What is the appraisal clause in an auto policy and how do I use it?

Read the "Appraisal" section of your policy (usually in the physical-damage coverage part) and follow its notice requirement — typically a written demand to the insurer stating that you invoke the appraisal provision. Then retain an independent appraiser experienced with total-loss valuations. Each side pays its own appraiser and splits the umpire's fee.

Some states regulate who can act as an appraiser or how the process runs, and a small number of policies omit the clause entirely — so check your policy language and your state's rules first.

Appraisal makes sense when the gap between the insurer's offer and your evidence-backed value comfortably exceeds the cost of the process. Because appraisal awards frequently land well above first offers — SecondAppraisal clients average $3,260 more — a documented gap of even a thousand dollars is often worth pursuing.