How to choose a diminished value appraiser

Seven things to check

1. Independence. The appraiser should work for you. A report prepared by someone who also takes work from the insurer handling your claim invites doubt.
2. A fee that does not depend on the figure. An appraiser paid a share of the settlement has a stake in the number, and an adjuster or a judge can use that to question the report. A flat fee keeps the opinion clean.
3. A market-based method. Ask how the value is reached. The answer should involve comparable vehicles with and without accident history, and your actual repair records. A report that applies a percentage or a formula is the same thing the insurer already has.
4. A named, accountable reviewer. Who signs or reviews the report, and what are their credentials? Ask which licenses they hold and where, and whether they have testified about vehicle values.
5. What is included. A written report only, or also a demand letter? Will the appraiser answer the insurer’s questions about the report? Will errors be corrected?
6. Clear fees and timing. You should know the fee, any extra charges, the cancellation terms and the expected delivery time before ordering.
7. Honest limits. A good appraiser tells you when an appraisal is unlikely to be worth its fee.

Questions to ask before you order

• How do you measure the loss, and will the report show the comparable vehicles?
• Who reviews the report before I receive it?
• Is the fee flat? Does anything change it?
• What happens if the insurer disputes a comparable or an adjustment?
• Have you prepared reports for claims in my state?
• If my claim goes to court, can you provide testimony, and what does that cost?

Warning signs

• A promised result. Nobody can promise what an insurer or a court will pay.
• An instant report with no documents. A valuation that never looks at the repair invoice cannot account for what was repaired.
• An offer to negotiate your claim. In many states, negotiating a claim on someone’s behalf requires a public adjuster’s or an attorney’s license. Ask what license covers it.
• No named person behind the report.

How Autoloss answers these

• Autoloss is an independent appraisal company, founded in 1996.
• A typical diminished-value appraisal is $250–$350. Report fees are not contingent on any value shown in the report.
• Reports compare vehicles with and without accident history. Our methodology is published.
• Monica Fisher, the owner, reviews every report. Her licenses are listed on her page.
• Each diminished value appraisal comes with a custom demand letter, and we answer the insurer’s questions about how the report was prepared.
• We do not negotiate claims and we are not a law firm. You, or your attorney, handle the claim.
• The claim review is free, and we will say so if an appraisal is unlikely to help.

For court matters, see attorney and expert-witness services.