a contingency-fee basis, meaning they are compensated only when you receive your settlement.
Stop Leaving Money on the Table
Appraisals often yield substantially higher settlements without the burden of litigation. However, because awards are binding, expert guidance is essential.
Contact Continental Adjusters today for a professional review of your situation. Our team will determine whether the appraisal process is right for your claim and guide you every step of the way.
Ready to turn a low offer into a multimillion-dollar settlement?
Partner with Continental Adjusters—the experts in maximizing commercial insurance recoveries.
FAQs
1. What is the appraisal process in a commercial insurance claim?
The appraisal process allows both the insurer and policyholder to hire independent appraisers to determine the value of a property loss. If they cannot agree, a neutral umpire decides the final binding value.
2. When is the appraisal process useful?
It is appropriate when coverage is agreed upon but the loss amount is disputed. The process offers a faster and less costly alternative to litigation but does not apply to liability or coverage disputes.
3. How does an appraiser help in a dispute?
An appraiser evaluates the property damage, repair costs, and relevant documentation, then prepares a detailed valuation report used to reach a binding settlement.
4. Do I need a public adjuster during the appraisal process?
While not mandatory, a public adjuster protects your interests by managing documentation, coordinating with appraisers, and negotiating complex claims—especially valuable for large or multifaceted losses.
5. What types of disputes can appraisal resolve?
Appraisals resolve valuation disputes, such as disagreements over repair costs, replacement value, or business-interruption losses. They do not determine issues of coverage or policy interpretation.
With over $4 billion recovered for clients, Continental Adjusters ensures commercial property owners receive fair, accurate, and maximized compensation.
