Author, Rory Anderson, Account Executive, Rancho Mesa Insurance Services, Inc.

Most tree care companies use pesticides, herbicides, fungicides, and other chemicals as a part of their operations. Even if the company does not offer plant health care, many tree care professionals still use hydraulic fluids, gasoline, and other fluids to operate or maintain equipment and vehicles. The use of heavy equipment and chemicals, while operating exclusively outdoors, opens the company up to environmental exposure.

Pollution coverage is a standard exclusion on any general liability policy, but business owners can cover this exposure with a stand-alone contractor’s pollution liability (CPL) policy. CPL insurance is distinct in that it offers protection for contractors in the event their work, or any work done on their behalf, leads to a pollution or environment-related claim of bodily harm, property damage, cleanup and other remediation expenses. In today’s green and eco-minded society, filling this gap is more important than ever.

If the tree care company offers plant health care as a service, the herbicide/pesticide applicator coverage endorsement is an important part of your insurance program and can offer some coverage to replace damaged or dead plants/trees in the event an arborist mixes a bad batch or over sprays. However, the herbicide/pesticide applicator coverage endorsement may not pick up remediation efforts, or the business interruption losses that result from the clean-up. The best way to transfer your environmental exposure would, again, be putting a contractor’s pollution liability policy in place with at least a $1,000,000 limit.

Pollution liability insurance is an important part of the risk management strategy and can help protect tree care contractors from environmental liabilities by providing coverage for legal fees, cleanup costs, and other expenses associated with environmental pollution.

For a policy review or questions about which policies match your tree care company’s risks, please contact me at (619) 486-6437 or randerson@ranchomesa.com.