The Arkansas Appraisal Clause Playbook
For a Arkansas total-loss claim, the appraisal clause converts a lopsided desk negotiation into a structured, contractually-binding ACV determination. Most standard Arkansas auto policies include a binding appraisal clause — check the Loss Settlement or Conditions section of your policy. Arkansas's regulator (1-501-371-2600) treats unilateral carrier refusal to appraise as a reportable practice under Ark. Code §23-66-206 (Unfair Claims Settlement Practices).. Whether the loss happened in Little Rock or out of state, the policy controls.
Where to send the demand
Mail the demand to the claims office printed on your declarations page (USPS certified, return receipt). Save the green card. Arkansas's Ark. Code §23-66-206 (Unfair Claims Settlement Practices). governs carrier conduct from that point forward; the 1-501-371-2600 DOI line is the escalation path if the carrier misses its own SLA.
Umpire selection in Arkansas
Umpire selection in Arkansas is typically a phone call between the two appraisers from a short list of mutually-trusted names. Court appointment is rare and reserved for cases where one side refuses to cooperate. Little Rock-based umpires charge $400–$700 for a single-vehicle ACV decision; outside-metro umpires sometimes bill mileage on top.
Timeline expectations
Arkansas appraisal-clause matters run 30 business days on average. Carrier acknowledgment is the fastest step; umpire scheduling is the slowest. If the umpire is local to Little Rock, the entire arc compresses to about 21 days.
Who pays what
Arkansas's standard cost split: each side pays its own appraiser, umpire fees are shared. Practical numbers: $350–$600 for your appraiser, $200–$450 for half the umpire if reached. Recovery on a typical undervaluation dwarfs the spend — that is why the clause exists.
Three tactics that move Arkansas carriers fastest
- Photograph the odometer, VIN plate, window sticker (if you have it), and every option in the cabin and trunk before you surrender the vehicle. Lost photos cannot be re-taken.
- When the carrier's appraiser ghost-bids low, write a single-page position memo with three local dealer comps and the math. Most appraisers will move within a week.
- Name your appraiser in the same letter that invokes the clause. This compresses 5–10 days of back-and-forth into one mailing.
Three pitfalls that void or weaken the clause in Arkansas
- Assuming the carrier's valuation tool (CCC, Mitchell, Audatex) is neutral. It is licensed by carriers and tuned to carrier-friendly assumptions; the appraisal clause exists precisely because the tool is contestable.
- Letting the carrier apply a "condition adjustment" without inspection notes. Software defaults are not evidence.
- Skipping certified mail. A demand sent by regular mail or email-only is a demand a carrier can later claim it never received.
Arkansas appraisal-clause demand letter (copy-ready)
Replace bracketed fields with your claim details. Send certified mail with return receipt to the claims address on your declarations page. Cites Ark. Code §23-66-206 (Unfair Claims Settlement Practices)..
[Date]
[Carrier name]
[Claims address from your declarations page]
Re: Claim No. [your claim number]
Policy No. [your policy number]
Insured: [your name]
Loss date: [date]
Loss location: Little Rock, AR
Governing authority: Ark. Code §23-66-206 (Unfair Claims Settlement Practices).
Regulator: Arkansas Department of Insurance (1-501-371-2600)
To Whom It May Concern:
Pursuant to the appraisal provision of the auto policy referenced above,
and consistent with Ark. Code §23-66-206 (Unfair Claims Settlement Practices)., I am hereby invoking the appraisal
clause to determine the actual cash value of my totaled vehicle. Most standard Arkansas auto policies include a binding appraisal clause — check the Loss Settlement or Conditions section of your policy.
I have appointed [appraiser name, license, contact] as my appraiser.
Please identify your appraiser within ten (10) business days of receipt
of this letter so that the appraisal may proceed. If the two appraisers
cannot agree, they shall jointly select a competent and disinterested
umpire as the policy provides.
Per Arkansas practice, the resulting ACV shall include the statutory
sales tax and title/registration fees that form part of actual cash value
in this state (Insurers must include AR state and local sales tax plus title fees in the total-loss settlement.). Salvage retention, if elected, is
governed by Damage at 70% or more of pre-loss value triggers a salvage title in Arkansas.
This letter is sent by certified mail with return receipt requested. All
further communications regarding ACV should be in writing. A copy of this
letter will be retained for the Arkansas DOI file at 1-501-371-2600
if the carrier does not acknowledge within ten business days.
Sincerely,
[Your name]
[Address, phone, email]This template is a starting point, not legal advice. We'll send a tailored demand on your behalf as part of every Auto ACV engagement in Arkansas.