Israeli Auto Appraisers Earn Up to $400 Per Report, With Most Going to Expenses

Auto appraisers in Israel do not have official salary data recorded by government bodies, but a new regulation from the Capital Markets, Insurance and Savings Authority now requires insurance companies to publish the reasonable fees they paid to private appraisers in the preceding year. Three companies have complied, revealing that fees for an auto appraisal report range from approximately $200 to $400 (750 to 1,500 shekels), depending on the vehicle's damage.

One company's fee structure shows payments up to 750 shekels for damage under 10,000 shekels, increasing to 1,000 shekels for damage between 10,000 and 15,000 shekels, 1,200 shekels for damage between 15,000 and 20,000 shekels, 1,300 shekels for damage between 20,000 and 50,000 shekels, and a maximum of 1,500 shekels for damage exceeding 50,000 shekels.

Another company sets a lower ceiling of 800 shekels and reported actual payments, including 600 shekels for a 7,094 shekel damage claim and 641 shekels for a 9,686 shekel claim. Notably, a 14,891 shekel damage claim resulted in a payment of only 397 shekels. A third company provided examples based on claim type, with fees ranging from 450 shekels for partial damage to the insured vehicle to 1,000 shekels for a total loss claim on a private car.

However, a significant portion of these fees goes towards expenses. A 2010 court case revealed that out of an average appraisal report fee of 413 shekels, only 184 shekels were professional fees, with the remainder covering expenses like travel, vehicle costs, and office operations. This structure remains largely the same, as appraisals require physical inspections, often involving multiple trips.

With approximately 1,019 licensed auto appraisers in Israel and around 414,000 property damage insurance claims annually, each appraiser handles roughly 406 claims per year, or about eight per week. While gross annual revenue could range from $70,000 to $75,000 (260,000 to 278,000 shekels) before VAT, this figure is significantly reduced by operational costs. The client type, whether working for an insurance company or a private individual, largely determines an appraiser's income, as there is no standardized fee schedule, and companies set their own 'reasonable' rates, which must now be publicly disclosed.