I am looking for umpire "black ball" lists in Texas. I already have two. I am collecting information on this issue, and I am asking for your help.
How umpire selection is supposed to work
Most property policies have an appraisal clause. When the two sides disagree on the amount of a loss, each side picks its own appraiser. The two appraisers then pick an umpire who is supposed to be "competent and impartial." If the appraisers cannot agree, either side can ask a court to pick the umpire. The umpire matters because, in most cases, an award signed by the umpire and one appraiser sets the amount of the loss.
That selection is supposed to be mutual. Both appraisers propose names, talk it through, and settle on someone they both accept.
What I have seen
I have seen a carrier-side communication asking appraisers to avoid eight named umpires "unless there are no reasonable alternatives." I have seen carriers vet and "approve" umpires. I have seen one side's entire list of proposed umpires rejected. And I have heard umpires say they are "already approved" by a carrier.
I saw something similar in Florida, where "carrier approved" lists came up.
Why it matters
Having preferences about umpires is not necessarily improper. Every appraiser has people they would rather work with. My concern is unequal information. If one side is working from a list of names it will or will not accept, and the other side does not know that list exists, the selection may look mutual without really being mutual.
To be clear about the limits: what I have is a small sample. It does not show how common these lists are, and it does not show that any outcome changed because of them. That is why I am asking for more information.
What I am asking for
If you have seen one of these lists, or have a copy, whether it came from a third-party administrator or a carrier, please send it to me. Helpful details include:
- The list itself, or the message that contained it
- The approximate date
- The state the claim was in
- Whether it came from a carrier or a third-party administrator
Send copies anonymously to mike@claimattorney.com. I will not disclose my source.
Please do not send anything that is covered by a confidentiality agreement or a protective order.
If you work for a carrier or administrator and can explain how umpire vetting is meant to work, I would like to hear that too. I want to get this right.
I plan to share what I find, with identifying details removed.
We are not soliciting clients through this post.
Michael P. Bowman is licensed as an attorney only in Texas and Alabama and does not practice Florida law. The firm's office is in Austin, Texas; the firm does not have a bona fide office in Alabama.
General information, not legal advice. Contacting us does not create an attorney-client relationship. Responsible attorney: Michael P. Bowman, Austin, Texas.
