The policies a tree service business carries
Tree work has some of the highest liability and workers' comp averages in the Insureon figures on this site: a limb through a roof, a tree on a fence, an injury on the ground. Read what your liability policy says about the tree you are cutting and the property under it.
| Policy | Average a month |
|---|---|
| General liability | $156 |
| Tools and equipment | $53 |
| Commercial auto | $299 |
| Workers' compensation | $215 |
Averages are what Insureon's customers who are tree services pay, from Insureon's cost page; most of its customers have fewer than five employees. Across all its small business customers, general liability runs $265 to $3,030 a year.
Claims tree services plan for
- A limb drops onto a roof
- A tree falls on a fence or shed
- A ground worker is hit by a falling piece
- A chipper throws debris at a car
Ask your agent, in these words:
- Would my policy pay if a limb drops onto a roof?
- Would my policy pay if a tree falls on a fence or shed?
- Would my policy pay if a ground worker is hit by a falling piece?
- Would my policy pay if a chipper throws debris at a car?
Name the work you sell
A policy covers the work you describe on the application. From the tree service services list, name each of these and ask whether any is excluded: remove a small tree, under 30 ft; remove a medium tree, 30 to 60 ft; remove a large tree, 60 to 80 ft; very large tree removal, over 80 ft; trim a tree; crown raising and clearance; deadwood removal; storm cleanup; grind one stump; brush chipping and haul away; firewood splitting.
Chippers, stump grinders and trucks are big-ticket items to insure. On the tools list, the items to list on the policy are large professional chainsaw; chipper; stump grinder; port-a-wrap and rigging hardware; bucket truck or crane access; mini skid steer or log loader, and from the starter kit, professional chainsaw; top-handle saw for climbing; pole pruner; climbing saddle, lanyard, rope and friction devices; helmet with face shield and hearing protection, chaps and boots.
State rules in the license
Most states do not license tree service work as a trade of its own, so there is usually no state insurance minimum tied to a license. Cities and commercial customers can still set their own.
Workers' comp and bonds
The SBA says every business with employees must carry workers' compensation, unemployment and disability insurance. Insureon's average for tree services is $215 a month, priced per $100 of payroll. A bond protects the state or the customer, not you; Insureon puts its yearly cost at a share of the bond amount:
| Bond amount | Estimated yearly cost |
|---|---|
| $5,000 | $25 to $500 |
| $10,000 | $50 to $1,000 |
| $50,000 | $250 to $5,000 |
Certificates of insurance
Homeowners, HOAs and utilities ask for a certificate before any removal. Keep a PDF on your phone so you can send it the day they ask.
Sources
- Insureon: Insurance cost for tree services, checked October 9, 2026
- Insureon: General liability insurance cost, checked October 9, 2026
- Insureon: Workers' compensation insurance cost, checked October 9, 2026
- Insureon: Surety bond cost, checked October 9, 2026
- SBA: Get business insurance, checked October 9, 2026
- OSHA: Tree care, checked October 8, 2026
Last checked October 9, 2026. This page is general information, not legal or tax advice. Rules change and differ by state and city, so confirm with the agency named before you act.