You Don't Have to Accept What Your Insurance Company Says Your Damage Is Worth

When your insurer's number doesn't match the reality of what you lost, the appraisal process exists to resolve exactly that dispute. We represent California homeowners through every step — from selecting a qualified appraiser to the final binding award.

What Is the Insurance Appraisal Process in California?

The insurance appraisal process is a form of alternative dispute resolution available under most standard California homeowner policies. It applies when a homeowner and their insurer agree that a loss is covered but disagree on how much that loss is worth. It is not a court proceeding and it is not arbitration — it is a narrowly focused process designed to resolve one question: the dollar value of the damage.

Most California homeowner policies include an appraisal clause that allows either party to invoke this process. Once invoked, each side selects an independent appraiser. Those two appraisers then agree on a neutral umpire. When at least one appraiser agrees with the umpire's determination, that figure becomes the binding award.

Understanding how the process works before you enter it matters. The insurer's team has done this before. You deserve the same preparation on your side.

How the Appraisal Process Works, Step by Step

The process moves through a defined sequence. Here is what to expect at each stage:

Step 1: Either Party Invokes the Appraisal Clause

The homeowner or the insurer formally demands appraisal in writing, triggering the process under the policy's appraisal clause.

Step 2: Each Side Selects an Independent Appraiser

Your appraiser and the insurer's appraiser must each be competent and impartial. We help you identify and retain a qualified appraiser who will advocate accurately for the true value of your loss.

Step 3: The Two Appraisers Select an Umpire

If the appraisers cannot agree on an umpire, either party may petition the court to appoint one. The umpire is the tiebreaker.

Step 4: Each Appraiser Submits Their Valuation

The appraisers independently assess the loss and submit their figures. If they agree, the process is complete. If they disagree, the matter goes to the umpire.

Step 5: The Umpire Issues a Decision

The umpire reviews both valuations and issues a determination. When at least one appraiser concurs with the umpire's figure, that number becomes the binding award — and the insurer must pay it.

Their Appraiser Works for Them — Make Sure Yours Works for You

The insurer's appointed appraiser is not neutral in any practical sense. They work with the insurer's side regularly, and their incentives reflect that relationship. The appraisal process is designed to be balanced, but balance only holds when both appraisers are equally qualified and equally prepared.

Representation in the appraisal process is not legally required. But the difference in outcome between an insurer's opening offer and a final appraisal award can be substantial. Before our client's appraisal, the insurer offered $500,000. The final award was $1,500,000.

What we bring to the appraisal process:

• Identification and retention of a qualified, experienced independent appraiser on your behalf
• Review of your policy's appraisal clause and the scope of what the process can and cannot resolve
• Guidance through each procedural step so nothing is missed or waived
• Context from 15+ years of insurance litigation experience in California
• Coordination with any parallel bad-faith claim, if applicable

When Does the Appraisal Process Apply?

Appraisal is the right path when you and your insurer agree the claim is covered but cannot agree on the amount. It is not the right tool when the insurer is denying coverage entirely — that dispute requires a different approach, including potential bad-faith litigation.

Common situations where appraisal may apply:

• Your insurer's repair or replacement estimate is significantly lower than independent contractor bids
• The insurer's adjuster and your public adjuster have reached an impasse on valuation
• You received a settlement offer that does not reflect the full scope of your documented damage
• Your policy includes an appraisal clause and you want to understand your options before accepting a number

If you are unsure whether your situation calls for appraisal or a broader legal challenge, a case review will clarify which path applies to your policy and your loss.

Why Homeowners Work with Us for Insurance Appraisals

We handle insurance appraisal representation as part of a broader insurance litigation practice — which means we understand how appraisal fits into the larger picture of your claim, including whether bad-faith conduct by the insurer is also present.

What sets this firm apart:

• We are one of the few Bay Area attorneys who handle both insurance appraisals and insurance bad-faith litigation, so your full situation is evaluated, not just the immediate dispute
• Super Lawyers designation every year since 2023
• 15+ years serving San Francisco Bay Area homeowners in insurance disputes
• Contingency-fee representation — you pay nothing unless we recover for you
• Russian and Spanish intake available for clients who prefer to communicate in either language
• Personal case review by Gene — not a screening call routed through a case manager

Frequently Asked Questions About Insurance Appraisals in California