RAPAPORT... The question I am asked most often is ‘What is the difference between all these appraisal organizations?’” states John Brenan, director of research and technical issues at The Appraisal Foundation. Four major groups in the U.S. accredit appraisers, each of which has its own labyrinth of rules and standards that are continually being updated. Following is an overview of these groups.
NAJA With 756 members, the National Association of Jewelry Appraisers (NAJA) is the largest gem and jewelry appraisal organization, and it is the only one in the U.S. that concentrates solely on the evaluation of gems, jewelry, silver flatware and hollowware. “You’ve got to have your finger on the pulse,” remarks Gail Brett Levine, the association’s executive director. “It still amazes me how many people do one-page appraisals. We do an intervention in those cases. The industry is beyond that now, but the most commonly used reference books don’t really tell you how to construct a document.” The organization prides itself on being accessible to all its members. “We answer the phones, and people are amazed,” she laughs.
Perhaps because it is the nation’s only for-profit appraisal organization, NAJA also recognizes the financial realities of the profession. “Rarely can our members support themselves solely on appraisals.” Levine notes. The association offers classes teaching how to determine a fee that reflects the value of appraisal training. It also strives to keep membership dues as low as possible and events are carefully planned at locations across the country in an attempt to fairly distribute airfare expenses among the nationwide membership.
Membership requirements include:
• Take 16 continuing education hours per year,
• Agree to abide by NAJA’s code of ethics,
• Supply two references from the trade,
• Pay dues of $175 per year.
The highest title is certified master appraiser (CMA). Requirements include:
• Be a senior NAJA member,
• Complete the NAJA Appraisal/Value Theory Correspondence Course,
• Pass the NAJA final exam in Appraisal/Value Theory,
• Pass NAJA’s practical examination,
• Have a “Gem Laboratory” accredited by NAJA, Accredited Gemologists
Association (AGA) or American Gem Society (AGS).
Ideally, those interested in joining are already graduate gemologists (GG), but the association also accepts career changers as candidate members if they are working toward their GG certification.
ASA The American Society of Appraisers (ASA), the country’s oldest appraisal society, was founded in 1936 and represents all the disciplines of appraisal specialists. The society has about 5,000 members total, with 108 gem and jewelry appraisers and 47 master gemological appraisers (MGA®). Gary L. Smith, ASA’s vice chair of gems and jewelry and chair of the MGA program, feels that the association’s defining characteristic is its focus on education. “Every five years, MGAs must totally recertify with a three-day exam. It’s like a lawyer retaking the bar. MGA is probably the pinnacle of titles in this industry,” declares Smith. “I was an appraiser for 20 years before I joined. Then I learned how much I didn’t know.”
Membership requirements include:
• Pass ASA’s ethics exam,
• Pass a test on the Uniform Standards of Professional Appraisal Practice
(USPAP),
• Pay dues of $500 per year if accredited or $420 per year if a
membership candidate.
The highest title is MGA. Requirements include:
• Achieve graduate gemologist (GG) status from the Gemological Institute
of America (GIA) or fellow status (FGA) from the Gemmological
Association of Great Britain (GemA),
• Have five years of documented appraisal experience,
• Pass the Farnsworth-Munsell 100-hue test for color discrimination,
• Complete ASA’s MGA hands-on test,
• Take 120 hours of continuing education every five years,
• Recertify every five years.
ISA
Formed in 1979, the International Society of Appraisers (ISA) became nonprofit in 1994 and serves more than 930 members, about 400 of whom hold the title accredited member (AM) or certified member (CAPP). “When you are educated by ISA, you walk out the door with a process of how to find the proper value for the function and purpose of the appraisal,” clarifies Judith Martin, the secretary of ISA’s board of directors. “We choose not to certify product knowledge — we certify for methodology. We teach you the scope of work and how to get to the final value conclusion.” With a group this focused on the nuts and bolts of appraisals, it shouldn’t be too surprising that ISA-sanctioned reports adhere to a 42-item checklist.
Membership requirements include:
• Document three years of experience,
• Complete the ISA Core Course in Appraisal Studies,
• Complete the USPAP National Course,
• Obtain accredited member status within five years.
The highest title is CAPP. Requirements include:
• Complete a five-hour certification exam on theory, methodology, ethics
and report writing standards,
• Demonstrate essential knowledge in your chosen field,
• Requalify every five years.
AGS
Jewelers, manufacturers, suppliers and appraisers can all join the American Gem Society (AGS), a nonprofit trade society founded in 1934. Though AGS is not strictly an appraisal society, employees of AGS member stores can pursue appraiser accreditation. AGS counts 1,315 businesses as its members, which include approximately 2,400 accredited employees who take their recertification exam every year. Approximately 600 of them are appraisers.
Retail store membership requirements include:
• Be a storefront in business under the same ownership for two years,
• Enroll one full-time staff member in GIA education, with the minimum
coursework consisting of Diamond Essentials, Colored Stone Essentials
and the five-day Diamond Grading Lab,
• Pay dues based on annual sales volume of company.
The two AGS appraiser titles are certified gemologist appraiser (CGA) and independent certified gemologist appraiser (ICGA). CGA requirements include:
• Be an AGS certified gemologist (CG),
• Complete AGS’s Appraisals 1 and 2 classes,
• Pass a CGA theory and a CGA practical exam,
• Complete a Colorvision test every four years,
• Recertify annually by passing the AGS Recertification Exam.
ICGA requirements include:
• Make appraisals your sole business,
• Have a dedicated office space for the business,
• Be in business for at least two years,
• Complete continuing education of 30 “points” every five years according
to AGS’s scoring system,
• Submit three complete appraisals — one for insurance replacement
purposes, one for estate tax purposes and one for a specialty situation.
“Consumers are asking for ICGAs more and more, because they can feel comfortable that they have no vested interest in the outcome,” remarks Diane Flora, director of education for AGS. More than 500 people from the 1,315 AGS member businesses take the CGA recertification exam every year and about 14 recertify as ICGAs.
“We urge any person who wants to do appraisals to join a society. All the societies interact and many people have plural memberships. We all associate,” stresses Smith.
In the end, “All organizations agree on the law. How we express it is what makes us different,” concludes Levine.
Appraisal AssociationsAmerican Gem Society (AGS)
8881 W. Sahara Avenue
Las Vegas, Nevada 89117
Phone:
US +1 8668056500 Call Fax: 702.255.7420
Email: dflora@ags.org
Web: www.americangemsociety.org
American Society of Appraisers (ASA)
555 Herndon Parkway, Suite 125
Herndon, Virginia 20170
Phone:
US +1 8002728258 Call Fax: 703.742.8471
Email: asainfo@appraisers.org
Web: www.appraisers.org
International Society of Appraisers (ISA)
230 East Ohio Street, Suite 400
Chicago, Illinois 60611
Phone:
US +1 8884724732 Call Email: isa@isa-appraisers.org
Web: www.isa-appraisers.org
National Association of
Jewelry Appraisers (NAJA)
P.O. Box 18
Rego Park, New York 11374-0018
Phone:
US +1 7188961536 Call Fax: 718.997.9057
Email: naja.appraisers@netzero.net
Web: najaappraisers.com
Article from the Rapaport Magazine - June 2008. To subscribe click here.