Being an arborist is a dangerous yet rewarding occupation. You would understand how highly each job in a day’s work is packed with hazards. Be them the pruning of the towering oaks, the removal of hazardous branches, or the care of delicate saplings, you’ve probably perfected the art and sciences that go along with becoming proficient with your chainsaw, ropes, and harnesses. One thing you may not have mastered is your way around the complexity of insurance.
This article, therefore, delves into why tree insurance is essential for arborists and tree care professionals and describes the type of insurance you will have to purchase and maintain to establish and operate a financially protected tree service business with minimal legal risks.
1. Understanding the Unique Risks of Tree Service Work
Arborists experience a variety of hazards that are unlike those encountered in many other professions. Working at great heights, operating heavy machinery, and being buffeted by unpredictable weather conditions, all make it highly unstable. Accidents can be a matter of seconds, leading to injury, causing property damage, and all of these can occur. The potential fallout from such incidents in case you have insufficient insurance could be enormous to the ruin of your business.
Once you set foot at a client’s place, your tree service business is already exposed to liabilities that can take place. For example, consider that you are felling a big tree, and this tree falls in the wrong direction, hitting the client’s house or injuring someone passing by. Without proper insurance in place, you might find yourself personally on the hook for covering the cost of damages and associated medical bills. This is where the right protection in place comes in handy.
2. General Liability Insurance: Your First Line of Defense
Every tree service business absolutely needs to have general liability insurance. General liability coverage remains as the cornerstone of all business insurance policies and will work to defend against claims for premises liability, personal and advertising injury liability, including damage to reputation.
There is always an accident no matter what the tree care business professionals will do to prevent them. There are several nasties that can happen here such as you might one day carelessly drop debris on a client or a passer-by or be extremely careless to let a very large branch fall on a client’s car and cause immense damage. The general liability insurance coverage is going to care for such costs as legal dues timeartup, lawyers’ fees, bargaining and repairing charges.
For instance, suppose you are felling a tree and while bringing the limb down, the branch damages a window or brings down an outbuilding belonging to your neighbor. The cost of repairing such a mishap might be very high if you do not have a general liability insurance. If you do happen to have it, the policy will normally cover for repair expenses and you don’t need to go running to your wallet or, worse, to your checking account to pay for these expenses.
3. Workers’ Compensation: The Safety of Your Team
If you have employees, workers’ compensation insurance is required by law in most states. This coverage ensures that your workers will be protected if they somehow get injured while working for you. Given the inherent risks of tree care, from chainsaw accidents to falls from heights, workers’ compensation is perhaps the most vital of all insurances for arborists.
Tree care often requires work at significant heights, along with climbing up ladders, using dangerous tools, and other such activities that make the tasks more prone to injury to your crew. Workers’ compensation coverage will ensure these incurred costs related to medical assistance, loss of wages, or possibly even rehabilitation as a result of the worksite injury are duly reimbursed. It will also shield your business from a lawsuit in case an employee decides to sue you for damages regarding the injury.
Now, suppose one of your employees slips off a ladder while pruning a tree. They could need immediate hospitalization, surgery, and perhaps time off to recover. And if they’re not eligible for workers’ comp but you’re found negligent in the accident, you could be sued for their medical costs and lost wages. Unless covered accordingly, you are taking care of both your employees and your business appropriately in these situations.
4. Commercial Auto Insurance: Protection for the Fleet
The trucks, trailers, and other assorted vehicles owned and utilized by your tree services company are the literal lifeline of your business. Use them to haul stuff – equipment, materials, and crew – to various job sites. If something happens to your vehicles, whether that is an accident, theft, or vandalism, it is going to be a massive disruption to your operations. This is why commercial auto insurance is important for arborists.
Commercial automobile insurance protects against accidents in your business automobiles and damage/theft of those automobiles. For example, if one of your trucks hits an electrical pole that falls on a customer’s house, commercial auto will pay for the repairs and other medical expenses. It also takes care of liability claims if your driver is liable.
Example: One of your drivers rear-ends another vehicle while towing equipment to a job site. The other driver gets hurt and their car sustains heavy damage. Your commercial auto insurance policy will cover the medical and repair expenses, saving your business from out-of-pocket costs that otherwise can be financially crippling.
5. Professional Liability Insurance: Protecting Your Expertise
As an arborist, you are the professional upon whom the client will rely to inspect the trees for possible health problems, suggest treatments, and perform tree removals in a safe manner. Sometimes, however, claims are made against you that your advice or service has harmed them− e.g., that some tree which you pruned has died, or that, because of your recommendations, some disease has spread to other trees. These are the cases in which professional liability insurance can help you—also called errors and omissions insurance.
Professional Liability insurance insulates a business owner from allegations of negligence, poor advice, or professional errors. For instance, if one diagnoses a tree as being healthy and safe, but it blows down or falls at a later date and causes damage to property, the client can put a lawsuit claim on your pre-diagnosis. Professional liability insurance helps to bear the legal costs and any potential settlements, hence keeping your business secure in light of those claims.
The Role of Insurance in Your Tree Service Business: Final Thoughts
While tree service sounds like having tools, equipment, and knowledge of arboriculture to perform well, the operation of a successful business in tree service really involves smart planning and risk management. With all the right insurance coverage, you can then have real peace of mind and devote full attention to what you do, with confidence that in case something goes amiss, you are covered by a safety net.
From the protection of your team and equipment to shielding your business from lawsuits, insurance is simply a must for today’s arborist. With such insurance, you can grow your business with confidence, take on larger projects, and have a solid reputation around the community while being prepared for the unpredictable.
Make sure that your tree service business is well armed with all the relevant insurance policies so that come what may, you are prepared to face head-on all the challenges that may be put your way.
