Advise & Consult, Inc. | October 19, 2015
What are they?
An insurance appraisal simply put is the current estimate of reproduction costs of the physical assets of a property that are insurable. When you are looking to get an insurance appraisal done, you are asking the insurance company or experts from the field to determine the replacement cost of a property in case it suffers any mishap or damage of any kind. An appraisal is usually done through extensive research of the property and onsite inspection that is conducted by independent professionals.
When an investment appraisal is conducted, the most critical aspect is the determination of the price. The price that is determined will make sure that the community association is neither under nor over used.
What does an Insurance Appraisal Include?
Insurance appraisals can include a number of things, based on the onsite inspection and while looking at the drawings of the site etc. Here are some of the things mentioned in an investment appraisal.
· Current, Local and Accurate Cost of Replacement
This is the gist of the insurance appraisal. They are created to take a view of the accurate replacement cost of the property items and this is one aspect that will be alluded to carefully and accurately in the insurance appraisal.
· List of Property Inventory
The insurance appraisal is likely to cover some aspects of inventory on the property while other aspects and inventories on the property may not have insurance coverage. All investment appraisals will have a list of the inventories and assets on a property that have been appraised in the current appraisal. These will usually include structures such as buildings, etc.
· Other Data
The investment appraisal will also have underwriting data which will include the address of the property, its size in terms of square footage and the class of insurance that the property and its inventories have.