What appraisal decides
- Amount of loss (scope, pricing, depreciation, ACV/RCV)
What appraisal does not decide
- Coverage (whether the loss is covered at all)
- Causation (whether a particular peril caused the damage): though this is contested
Who picks whom
Each side picks one appraiser. The two appraisers pick a neutral umpire (or the court appoints one if they can't agree).
Binding effect
An appraisal award is generally binding on both parties, though it can be challenged in narrow circumstances (fraud, umpire bias).