What's an appraisal clause, in plain English?

A worked example

Here is a hypothetical Georgia hail claim with round numbers, to show the mechanics.

1. The disagreement. The insurer's estimate repairs two slopes for $6,000. The roofer's documentation shows hail hits above the carrier's threshold on all four slopes and a discontinued shingle, and prices a full replacement at $15,000.
2. The normal fixes first. The homeowner submits a supplement with photos and asks for a reinspection. The insurer adds a few items but still will not replace the roof.
3. The demand. The homeowner sends a written appraisal demand that cites the policy's appraisal condition.
4. Appraisers and umpire. Each side names an appraiser within the policy's deadline, and the two agree on an umpire.
5. The work. The appraisers inspect, review test squares and how brittle the old shingles are, and compare line items. They agree on measurements and most prices but split on replacing the two less damaged slopes.
6. The award. The umpire reviews the evidence and signs with the homeowner's appraiser for a full replacement at $14,200. Two signatures make it binding on the amount.
7. Payment. The insurer pays the award minus the deductible and prior payments, with any held-back depreciation paid after the work is done.

What the example shows

• Documentation wins appraisal. The panel rules on evidence, not on who argues longest.
• The award can land between the two numbers.
• Appraisal costs money: each side pays its own appraiser and shares the umpire.
• It works for amount disputes. If the insurer had said there was no hail damage at all, the dispute would be about coverage instead.

More detail is in appraisal on roof claims and partial replacement and matching.