CO HB1153

Disqualifies individuals with known, direct, and material interests in appraisal outcomes or substantial relationships with parties from serving as appraisers or umpires.

Requires appraisers and umpires to disclose to all parties whether they are unaffiliated with insurance contracts, have no financial interest in outcomes, are not current employees of insurers or policyholders, and lack family or personal relationships that could affect their valuations.

Mandates appraisers disclose the number of times they or their company were employed by the party selecting them in the preceding three years, with continuing obligation to disclose new material information.

Prohibits ex parte communications between parties (insurers, insureds, adjusters, attorneys) and umpires during appraisal proceedings while allowing appraisers to communicate directly with each other to reach settlement amounts.

Takes effect August 8, 2018, unless subject to referendum petition, and applies only to appraisals conducted on or after the effective date.