Tree Service Business Insurance Cost (2025 Rates)

Updated: November 10, 2025

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Key Takeaways

Tree service business insurance costs $2,295 to $2,699 annually on average, varying by coverage type, state and sub-industry.

Your tree service insurance premiums vary based on location, claims history, types of properties you service and total employee count.

Shop multiple business insurers, bundle coverage, raise deductibles and pay annually to reduce tree service business insurance costs.

How Much Is Insurance for a Tree Service Business?

We found average business insurance costs for Tree Service companies for commonly needed coverage are as follows:

Tree Service Insurance Bundle: $489 per month or $5,869 yearly for combined BOP, workers' comp and professional liability coverage.
General Liability Coverage: $131 monthly or $1,567 annually
Workers' Compensation Coverage: $221 per month or $2,658 per year
Professional Liability Coverage: $75 per month or $906 annually
Business Owner's Policy (BOP) Coverage: $192 monthly or $2,306 annually


BOP	$192	$2,306
General Liability	$131	$1,567
Professional Liability (E&O)	$75	$906
Workers' Comp	$221	$2,658

Note: We based these rates on small businesses with two employees across 79 major industries, focusing on four coverage types: general liability, professional liability/errors and omissions (E&O), workers' comp and business owner's policy. Your actual rates will vary based on your specific business factors and location.

Get Matched to Cheap Tree Service Business Insurers

Select your industry and state to get a customized quote.

Industry

State

Tree Service Business Insurance Cost of General Liability Coverage by State

General liability coverage for tree service businesses varies by location. Maine has the lowest rates at $113 monthly, compared to the $131 national average. Louisiana charges $153 monthly for the same coverage.


Alabama	$126	$1,513
Alaska	$124	$1,483
Arizona	$124	$1,484
Arkansas	$125	$1,501
California	$145	$1,743
Colorado	$129	$1,552
Connecticut	$142	$1,701
Delaware	$138	$1,658
Florida	$141	$1,694
Georgia	$132	$1,590
Hawaii	$144	$1,733
Idaho	$124	$1,484
Illinois	$143	$1,718
Indiana	$127	$1,526
Iowa	$124	$1,490
Kansas	$127	$1,520
Kentucky	$121	$1,454
Louisiana	$153	$1,833
Maine	$113	$1,355
Maryland	$124	$1,493
Massachusetts	$137	$1,642
Michigan	$124	$1,482
Minnesota	$122	$1,468
Mississippi	$131	$1,572
Missouri	$127	$1,526
Montana	$130	$1,558
Nebraska	$123	$1,480
Nevada	$148	$1,775
New Hampshire	$130	$1,556
New Jersey	$148	$1,774
New Mexico	$131	$1,574
New York	$152	$1,822
North Carolina	$113	$1,355
North Dakota	$113	$1,360
Ohio	$121	$1,452
Oklahoma	$126	$1,508
Oregon	$121	$1,454
Pennsylvania	$151	$1,807
Rhode Island	$143	$1,720
South Carolina	$134	$1,612
South Dakota	$122	$1,463
Tennessee	$127	$1,526
Texas	$132	$1,579
Utah	$124	$1,490
Vermont	$125	$1,502
Virginia	$119	$1,425
Washington	$148	$1,780
West Virginia	$137	$1,642
Wisconsin	$128	$1,536
Wyoming	$121	$1,447

Note: These general liability rates reflect tree service businesses with two employees across different states. Your rates depend on your location, claims history and the services you provide.

Tree Service Business Insurance Cost of Workers’ Compensation Coverage by State

Workers' compensation insurance costs for tree service businesses differ by state. North Carolina tree service owners pay around $191 monthly. Pennsylvania businesses pay around $254 monthly. State regulations and regional claim histories drive these pricing differences.


Alabama	$218
Alaska	$200
Arizona	$209
Arkansas	$214
California	$247
Colorado	$219
Connecticut	$240
Delaware	$238
Florida	$238
Georgia	$224
Hawaii	$231
Idaho	$208
Illinois	$243
Indiana	$215
Iowa	$210
Kansas	$216
Kentucky	$207
Louisiana	$251
Maine	$191
Maryland	$212
Massachusetts	$232
Michigan	$207
Minnesota	$208
Mississippi	$224
Missouri	$220
Montana	$218
Nebraska	$209
Nevada	$252
New Hampshire	$220
New Jersey	$251
New Mexico	$223
New York	$253
North Carolina	$191
Oklahoma	$208
Oregon	$206
Pennsylvania	$254
Rhode Island	$244
South Carolina	$226
South Dakota	$205
Tennessee	$216
Texas	$222
Utah	$212
Vermont	$213
Virginia	$201
West Virginia	$232
Wisconsin	$218

Note: We based these workers' comp rates on tree service businesses with two employees across different states. Your workers' comp requirements and costs will vary by state since each has different regulations.

Tree Service Business Insurance Cost of Professional Liability Coverage by State

Your professional liability cost varies by state. This coverage averages $75 monthly nationwide. North Carolina offers the most affordable rates at $65 monthly, while Pennsylvania has the highest costs at $88 monthly.


Alabama	$74
Alaska	$67
Arizona	$73
Arkansas	$72
California	$86
Colorado	$74
Connecticut	$82
Delaware	$82
Florida	$82
Georgia	$77
Hawaii	$80
Idaho	$71
Illinois	$82
Indiana	$75
Iowa	$70
Kansas	$73
Kentucky	$70
Louisiana	$85
Maine	$66
Maryland	$72
Massachusetts	$80
Michigan	$72
Minnesota	$72
Mississippi	$78
Missouri	$76
Montana	$75
Nebraska	$71
Nevada	$86
New Hampshire	$75
New Jersey	$85
New Mexico	$75
New York	$85
North Carolina	$65
North Dakota	$65
Ohio	$69
Oklahoma	$72
Oregon	$70
Pennsylvania	$88
Rhode Island	$84
South Carolina	$77
South Dakota	$70
Tennessee	$73
Texas	$75
Utah	$73
Vermont	$73
Virginia	$70
Washington	$86
West Virginia	$79
Wisconsin	$75
Wyoming	$68

Note: We based these professional liability rates on tree service businesses with two employees across different states. Your actual rates will depend on your services offered and location.

Tree Service Business Insurance Cost of BOP Coverage by State

Tree service business insurance costs vary most by state when it comes to business owner's policy coverage. BOP insurance cost ranges from $164 in North Dakota to $225 in Washington for the same coverage.


Alabama	$184
Alaska	$183
Arizona	$181
Arkansas	$184
California	$214
Colorado	$191
Connecticut	$212
Delaware	$200
Florida	$210
Georgia	$193
Hawaii	$212
Idaho	$183
Illinois	$208
Indiana	$193
Iowa	$181
Kansas	$185
Kentucky	$181
Louisiana	$224
Maine	$165
Maryland	$182
Massachusetts	$200
Michigan	$184
Minnesota	$177
Mississippi	$194
Missouri	$184
Montana	$190
Nebraska	$182
Nevada	$221
New Hampshire	$192
New Jersey	$216
New Mexico	$191
New York	$222
North Carolina	$166
North Dakota	$164
Ohio	$180
Oklahoma	$180
Oregon	$181
Pennsylvania	$223
Rhode Island	$210
South Carolina	$198
South Dakota	$181
Tennessee	$193
Texas	$192
Utah	$185
Vermont	$182
Virginia	$174
Washington	$225
West Virginia	$201
Wisconsin	$187
Wyoming	$177

Note: These BOP rates reflect tree service businesses with two employees across different states. Your rates depend on your business size, location and coverage needs.

Tree Service Business Insurance Cost by Provider

Tree service business insurance costs range from $100 to $232 monthly by provider. Price differences reflect each insurer's market focus and risk assessment approach, which changes based on profitability and expansion goals.


Chubb	$186	$2,226
Coverdash	$170	$2,045
Hiscox	$162	$1,947
NEXT Insurance	$133	$1,599
Nationwide	$133	$1,592
Progressive Commercial	$153	$1,841
Simply Business	$232	$2,780
The Hartford	$130	$1,554
Thimble	$100	$1,203
biBERK	$136	$1,629

Tree Service Business Insurance Cost Factors

Tree service business insurance costs vary based on multiple factors insurers review when setting your premium rates.

Geographic location

Tree density and storm frequency in your region shape demand and risk exposure simultaneously. Companies serving wooded areas prone to hurricanes or ice storms handle more emergency removals that create heightened hazards compared to arid climates.

Safety record and claims history

Tree work ranks among the deadliest occupations due to falls, electrocution and struck-by hazards. Previous claims involving worker fatalities, property damage from falling limbs or power line contact will dramatically increase your insurance costs for years.

Types of properties serviced

Trimming backyard trees away from structures presents manageable complexity for experienced crews. Municipal contracts, utility line clearance or working near commercial buildings introduce power lines, traffic and high-value property that amplify liability exposure.

Employee count and payroll

Climbers and ground crew members face constant danger from heights, equipment and falling debris. Workers' comp rates for tree services sit among the highest of any trade, with premiums reflecting the extreme injury potential inherent to this work.

Services offered

Basic trimming and brush removal occupy the lower risk tier for arborists. Emergency storm work, crane-assisted removals or working around utility infrastructure push you into specialized territory demanding enhanced coverage limits.

Business size and revenue

Job frequency and crew deployment indicate your overall claim probability. Small operations completing 100 jobs annually for $140,000 face different underwriting than established companies running multiple crews and billing $650,000 across commercial contracts.

Coverage limits

Property damage from dropping large sections or misjudged felling can reach six figures quickly. While $1 million in liability covers many residential jobs, municipal work and utility contracts mandate $2-5 million to protect against catastrophic scenarios.

Equipment and vehicle values

Bucket trucks, chippers, stump grinders and rigging gear represent massive capital investments. Companies operating cranes and maintaining extensive equipment fleets need far more property protection than startups using climbing gear and chainsaws.

Certification and training

ISA certifications and documented safety training demonstrate professionalism to underwriters. Companies with certified arborists, formal safety protocols and clean OSHA records qualify for better rates than those without structured risk management programs.

How to Get Cheap Tree Service Business Insurance

Reducing insurance costs for your tree service business requires careful comparison shopping and solid risk management. Our step-by-step guide shows how to secure affordable coverage and strengthen your long-term risk profile.

1
Choose the right coverage types for your business
Tree service companies need general liability for falling branches, property damage and power line strikes. You also need professional liability for improper pruning or tree assessments and workers' compensation for climbers who face fall and chainsaw injuries.
Add commercial auto for trucks and chippers, inland marine for expensive equipment like aerial lifts and stump grinders, completed operations for trees that fail after removal, and excess liability. Tree damage claims often exceed standard limits, making excess coverage important.
2
Shop multiple insurance companies
Tree service premiums rank among the highest for contractors. Your rates vary based on whether you do residential pruning, hazardous tree removal or work near power lines.
Arborist-focused insurers understand ISA certifications, ANSI standards and the extreme risks of working at heights with chainsaws. General carriers don't specialize in these risks.
3
Bundle your coverage types
Combine general liability, commercial auto and equipment coverage to save 19% to 27% compared to buying separately. Many insurers offer tree service packages including excess liability and professional liability at reduced bundle rates.
4
Increase your deductibles
Higher equipment deductibles of $2,500 to $5,000 cut premiums by 20% to 28%. But bucket trucks and chippers cost a lot to repair or replace, so weigh the savings against potential out-of-pocket costs. Keep general liability deductibles low because property damage from falling trees, power line contacts or equipment accidents can hit six figures.
5
Pay annually instead of monthly
Monthly installment plans add 6% to 12% in processing fees. On an $18,000 tree service policy, that's $1,080 to $2,160 extra annually. Paying annually eliminates these charges and earns 5% to 9% discounts from arborist carriers.
6
Review and adjust your coverage annually
Review your policy when you hire climbers, add crane services or stump grinding, or buy bucket trucks and aerial equipment needing higher coverage limits.
ISA certifications, comprehensive safety programs or an improved accident record with zero claims can qualify you for major premium reductions.

Insurance for Tree Service Business Cost: Bottom Line

Most tree service businesses pay between $191 and $225 a month for insurance, depending on factors like location, claims history and the size of the business. To save, shop around for quotes, bundle your policies, choose a higher deductible and consider paying annually instead of monthly.

Tree Service Insurance Cost: FAQ

Tree Service business owners commonly ask about insurance costs. We answered the most frequent questions below:

What is the cheapest type of tree service business insurance?

Professional liability (E&O) coverage is the cheapest at $75 monthly, but it only covers errors in professional services. Most tree service companies need general liability coverage ($131 monthly) since it protects against customer injuries and property damage claims.

How much does tree service business insurance cost in expensive states like California and New York?

You'll pay more in these states. General liability in California runs $145 monthly (vs. $131 national average), and BOP costs $214 monthly (vs. $192 average). New York is similar at $152 and $222, respectively.

How much can I save by bundling my tree service business insurance policies?

Combining multiple policies with one insurer delivers greater savings than purchasing coverage separately. Insurance companies reward tree service businesses with discounts when they bundle commercial auto, general liability and commercial property coverage together.

What factors make my tree service business insurance more expensive?

Tree service businesses face higher premiums due to elevated injury risks, expensive equipment, hazardous working conditions, previous claims history, larger crews and operations near power lines or valuable property.

Should I choose a $500 or $2,500 deductible for my tree service business insurance?

Higher deductibles reduce monthly premiums but increase out-of-pocket costs during claims. Consider your available cash flow and expected claim frequency when deciding.

How much does workers' compensation cost for tree service businesses by state?

Workers' compensation costs for tree service businesses vary by state, spanning from $191 monthly in North Carolina to $254 monthly in Pennsylvania for coverage.

Is business owner's policy (BOP) worth the extra cost for tree service companies?

Yes, BOP insurance is worth the investment for tree service companies. BOP costs around $192 monthly and packages general liability, commercial property and business interruption coverage together, saving you money compared to purchasing individual policies while offering essential protection for your operations.

How often should I shop around for tree service business insurance quotes?

Shop at renewal time each year. Comparing quotes from multiple insurers can uncover savings, especially after adding employees or expanding your service offerings.

How We Determined Tree Service Business Insurance Costs

We collected tree service business insurance quotes from companies across different states. For consistent comparisons, every quote used the same business setup:

Two employees (three people in total, including the owner)
$150,000 annual payroll
$300,000 annual revenue
Already insured status
$1 million per occurrence and $2 million total per year for all coverage except BOP, which includes the same limits plus $5,000 business property coverage

We used a typical small tree service business profile requiring comprehensive coverage. We chose companies offering broad national coverage and online quote capabilities, prioritizing insurers that serve the tree service industry.

About Mark Fitzpatrick

Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. With over five years of experience analyzing the insurance market, he conducts original research and creates tailored content for all types of buyers. His insights have been featured in publications like CNBC, NBC News and Mashable.

Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!

He writes about economics and insurance, breaking down complex topics so people know what they're buying.

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