Tree Service Insurance Requirements for Removal and Trimming Work
- Feb 5
- 2 min read
Tree removal and trimming work is classified as high-risk contracting under most state and federal regulations. Because of this, tree service companies face strict insurance requirements that vary by state, municipality, and project type. Understanding the legal insurance requirements for tree service work is essential to operate lawfully, win contracts, and protect your business from severe financial exposure.
Federal and Industry Safety Regulations
While insurance requirements are primarily enforced at the state level, federal agencies influence compliance. The Occupational Safety and Health Administration (OSHA) classifies tree care under hazardous occupations due to fall risks, chainsaw use, and heavy equipment operation. OSHA does not mandate insurance directly, but its safety standards significantly impact workers’ compensation eligibility and claim enforcement. Contractors who fail OSHA inspections often face higher insurance premiums or policy cancellations.
State-Specific Insurance Requirements for Tree Contractors
Insurance laws for tree service businesses vary widely by state, especially for tree removal versus trimming work.
California: Tree service contractors must carry workers’ compensation insurance if they have even one employee. Additionally, many municipalities require general liability limits of $1 million per occurrence to obtain permits for removal work.
Florida: Workers’ compensation is mandatory for tree service companies with one or more employees, and tree removal is considered a higher-risk classification with increased premium rates.
New York: General liability insurance is often required for licensing, and workers’ compensation is strictly enforced. Uninsured contractors face stop-work orders and significant fines.
Texas: Workers’ compensation is not mandated by the state, but many commercial clients and municipalities require proof of coverage before awarding contracts.
For more information on other states’ insurance requirements for tree service contractors, visit the Small Business Administration’s official guide.
Required Coverage for Removal and Trimming Work
Most states and cities require or strongly recommend the following insurance policies:
General Liability Insurance: Covers property damage and bodily injury caused by falling limbs or equipment.
Workers’ Compensation Insurance: Covers medical costs and lost wages for injured employees.
Commercial Auto Insurance: Required for trucks, trailers, and hauling equipment.
Equipment Coverage: Protects chippers, cranes, chainsaws, and lifts.
Tree removal work typically requires higher liability limits than trimming due to increased risk exposure.
Why Proper Coverage Matters
Failing to meet state insurance requirements can result in license suspension, denied permits, contract termination, and personal liability lawsuits. Insurance is not just protection—it’s a legal operating requirement.
Get a Compliant Quote from Wexford Insurance
Because insurance laws vary by state and job type, working with a specialist matters. Wexford Insurance understands state-specific requirements for tree service contractors and offers customized coverage for both trimming and removal work.
