If I cannot come to an agreeable settlement with my insurance provider, and they ask me to participate in an appraisal, can I opt out? Does Colorado have any laws that allow the policyholder to opt out of an appraisal in the event of a declared disaster such as the Marshall Fire?
Because of the costs of hiring the appraiser and umpire, the appraisal process seems to put an unfair burden on the policyholder. Are there any advantages to appraisal for the policyholder?
This is what my policy has to say about appraisal:
If you and we fail to agree on the amount of loss, either party may make written demand for an appraisal. Upon such demand, each party must select a competent and impartial appraiser and notify the other of the appraiser’s identity within 20 days after the demand is received. The appraisers will select a competent and impartial umpire. If the appraisers are unable to agree upon an umpire within 15 days, you or we can ask a judge of a court of record in the state where the residence premises is located to select an umpire.
The appraisers shall then determine the amount of loss, stating separately the actual cash value and the amount of loss to each item. If the appraisers submit a written report of an agreement to you and to us the amount agreed upon shall be the amount of loss. If they cannot agree, they will submit their differences to the umpire. A written award agreed upon by any two will determine the amount of loss. Each party will pay the appraiser it chooses, and equally bear expenses for the umpire and all other appraisal expenses.