Q: What does it mean when a tree company is "fully insured"?

A: Many tree companies advertise as “fully insured”, but they only have General Liability. General Liability should be for tree care operations. For example, if a roofing company drops a tree limb on the house then it may not be covered under their insurance.

Fully Insured should mean: General Liability for tree care and Worker’s Compensation for tree care

Q: What is workers' compensation insurance?

A: Workers' compensation insurance provides medical, wage, and other benefits to employees who suffer work-related injuries or illnesses. This ensures that employees are taken care of if they get hurt on the job, and it also protects the company from potential lawsuits related to workplace injuries. For homeowners, this means you are less likely to be sued by an injured worker, as their medical expenses and lost wages are covered by the company's insurance.

Q: What is liability insurance?

A: Liability insurance protects the company financially if they are responsible for someone else's injuries or property damage. For example, if a tree falls and damages a neighbor's property during a job, liability insurance would cover the costs associated with the damage. However, the liability needs to cover the company’s primary operations (i.e. tree care specific general liability).

Q: Are bonds necessary for a tree company?

A: Bonds are not typically necessary for tree companies. While some businesses may advertise being "licensed and bonded," the most important aspects for customers to look for are workers' compensation and liability insurance.

Q: Should I ask for proof of insurance?

A: Yes, always ask for proof of both workers' compensation and liability insurance before proceeding with any work. This ensures that you are protected in case of any accidents or damages during the job. Be aware that many companies advertising as "fully insured" may not actually have workers' compensation insurance.

Q: How does insurance protect homeowners from liability?

A: Having a tree company with proper insurance protects homeowners from being held financially responsible for accidents or damages that occur during the job. If a worker is injured or property is damaged, the company's insurance will cover the costs, preventing homeowners from facing potential lawsuits or out-of-pocket expenses.