TREE LIABILITY
First, the easy claim: if a tree falls onto
covered owned property (a home, a
building, a fence, etc.), the policy will
pay to repair or replace the damaged
property (less the policy’s property damage
deductible) as well as “your reasonable
costs” to remove the tree, though insureds
are encouraged to check with their agents
for individual policy language limitations
on debris removal.
The debris left behind by trees that simply
fall on the ground without damaging
covered property is typically considered a
maintenance issue and not an insurance
loss. If covered property wasn’t damaged
by the fallen tree, and the tree simply falls
onto the ground or is brought down by
an “Act of God” such as a storm, the cost to
remove the tree is the responsibility of the
owner of the property.
But what about trees that fall onto
someone else’s property? Home and
business owners understandably cry foul
when a tree on someone else’s property falls
onto their own, and the inclination is to
ask the tree’s owner to come clean up their
tree. Unfortunately, what was once your
neighbor’s tree now has become your tree—
and your mess to clean up.
Certainly good neighbors may feel
compelled to share in the cost of removing
a tree that’s fallen, but the easy way to
remember who pays after a tree falls
from an “Act of God” (i.e., a tree that
falls because of wind or weather-related
occurrences) and not because of any
problem with the tree is that the owner of
the damaged property pays:
• If the tree belongs to you and falls onto
your own property but didn’t damage
any covered property, you pay to have
the tree removed (maintenance).
• If the tree belongs to you and falls onto
and damages your covered property,
your insurance covers the loss, less
your policy’s deductible. Insurance
will also likely pay the debris removal
costs, sometimes at a percentage of the
loss. Check with your carrier to see
how your specific policy language is
written.
•
If the tree belongs to you and it falls
onto your neighbor’s property but
does not damage covered property,
the neighbor pays to have the tree
removed (maintenance). You would be
responsible for cleaning up any debris
remaining on your own property and
any stump removal.
•
•
If the tree belongs to you and it falls
onto a neighbor’s home, shed, fence,
or other real property, the neighbor’s
insurance policy would respond to the
claim, provided the tree was not dead
or dying (liability).
If a tree falls onto a vehicle—whether
your own or someone else’s—the
owner of the damaged vehicle’s auto
insurance policy will respond to the
loss (filed under the auto policy’s
comprehensive coverage).
Where live property coverage is concerned,
insureds should also check their policies
for the existence of coverage and the limit
provided. Should a live tree be struck by
lightning, for example (a covered peril),
the property policy would pay for the tree
subject to the policy limits for live property,
but coverage may not apply for removal
of the tree if covered property was not
also damaged. In addition, live property
is limited to named perils: fire, lightning,
explosion, riot or civil commotion, and
aircraft or vehicular damage. Broader
policy forms may also include vandalism,
malicious mischief, and theft. Wind
and hail losses are excluded under most
property forms.
Consider a homeowners association
scenario where a tree in the common
area falls onto an individual home:
unless the tree was dead or dying, the
homeowner would seek recovery from their
homeowners policy, including the cost to
remove any debris. Damage to the tree
owned by the association would be covered
under the association’s live property
limit, provided the tree was damaged by a
covered peril.
That said, there is a clear delineation of
liability. In cases where a resident has
advised the association of concerns that
a dead or dying tree may fall on their
property, it is advisable that the association
have an arborist check the health of the
tree and have it removed immediately, if
necessary. Diseased or dead trees that fall
from a common area onto adjacent private
property would be a claim against the
association’s liability policy and not the
individual homeowner’s policy. In addition,
trees that are dead or dying can also lead
to bodily injury claims, another reason
to make certain that owned trees are
inspected regularly and any problem trees
are removed promptly.
The same holds true of dead or dying trees
on private property. Suppose a neighbor
advises another neighbor of concerns
about a tree and the tree’s owner fails to do
anything about it (negligence). If the dead
tree falls (or its branches fall) and damages
the neighbor’s property, the tree’s owner
would be liable for the neighbor’s property
damage and debris removal.
While the rules on tree liability can
sometimes seem to run perpendicular to
common sense, it’s easiest to remember
that insurance is carried to address
financial loss of owned property. Unless
property is damaged by someone else’s
negligence, misuse, or neglect, the property
owner’s policy is triggered to repair and
replace the owner’s property following a
loss. +
BY: ROBIN MANOUGIAN
VICE PRESIDENT, JOHN MANOUGIAN
INSURANCE AGENCY, A DIVISION OF JGS
INSURANCE
Robin Manougian, CIRMS, is a licensed
Property and Casualty insurance agent
(DC, MD, VA, DE) in Silver Spring, MD,
and is responsible for a large portion of the
Agency’s community association practice.
Robin is a CAI-Educated Business Partner
and an 11-year member of the Maryland
Legislative Action Committee, a CAI
National committee. Robin has also been
a presenter at numerous CAI National
conferences and law seminars.
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