Bill > H6054

This bill changes the process for resolving property damage insurance disputes by establishing more detailed and structured procedures for independent appraisal. Under the new provisions, when an insurer and insured cannot agree on the amount of loss, each party will select a disinterested Rhode Island licensed appraiser at their own expense. If the appraisers cannot resolve the dispute, they must submit their best proposals, and if their proposals differ by more than 15%, they will exchange lists of potential umpires and attempt to agree on a neutral third-party arbitrator. If they cannot agree, an independent arbitration association will provide an umpire who must render a decision within five days. The bill introduces financial incentives for fair appraisals by requiring the insurer to reimburse all appraisal costs if the final award exceeds their original offer by more than 25%. Additionally, the bill defines what constitutes a "disinterested" appraiser and prohibits insurers from engaging in intimidation or misrepresentation during the appraisal process. The legislation aims to create a more transparent, balanced, and efficient method for resolving property damage insurance claims, with specific protections for both insurers and insured parties.

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