Introducing ISA Private Client Services' New Diminution of Value Webinar Series
Wednesday, August 5, 2020 in Education
A question for you: Even after years of appraisal education and experience, are there any areas of appraising that are still a little unclear? Like many of you, Diminution of Value (or Loss of Value) was an aspect of appraising in which I was still slightly uncomfortable with handling.
My appraisal specialty area is high-end fine art. I've appraised paintings, works on paper, sculpture and large outdoor sculptures ranging anywhere from $50,000 to $12 million. Many of these items were damaged by fire, floods, tornadoes, shipping accidents, spills and mishaps from cleaning staff or party guests. While I have been able to complete these appraisals without incident, I still wanted a better comfort level in my knowledge of Diminution of Value (DOV or LOV). While I understood the DOV concept, all the variables of damage (what type, location, extent, repairs) made me nervous, especially with high-end valued property.
This level of discomfort was the seed for ISA Private Client Services' new Diminution of Value Webinar Series, now available online to all ISA members. Filmed in four parts, we set out to explore the various aspects of preparing for and completing DOV damage appraisals. To begin the series, the ISA PCS committee asked Meredith Meuwly, ISA CAPP to prepare a lesson specifically on the methodology of Diminution of Value. She produced an excellent webinar about what DOV is, how it is determined, and how to present it in an appraisal report. She includes many helpful tips that will benefit everyone. I personally learned so much from her lesson!
In the second webinar, we interview an art insurance litigation attorney to talk about what happens when damage claims become contentious. This segment has excellent information on how to avoid further issues with a claim and emotionally upset collectors. Our interviewed attorney had excellent tips on how to get more business from litigation attorneys to build your practice. She includes great information on what litigation attorneys need from appraisers to help their clients become whole again and how to hopefully avoid the courtroom.
In another segment, three top conservators working in fine art, decorative arts, and works on paper discuss the different aspects appraisers need to be familiar with when assessing damage and its subsequent repair. As you know, Diminution of Value can't be determined until after an item has been repaired. This segment discusses many repair issues and how they are solved. There is so much information contained in this segment that viewers will probably want to watch it several times.
Our last segment in the series, focuses on shipping and storage – what can go wrong and what recommendations appraisers can make to their clients in order to avoid future issues. It walks appraisers through the basics and instructs the appraiser on additional services they can introduce to their high-end clients.
I'm extremely excited about providing access to this new series to our members. This is the first set of webinars filmed live with professional gatekeepers on location that ISA has produced. The recordings are extremely educational. They solely focus on damage appraisals and provide tips on how to build your practice by working with the various top professionals involved in the process of appraising damage.
The series will be available to all ISA members regardless of whether or not they are in the ISA Private Client Services program.
Speaking of ISA's Private Client Services, I highly encourage any appraisers who want to elevate and expand their professional appraisal services to explore the program. ISA Private Client Services is intended to educate ISA appraisers who wish to work with high-net-worth clients and their collections. Participants will learn best practices and how to work with gatekeepers who can introduce appraisers to their high-net-worth clients. The program helps appraisers understand what professionals need from an appraiser and an appraisal report to satisfy their client's needs. While not a certification, after completion of the course, ISA appraisers can use the ISA Private Client Service affiliation to promote this service in their appraisal practice.
I hope you enjoy this new Diminution of Value Webinar Series presented by ISA's Private Client Services Committee. I know that regardless of their experience level, every ISA appraiser will gain valuable information about the DOV/LOV process and methodology from this series. Enjoy!
Christine Guernsey, ISA CAPP, is a past president of ISA. She appraises all areas of American paintings, works on paper, sculpture, and outdoor sculpture specializing in 19th and 20th centuries.