Umpire (Insurance Appraisal)
A neutral third party selected by the two opposing appraisers during the insurance appraisal process to break a deadlock on claim valuation. The umpire's agreement with either appraiser creates a binding award.
What Is an Umpire in Insurance
An umpire in the insurance appraisal context is a neutral third-party professional selected to break a deadlock between the policyholder's appraiser and the carrier's appraiser, and the umpire's agreement with either side's valuation creates the binding award that settles the claim. The umpire does not automatically split the difference. They independently evaluate the documentation and side with whichever appraiser's position is better supported.
The Umpire's Role
The umpire receives the documentation and valuation from both appraisers. This typically includes the carrier's original estimate, the policyholder's supplement or counter-estimate, supporting photographs, measurement data, and any Xactimate files. The umpire may conduct their own inspection of the property. After reviewing everything, the umpire issues an award. If the umpire agrees with one appraiser's figure (or a modified version of it), that agreement between two of the three participants creates the binding award.
Selecting the Right Umpire
Umpire selection is often the most contentious part of the appraisal process. The policyholder's appraiser wants an umpire who understands contractor pricing and real-world repair costs. The carrier's appraiser wants an umpire who applies conservative estimating standards. Both sides should agree on someone with extensive property damage experience, Xactimate proficiency, and no conflicts of interest. If the appraisers cannot agree on an umpire, either party can petition the local court to make the appointment, which adds time and cost to the process.
Frequently asked questions
The two appraisers jointly select the umpire. If they cannot agree on an umpire, most policy language allows either party to petition the court to appoint one. The umpire should be impartial, experienced in property damage valuation, and have no financial relationship with either party.
Umpire fees typically range from $250 to $500 per hour. The cost is split equally between the policyholder and the carrier. For a standard residential roof claim appraisal, the umpire's total fees usually fall between $1,000 and $3,000 depending on the complexity and time required.
No credit card required