Exclusion

Every insurance policy contains exclusions — specific situations, causes of loss, or types of property that are not covered. For tree service companies, understanding your exclusions is just as important as knowing your coverage limits because a claim that falls into an exclusion leaves you paying the full cost yourself.

Common exclusions on tree service GL policies include: pollution and contamination (unless you purchase a separate pollution liability endorsement), expected or intended damage, damage to your own work or property, employment-related claims (covered by workers' comp or EPLI), and professional services (covered by professional liability). Some policies also exclude specific activities like crane operations, work above 40 feet, or blasting stumps.

The most dangerous exclusions are the ones buried in endorsements added at renewal. A carrier that paid a large claim last year might quietly attach an endorsement excluding the type of work that caused the loss — for example, an exclusion for "tree felling operations within 50 feet of an occupied structure." If most of your residential removals take place within that distance, the exclusion effectively guts your coverage.

Review every exclusion with your agent before binding or renewing a policy. If an exclusion eliminates coverage for work you actually perform, either negotiate to have it removed, find a carrier that will provide the coverage, or purchase a separate policy (such as contractors pollution liability) to fill the gap.