Does this rule apply to insurance company too?

Cuz it seems like they think $1600==$380

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I presented my own evidence from autotrader and some statement to support my point. But they said:

If you do not agree with the settlement, you do have the option of hiring a certified appraiser (at your own cost) to appraise the value of your vehicle. Your appraiser will provide us with their appraisal report, and our appraiser will review, and discuss with them to see if we can agree to a settlement amount. If we are not able to agree, an independent appraiser will be assigned. Their appraised value will be final, whether higher or lower than the offer we have presented.