Which dispute resolution method is included in a property policy to handle loss amounts?

The appraisal process is a specific method included in property insurance policies to resolve disputes regarding the amount of loss. When the insured and the insurer cannot agree on the value of a covered loss, the appraisal process allows each party to select a competent appraiser. These appraisers will then evaluate the damage and agree on a fair value for the loss. If the appraisers cannot agree on an amount, they typically will engage an impartial umpire to make a final determination. This method ensures that disputes over valuation are handled in a structured manner, ultimately providing a clear resolution that is binding on both parties.

This differs from other methods like mediation or arbitration, which are broader dispute resolution approaches not always specifically outlined in the property policy regarding loss amounts. Negotiation may also take place prior to appraisal but is not a defined process within the policy for handling loss disputes. Hence, appraisal is the correct answer because it is specifically tailored to address disagreements over the valuation of insurance claims in property coverage.