Short Answer

In North Carolina, demand appraisal only when you and your own insurer have a clear disagreement over the amount of loss (for example, diminished value), not simply because the claim is delayed. Appraisal is a contractual process in first-party policies to set value; it does not decide fault, coverage, or liability. If you are pursuing a third-party claim against the at-fault driver’s insurer, you generally cannot force appraisal. Keep the civil filing deadline in mind so delay does not jeopardize your rights.

Understanding the Problem

You want to know whether you can use your policy’s appraisal process in North Carolina to break a stalemate when an insurer has not made an initial offer on your diminished value claim. The decision point is this: can you (the insured) demand appraisal now to move the claim forward, or must you first establish a real dispute over value?

Apply the Law

Under North Carolina law, appraisal is a policy-based remedy that applies to valuation disputes between an insured and their own insurer. It is triggered by a bona fide disagreement about “amount of loss,” such as the vehicle’s diminished value after repairs. Appraisal does not determine coverage, fault, or legal liability, and it typically does not apply to third-party claims against the at-fault driver’s insurer. The forum is the contractual appraisal process set by your policy; if the claim is third-party, the forum to resolve impasse is court, not appraisal. North Carolina generally allows three years to file a property-damage lawsuit, so do not let delays run out your time.

Key Requirements

• First-party relationship: You are the insured under a policy that includes an appraisal clause.
• Real value dispute: You and your insurer clearly disagree on the amount of loss (not just silence or delay).
• Written demand: You follow your policy’s steps to demand appraisal and name your appraiser in writing.
• Proper scope: Appraisal addresses value only; it does not resolve coverage, fault, or causation disputes.
• Deadlines preserved: You track civil suit deadlines (generally three years for property damage) so appraisal talks do not jeopardize your claim.
• Costs allocated: Each side pays its own appraiser and typically shares the umpire’s fee, per the policy.

What the Statutes Say

• North Carolina Gen. Stat. § 58-63-15(11) (Unfair claim settlement practices) - Bars insurers from failing to respond and from not attempting prompt, fair settlements where liability is reasonably clear.
• North Carolina Gen. Stat. § 1-52 (Three-year limitations for many civil claims) - Many property-damage claims must be filed within three years; specific application depends on the claim.

Analysis

Apply the Rule to the Facts: You sent a demand with an appraiser’s diminished value report, but the insurer has not made any offer. Without an actual disagreement on amount of loss from your own insurer, appraisal is premature. If this is your own policy claim, first press for a written valuation position; once they state a lower number (or expressly disagree), you can demand appraisal. If this is a third-party claim against the at-fault driver’s insurer, you generally cannot compel appraisal and should consider other steps to move the claim.

Process & Timing

1. Who files: The insured. Where: Directly with your insurer’s claims department in North Carolina. What: A written appraisal demand per your policy, identifying your chosen appraiser. When: After you have a documented, good‑faith disagreement on the amount of loss.
2. Your insurer appoints its appraiser; the two appraisers select an umpire. If they cannot agree on an umpire, your policy explains how one is chosen. Timelines for these steps are set by the policy and can vary.
3. The appraisers (or one appraiser and the umpire) sign a written award setting the amount of loss. The insurer then processes payment consistent with coverage terms and the award.

Exceptions & Pitfalls

• Third-party claims: You usually cannot force the at‑fault driver’s insurer into appraisal; that clause is between an insurer and its own insured.
• Delay vs. dispute: Silence alone is not a “disagreement.” Get the insurer to state its valuation in writing before invoking appraisal.
• Coverage issues: If the insurer disputes coverage or fault, appraisal won’t resolve it. Those issues are handled by claim investigation or court.
• Policy time limits: Some policies include suit‑limitation provisions. Review them so you do not miss your window to sue if needed.
• Costs: You pay your appraiser and typically half the umpire’s fee—budget for this before demanding appraisal.
• Documentation: Keep repair records, pre‑loss market data, and your appraiser’s report organized to streamline appraisal.

Talk to a Personal Injury Attorney

If you’re facing a stalled diminished value claim and need to decide whether appraisal makes sense, our firm can help you understand your options and timelines. Reach out today at (919) 341-7055.

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.