Tree Business Insurance for Arborists and Tree Services

As an arborist or tree service business owner, you know how crucial it is to protect your investment and livelihood. Tree business insurance is a must-have to safeguard against unexpected events and financial losses.

Tree business insurance policies can be tailored to fit your specific needs, including coverage for equipment, vehicles, and even liability for accidents on your clients' properties.

You can expect to pay between 1% to 3% of your annual revenue for tree business insurance premiums.

General liability is the most important type of insurance to have for your tree business, but it's not the only one. You'll also want to consider other types of coverage to protect your business from unexpected events.

Some additional types of insurance policies to consider are hired and non-owned auto insurance, which provides auto liability coverage for personal, leased, and rented vehicles used by your business. This is especially important if you drive your own vehicle to clients' properties.

Commercial property insurance is also a good idea, as it protects against financial losses from fires, storms, and burglaries. Homeowner's insurance won't provide much protection for business property, so it's essential to have a separate policy.

You'll likely need inland marine insurance to cover tools and equipment that travel to job sites. This can protect your business's chain saws, pole saws, stump grinders, and other tree maintenance equipment.

Commercial umbrella insurance can boost the protection of your general liability, commercial auto, and employer's liability insurance, activating when the limit is reached on the underlying policy. This can provide an extra layer of protection in case of a serious accident or lawsuit.

Business interruption insurance can cover lost revenue and other expenses if a covered event, like a fire, temporarily closes your business. It can usually be added to your commercial property policy.

Here are some of the most common types of additional insurance policies for tree service businesses:

If your tree service owns its own office or warehouse space, you'll need commercial property insurance to cover both the physical structure and the property inside of it. This type of insurance will pay to repair the building and replace tools in the event of a fire or severe storm.

Tree care businesses pay an average of $57 per month, or $681 annually, for contractor's tools and equipment insurance. This coverage includes tools and equipment valued at $10,000 or less, such as pesticide sprayers, climbing gear, and handsaws.

Here are some key things to know about contractor's tools and equipment insurance:

A form of inland marine insurance, contractor's tools and equipment insurance covers your business property whether it's in your office, in transit, or at a job site. This means you can have peace of mind knowing your equipment is protected no matter where it is.

Commercial property insurance is a must-have for tree service businesses that own their own office or warehouse space.

This type of insurance covers the physical structure of the building and the property inside it. If your business keeps expensive equipment inside the property, you'll be glad to know that commercial property insurance will pay to repair the building and replace the equipment in the event of a fire or severe storm.

Commercial property insurance can also help replace specialized tools that you sell to your customers, giving you peace of mind in case of unexpected events.

Contractor's equipment is a vital part of any tree service business, and protecting it is crucial to your success.

The cost of contractor's tools and equipment coverage can vary, but on average, it's around $57 per month, or $681 annually.

This type of insurance, known as inland marine insurance, covers your business property whether it's in your office, in transit, or at a job site.

Tools insurance can pay for lost, stolen, or damaged tools and equipment valued at $10,000 or less, which includes your pesticide sprayers, climbing gear, handsaws, and more.

The cost of contractor's tools and equipment coverage depends on the value of your tree service equipment and the types of trees you work on.

Here are some key details to consider:

The average tree service in America spends between $400-$1,500 per year for $1 million in general liability coverage.

You can get general liability insurance at a discounted rate by purchasing it as part of a business owner's policy (BOP) rather than a standalone one.

A BOP is a more comprehensive solution that includes multiple forms of coverage, such as business interruption and property insurance.

To get started with affordable tree service insurance, you'll need to provide basic information about your business, like revenue and number of employees.

The median cost of general liability insurance for tree service professionals is $138 per month, according to Insureon.

Workers' compensation insurance typically costs around $186 per month, while commercial auto insurance costs around $204 per month.

Contractor's tools and equipment insurance is relatively inexpensive, costing around $57 per month.

Here are the top insurance policies purchased by tree service businesses and their average monthly costs:

Arborist insurance cost depends on several factors, including your coverage needs, number of employees, and claims history.

The cost of arborist insurance can be higher than for other contractor professions, like landscaping, due to the unique risks involved.

Factors that can influence tree service business owners' premiums include the services offered, number of employees, value of equipment, types of insurance purchased, policy limits, deductibles, and additional insureds.

Claims history is also a significant factor in determining insurance premiums for tree service businesses.

Arborist liability insurance is a must-have for tree service businesses, protecting against third-party injuries and property damage. This type of insurance can be found in the non-admitted market, also known as excess and surplus lines (E&S).

E&S carriers have more freedom to write policies for high-risk businesses like arborists, who often work at heights and face unique liability risks. Small business owners can secure the same level of general liability protection in the E&S market as they would with standard carriers.

Common risks associated with arborist work include falling branches, improper pruning, and stray tools on the job site. An agent can help review these risks and choose the right coverage for your business.

Here are some common types of insurance policies for tree service businesses:

Arborists face unique risks on the job, including third-party injuries and property damage. This is why they often turn to the non-admitted market for general liability insurance.

Arborists usually get their general liability insurance in the excess and surplus lines (E&S) market, which has more freedom to write policies for high-risk businesses.

The E&S market can provide the same level of service and protection as standard carriers, including the ability to speak with an agent and file claims.

Arborists may be in the E&S market because tree work is high liability, especially when it occurs at height. This is why general liability insurance is crucial for safeguarding their business.

Common risks associated with arborists include falling branches, improperly pruned trees, and stray tools on the job site.

Some examples of situations where general liability insurance could help include:

Arborists can get an insurance quote from Progressive Commercial to understand their coverage options and potential premium.

At Simply Business, we make it easy to find insurance at the right price, and we can provide you with a certificate of insurance (COI) once you choose your policy.

The costs of accidents or lawsuits without insurance can be high, including reputational harm, customer injury or damage, and customer slip and fall.

As an arborist or tree business owner, it's essential to protect your business with the right insurance policies. You can choose from a variety of business insurance options, including commercial auto, business insurance, general liability, professional liability, workers' comp, BOP (business owner's policy), and cyber insurance.

A BOP is a great option for small business owners and contractors, as it bundles general liability coverage and commercial property insurance at a discount. This policy can help protect your business from client bodily injuries, damaged customer property, and stolen or damaged business property.

Some common insurance policies for tree service businesses include general liability insurance, workers' compensation insurance, commercial auto insurance, and contractor's tools and equipment insurance. The average monthly costs for these policies are around $138, $186, $204, and $57, respectively.

Here are some of the most common insurance policies every tree company should consider:

These policies can help protect your business from reputational harm, customer injury or damage, and customer slip and fall accidents, which can cost an average of $50,000, $30,000, and $20,000, respectively.

Many arborists and tree businesses are turning to technology to streamline their operations and improve efficiency.

With the rise of digital platforms, arborists can now access a range of tools and services to manage their work more effectively.

Arborist software can help with tasks such as scheduling, invoicing, and customer management.

In fact, a recent survey found that 75% of arborists use some form of software to manage their business.

Tree businesses are also using technology to enhance their services, such as using drones for tree inspections and assessments.

This can help reduce costs and improve the accuracy of assessments, making it a valuable tool for businesses.

By embracing technology, arborists and tree businesses can stay ahead of the competition and provide better services to their customers.