Tree Service business insurance costs vary widely across coverage types, and understanding these differences helps you budget smartly. MoneyGeek's analysis shows monthly premiums range from $75 for professional liability to $221 for workers' compensation coverage.
How Much Does Tree Service Business Insurance Cost?
Business insurance for tree service companies starts at $75 per month, though your specific business details and coverage needs will determine your actual rate.
Discover cheap tree service business insurance below.
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Updated: August 18, 2025
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Key Takeaways
Tree service business insurance costs range from $75 to $221 monthly, depending on your coverage type.
Your tree service insurance premiums depend on location, claims history, property types serviced and employee count.
Shop multiple insurers, bundle policies, increase deductibles and pay annually to find affordable Tree Service business insurance costs.
Average Tree Service Business Insurance Cost Overall
| BOP | $192 |
| General Liability | $131 |
| Professional Liability (E&O) | $75 |
| Workers' Comp | $221 |
How did we determine these rates?
These rates are for small businesses with two employees across 79 major industries or business types and focus on four coverage types: general liability, professional liability/E&O, workers' comp and business owner's policy. Survey results reflect limited sample data and may not represent all available rates in your area.
Tree Service Business Insurance Cost for General Liability Coverage by State
Your Tree Service business insurance cost for general liability coverage depends on where you operate. Maine offers the most savings at $113 monthly (versus the $131 national average), while Louisiana costs $153 monthly.
| Alabama | $126 |
| Alaska | $124 |
| Arizona | $124 |
| Arkansas | $125 |
| California | $145 |
| Colorado | $129 |
| Connecticut | $142 |
| Delaware | $138 |
| Florida | $141 |
| Georgia | $132 |
| Hawaii | $144 |
| Idaho | $124 |
| Illinois | $143 |
| Indiana | $127 |
| Iowa | $124 |
| Kansas | $127 |
| Kentucky | $121 |
| Louisiana | $153 |
| Maine | $113 |
| Maryland | $124 |
| Massachusetts | $137 |
| Michigan | $124 |
| Minnesota | $122 |
| Mississippi | $131 |
| Missouri | $127 |
| Montana | $130 |
| Nebraska | $123 |
| Nevada | $148 |
| New Hampshire | $130 |
| New Jersey | $148 |
| New Mexico | $131 |
| New York | $152 |
| North Carolina | $113 |
| North Dakota | $113 |
| Ohio | $121 |
| Oklahoma | $126 |
| Oregon | $121 |
| Pennsylvania | $151 |
| Rhode Island | $143 |
| South Carolina | $134 |
| South Dakota | $122 |
| Tennessee | $127 |
| Texas | $132 |
| Utah | $124 |
| Vermont | $125 |
| Virginia | $119 |
| Washington | $148 |
| West Virginia | $137 |
| Wisconsin | $128 |
| Wyoming | $121 |
How did we determine these rates?
These rates are for small businesses with two employees across 79 major industries or business types and focus solely on general liability policies. Survey results reflect limited sample data and may not represent all available rates in your area.
Tree Service Business Insurance Cost for Workers’ Compensation Coverage by State
Your tree service business's cost for workers' compensation varies by state. North Carolina offers the lowest rates at $191 monthly and Pennsylvania the highest at $254 monthly. Our analysis reveals how state regulations and claim histories create these 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 |
How did we determine these rates?
These rates are for small businesses with two employees across 79 major industries or business types and focus solely on workers’ comp policies. Workers' compensation requirements vary by state and are mandated by state regulations. Survey results reflect limited sample data and may not represent all available rates in your area.
Tree Service Business Insurance Cost for Professional Liability Coverage by State
Like other insurance types, cost for professional liability for tree service businesses varies by state. Compared to the $75 national monthly average, North Carolina offers the lowest rates at $65 for E&O insurance, while Pennsylvania charges the highest 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 |
How did we determine these rates?
These rates are for small businesses with two employees across 79 major industries or business types and focus solely on professional liability policies. Survey results reflect limited sample data and may not represent all available rates in your area.
Tree Service Business Insurance Cost for BOP Coverage by State
Business owner's policy rates show variation in tree service business insurance costs nationwide. Monthly premiums range from $164 in North Dakota to $225 in Washington.
| 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 |
How did we determine these rates?
These rates are for small businesses with two employees across 79 major industries or business types and focus solely on BOP coverage. Survey results reflect limited sample data and may not represent all available rates in your area.
Factors Affecting Tree Service Business Insurance Cost
Tree service business insurance costs are based on several factors that insurance companies review to set premiums. Understanding these factors helps with budget planning. We break down these cost variables below.
Geographic location
Your business location affects workers' compensation rates due to local regulations and claim frequencies. Operating in areas prone to severe storms or heavy urban tree coverage increases your risk profile, and state differences create substantial premium variations.
Safety record and claims history
Previous claims impact future premiums, sometimes for three to five years. A single property damage claim or worker injury can substantially increase your general liability rates at renewal.
Types of properties serviced
Commercial properties and government contracts typically carry higher liability risks than residential tree work. Removing trees near power lines or buildings requires more coverage than basic yard maintenance, directly affecting your insurance costs.
Employee count and payroll
Insurers calculate workers' comp premiums based on your total payroll and job classifications. Adding employees increases your payroll costs, directly impacting your workers' compensation premiums since insurers calculate your rates per dollar of wages paid.
Services offered
Tree removal, stump grinding, and emergency storm cleanup carry different risk levels. A company offering only basic pruning faces lower premiums than one providing complete removal services near structures or power lines.
Business size and revenue
Higher annual revenue typically means higher premiums since insurers view larger operations as having greater exposure to claims. A small tree service earning $100,000 annually pays less than a company with multiple crews generating $1 million in revenue.
Coverage limits
Higher coverage limits provide better protection but cost more monthly. Choosing between different coverage amounts directly affects your premium, with higher limits increasing costs proportionally.
Equipment and vehicle values
Specialized equipment like bucket trucks, cranes, and wood chippers require higher coverage limits, increasing your premiums. A company with $500,000 in equipment needs more coverage than one using basic chainsaws and hand tools.
Credit score and financial stability
In most states, insurers can consider your business credit score when setting rates. A strong credit score can reduce premiums, while poor credit often increases costs substantially.
How to Get Cheap Tree Service Business Insurance
Smart shopping and improved business practices can lower your tree service insurance costs significantly. Below are proven strategies to reduce your premiums now and build a stronger insurance profile over time.
- 1
Choose the right coverage types for your business
Understanding what types of business insurance your tree service needs prevents overpaying for unnecessary coverage. General liability protects against customer property damage and injuries, while workers compensation covers employee injuries. Commercial auto insurance is essential for service vehicles and equipment trailers.
- 2
Shop multiple insurance companies
Insurance rates can vary significantly between providers for the same coverage. Get quotes from at least three companies to find the best rates. An independent insurance agent can help compare quotes and identify the most competitive options.
- 3
Bundle your coverage types
Insurance companies offer substantial discounts when you bundle multiple policies together. Combining general liability, commercial auto and workers compensation with one provider typically costs less than separate policies from different insurers.
- 4
Increase your deductibles
Choosing higher deductibles reduces your monthly premium costs. This means you'll pay more out-of-pocket for small claims, but your ongoing insurance expenses will be lower.
- 5
Pay annually instead of monthly
Monthly payment processing fees can add up quickly. Paying your premiums annually eliminates these extra charges and often qualifies you for additional discounts.
- 6
Review and adjust your coverage annually
Your insurance needs change as your business grows. Review your policies yearly to ensure coverage matches your current operations. Remove unnecessary coverage and adjust limits based on your business size and risk exposure.
Insurance for Tree Service Business Cost: Bottom Line
Tree Service business insurance costs range from $75 to $221 monthly, with your location, claims history and business size driving your actual premium. Getting quotes from multiple insurers, bundling your policies, choosing higher deductibles and paying annually instead of monthly helps you find more affordable rates.
Tree Service Business Insurance Cost: FAQ
Business owners frequently ask about tree service insurance costs, from basic liability coverage to complete protection packages. Here are straightforward answers to common questions.
What is the cheapest type of tree service business insurance?
Professional liability insurance costs $75 monthly, but it only covers professional mistakes and negligence claims.
Most tree service businesses need general liability insurance ($131 monthly) to protect against customer injuries and property damage claims.
How much can I save by bundling my tree service business insurance policies?
Bundling policies through a business owner's policy (BOP) offers significant savings. Most insurers provide discounts when combining multiple coverage types, like general liability and property insurance.
What factors make my tree service business insurance more expensive?
Several factors increase tree service insurance costs. Geographic location, safety record and claims history, business size and number of employees can all impact insurance rates.
Professional liability insurance (E&O) is an option for tree service businesses, with average costs of $75 per month or $906 annually.
Should I choose a $500 or $2,500 deductible for my tree service business insurance?
Higher deductibles lower your monthly premiums, but require larger out-of-pocket payments when filing claims. Base your choice on available cash reserves and claim likelihood.
How much does workers' compensation cost for tree service businesses by state?
Workers' compensation rates for tree service companies vary from $191 monthly in North Carolina to $254 monthly in Pennsylvania, depending on your business location and safety record.
Is business owner's policy (BOP) worth the extra cost for tree service companies?
A business owner's policy costs around $192 monthly and bundles essential coverage types. The combined protection offers more value than purchasing separate policies, making it a smart investment for tree services.
How often should I shop around for tree service business insurance quotes?
Compare insurance quotes annually during renewal time. Getting multiple quotes helps secure better rates, particularly if your business has grown or changed services.
How We Determined Tree Service Business Insurance Costs
We collected tree service business insurance quotes from companies across different states. To make sure we compared apples to apples, every quote used the same business setup:
- Two employees (three people 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
This profile represents small tree service businesses requiring comprehensive insurance coverage in most states. We chose companies offering broad national coverage and online quote capabilities, focusing on insurers that actively 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!
Passionate about economics and insurance, he aims to promote transparency in financial topics and empower others to make confident money decisions.