Occasionally there may be a disagreement over an insurance company’s valuation of an insurance claim for loss in real estate. Some people may believe that the only way to settle the dispute is to hire a public adjuster or an attorney to file a lawsuit, and this is simply not the case.  In Minnesota, most policies have a clause that allows you to ask for an appraisal of the loss. Policyholders are allowed to select an appraiser and the insurance company can also hire an appraiser. A third, mutually agreed upon appraiser (sometimes called an umpire) will also be commissioned and together they will appraise the loss and determine a value.

Benefits of the Insurance Appraisal Route Versus Lawsuit

The insurance appraisal process is much more expedient and will lead to a resolution in significantly less time than a lawsuit. Generally speaking, the insurance appraisal process is less costly. Finally, the insurance appraisal process is less adversarial while potentially leading to a similar outcome without going through all the posturing, time, and expense that comes with the lawsuit route.