Tree services, also known as arborists, are companies that provide services for caring for trees and other woody plants. Apart from providing fertilizer, monitoring diseases and insects, trimming, and pruning, this service also serves as a plant transplant. Protect your business by purchasing tree removal general liability insurance.
Tree service companies generally offer some services such as tree removal, tree planting, inspection of sick trees, pesticide application on diseased trees, and many others. All of this work is performed by an arborist or tree surgeon.
An arborist is a high-risk job because they often use heavy equipment, chemicals, power lines, rotting trees, and many other risks. That’s why companies urgently need to provide business insurance that can provide comprehensive coverage.
Providing insurance is not only a form of company concern for arborists but also a smart choice to protect the company. Knowing that many risks are prone to befall arborists, it means that the company is also prone to facing big losses.
Insurance for Arborist
The discussion above explains some of the risks that are very likely to occur in arborists or tree service companies. You can overcome these potential losses by purchasing a tree removal insurance policy.
This insurance policy provides comprehensive coverage so it is worth purchasing. The comprehensive coverage referred to includes the following:
1. Commercial General Liability Insurance – CGL
In order not to get financial losses when getting lawsuits from third parties, you should buy commercial general liability insurance. Lawsuits covered by insurance are due to property damage or bodily injury caused by your business.
CGL Insurance will not only cover legal costs but will also provide legal defense support against third-party claims. The following is typical of coverage provided by CGL insurance:
a. Bodily Injury Liability
You can file a claim if your business operations damage other people’s property or cause bodily injury. The company’s finances will not be disrupted even though it has to indemnify in relatively large amounts. Such losses will be the responsibility of the insurance provider.
b. Product Liability
If the supplies or products you sell cause bodily injury or property damage to another person, you are obligated to indemnify. You can claim if you have purchased a tree removal insurance policy.
c. Tenant’s Legal Liability
Insurance coverage will also cover the costs of replacing or repairing the property you are renting or occupying. Hence, you don’t need to spend personal funds for these needs.
d. Personal and Advertising Injury Liability
Every company will advertise the services or products they offer. If the advertisement that you make has legal problems such as false advertising, defamation, slander, and libel, then the insurance provider will solve this problem.
Tree removal general liability insurance generally does not provide the following coverage:
- Copyright infringement
- Professional advice or services provided by business owners
- Deliberate criminal act
- Contractual liability
2. Tools and Equipment Insurance
Tree service companies usually use a lot of tools and equipment to make the arborist’s work smooth and easy. These tools and equipment are expensive, so you need to protect them with tools and equipment insurance.
Insurance will provide coverage for the cost of maintaining these work tools and equipment so they are always in good condition. This coverage is for tools and equipment that you own, rent, or even those that you rent.
Additionally, you will also get compensation coverage due to damaged or lost equipment ranging from backhoes to hand tools. Equipment lost due to theft will also be replaced.
Keep in mind that insurance providers do not provide coverage for the following:
- Uninsured or intentional damage to tools or equipment.
- Equipment or tools that have exceeded their useful life.
- Damaged tools or equipment due to general wear and tear.
3. Commercial Property Insurance
The owner of the tree removal general liability insurance policy also provides commercial property insurance coverage. Commercial property insurance coverage will protect your office building from damage such as fire, bad weather, vandalism, and theft.
Not only protecting the physical building, but commercial property insurance coverage will also protect your company’s furniture, inventory, merchandise, or electronic equipment.
However, some points are not the responsibility of the insurance provider’s coverage you should know. Please check below:
- Items mysteriously disappear and the cause of the loss is unexplained.
- Property left unattended for more than 30 days in a vacant location (get vacant property insurance to get this coverage).
- Equipment is worn out from regular use.
- Precious metals, cash, and securities (this coverage is provided by crime insurance).
Other Additional Coverage Required by Tree Service Companies
Although the arborist insurance policy provides three comprehensive coverage as mentioned in the discussion above, you also need to consider other additional coverage. Below are suggested additional coverages:
1. Pollution Liability Insurance
Arborists who work for tree service companies are very vulnerable to pollution exposure when they are at work. To protect your workers and company from possible losses due to pollution exposure, it would be better if you buy pollution liability insurance.
The insurance provider will cover environmental damage or bodily injury caused by pollution from your business operations. Other compensations that are also included in the coverage are civil fines, emergency response costs, and cleanup costs.
Why do tree service companies need additional coverage from pollution liability insurance? It is because companies often use fertilizers, pesticides, insect repellents, and various other chemicals. The content of these substances can destroy the environment and cause pollution.
2. Commercial Auto Insurance
Tree service companies require additional coverage from commercial auto insurance. It is because the company must have some vehicles for smooth business operations. These vehicles need to get regular maintenance and other comprehensive protection.
Commercial auto insurance coverage that can give you peace of mind includes vans, trucks, trailers, equipment and supplies, people, and packaged goods. Furthermore, you will also get compensation for the vehicle used to transport goods.
Is Tree Removal General Liability Insurance Post Helpful?
In essence, tree removal general liability insurance is a protection that a tree service company must have. You can purchase an arborist insurance policy as it provides comprehensive coverage.
However, it won’t go wrong to purchase additional coverage to protect your business. Visit the official website of insurance providers to get quotes and coverage based on your business needs.