FAQs, downloadable letter templates, a plain-English glossary, and links to consumer protection agencies — all in one place.
Answers to the most common questions about invoking your appraisal clause rights.
Download pre-written templates for the most common scenarios. Fill in the bracketed fields with your information.
A formal written demand to your insurer invoking the appraisal clause. Includes all required fields and recommended certified mail language.
File a formal complaint if your insurer is acting in bad faith, delaying unreasonably, or refusing to honor the appraisal clause.
These templates are provided for informational purposes only and do not constitute legal advice. For complex disputes, consult a licensed attorney or public adjuster in your state.
Plain-English definitions so you always know exactly what your insurer is talking about.
Actual Cash Value (ACV)
The fair market value of a vehicle immediately before a loss, accounting for depreciation, condition, mileage, and comparable sales in the local market.
Appraisal Clause
A policy provision allowing either party to demand an independent appraisal when there is a dispute over the amount of a loss.
Appraiser
A qualified professional hired by either the insured or the insurer to independently determine the value of a vehicle.
Comparable Sales (Comps)
Recent sales of similar vehicles in the same market area used as reference points to determine a vehicle's ACV.
Depreciation
The reduction in a vehicle's value over time due to age, mileage, wear, and market conditions.
First-Party Claim
A claim you file with your own insurance company (as opposed to a third-party claim filed against another driver's insurer).
Insured
The policyholder — you, the vehicle owner — who is covered under an insurance policy.
Market Value
The price a vehicle would realistically sell for between a willing buyer and willing seller in the current market.
Total Loss
A vehicle is declared a total loss when the cost to repair it equals or exceeds a threshold percentage of its ACV (typically 70–100% depending on state law).
Umpire
A neutral third party selected by both appraisers to resolve a valuation dispute when the two appraisers cannot reach agreement.
Diminished Value
The reduction in a vehicle's market value resulting from the fact that it has been in an accident, even after being fully repaired.
Policy Limits
The maximum dollar amount your insurer will pay under a given coverage for a single claim or policy period.
Bad Faith
When an insurer unreasonably delays, denies, or underpays a valid claim. Bad faith conduct may expose the insurer to additional liability beyond the policy limits.
Coverage Dispute
A disagreement between an insured and their insurer about whether a particular loss is covered under the policy terms.
Salvage Value
The value of a totaled vehicle's parts or scrap. Insurers may deduct salvage value from a total loss settlement if the insured keeps the vehicle.
Official government and nonprofit resources to help you understand your rights and file complaints.
Find your state's Department of Insurance, file complaints, and access consumer guides on auto insurance rights.
Educational resources on how auto insurance works, total loss claims, and understanding your policy.
File complaints against financial institutions, including insurance companies, and access consumer protection resources.
Consumer guidance on automobile purchases, financing, and dealer practices that intersect with insurance claims.
Texas-specific guide on how total loss values are calculated and your rights as a policyholder.
File insurance complaints and access Florida-specific consumer resources on auto insurance disputes.
California consumer resources, complaint filing, and regulations on how insurers must handle total loss claims.
RIZQ's appraisal team can represent you through the entire appraisal clause process.