Umpire (Appraisal Process)
Definition:
A neutral third party who resolves disputes between appraisers during the appraisal process.
Explanation:
If the policyholder’s and insurer’s appraisers cannot agree on the amount of loss, the umpire makes the final decision.
Example:
If appraisers disagree on whether storm damage repairs cost $40,000 or $70,000, the umpire decides the final settlement figure.
Why it matters:
This term affects how claims are handled and what payout a homeowner may receive.