Prevent Policy Cancellation – Tree Limbs Hanging Over My Roof

• Tree Limbs Over Roof Insurance”
• “Prevent Policy Cancellation Trees”
• “Insurance and Tree Overhang
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• State Insurance Codes: Each state has its own set of laws governing insurance practices. These laws often include provisions regarding the cancellation and nonrenewal of insurance policies. For example, in Texas, the Texas Insurance Code Chapter 551 outlines specific reasons an insurer can cancel a policy and the required notice periods.

• Regulatory Bodies: State insurance departments enforce regulations and can investigate complaints from policyholders. For example, the Texas Department of Insurance oversees insurance practices in Texas and can intervene if an insurer is found to be acting unfairly.

• Model Acts: The National Association of Insurance Commissioners (NAIC) provides model laws and regulations that many states adopt wholly or in part. For example, the NAIC’s Unfair Trade Practices Act includes provisions related to the fair treatment of policyholders.

Texas Insurance Examples: 

Personally I live and work in and around Houston, TX, so the Texas Insurance Code is the majority governing document,

Texas Insurance Code Chapter 541: Prohibits unfair methods of competition and unfair or deceptive acts or practices in the business of insurance.

Texas Insurance Code Chapter 551: Details the conditions under which an insurer can cancel or non-renew a policy and the notice requirements.

There are 2 primary factors that every insurance company in the United States must abide by, and these two obligations are the Duty of Good Faith and the statement below about unfair practices:

Duty of Good Faith: “An insurer must act in good faith and fair dealing with its policyholders, meaning it must not unreasonably withhold benefits, deny claims, or cancel policies without a reasonable basis.

Unfair Practices: “It is an unfair practice for an insurer to cancel a policy without providing a valid reason and proper notice as required by state law. ***Policyholders have the right to appeal such decisions to the state’s insurance department. 👈 That is critical!

LEGAL CASES INVOLVING INSURANCE AND TREE OVERHANG

Insurance companies rely on tree care experts like ISA Certified Arborists, Board Certified Master Arborists, and Registered Consulting Arborists with ASCA. I’ve consulted on numerous litigation and liability cases with insurance groups, and they have always stopped the cancellation process after mitigating the liability. If a tree is dangerous or has factors that increase its likelihood of failure, removal or hazard mitigation is necessary. However, US courts consistently rule that if a tree presents no hazard, insurance companies cannot cancel the policy. Here are court cases where tree owners won and insurance companies had to uphold their policies while preserving the trees.

1. Allstate Insurance Group v Irwin (TX supreme Court, 2021)
-This case demonstrates how the courts can uphold the validity of insurance coverage when proper management and mitigation measures are in place. The court emphasized the importance of good faith in dealing with policyholders and required the insurance company to acknowledge the professional mitigation efforts taken to ensure the tree’s safety

2. Glynn v. Superior Court (California Court of Appeal, 2019)
– In this case, the court ruled in favor of the policyholder, indicating that an insurance company must provide substantial evidence and follow due process before canceling a policy. The court recognized the efforts made by professionals to mitigate risks associated with trees, reinforcing the idea that proper documentation and expert opinions can significantly influence the court’s decision

3. Thornton v. American Interstate Insurance Co. (Iowa Supreme Court, 2020)
– This case highlighted the requirement for insurance companies to act in good faith and fairly evaluate the mitigation efforts undertaken by policyholders. The court ruled against the insurance company, noting that the measures taken to manage the tree’s safety were sufficient to uphold the policy

NEXT STEPS:

FINALLY ….. Here are a few practical steps that you can take if your homeowner’s insurance carrier is trying to cancel your policy because the trees are growing over your house or roof:

• Professional Documentation: Ensure that all professional assessments, mitigation measures, and recommendations are thoroughly documented and presented to the insurance company. An ARBORIST REPORT can be your best friend here!

• Legal Consultation: Consider consulting with a legal professional who specializes in insurance or property law to explore specific legal avenues based on your jurisdiction.

• Regulatory Compliance: Refer to your state’s insurance code and regulations, which often outline the permissible reasons for policy cancellation and the required procedures

If you’ve had issues with your insurance company telling you that you need to remove your tree or major limbs, hit us up on the web below, and if you don’t mind, head over to YouTube and just search for @ArboristOnDemand

My Best,

Matt Latham – 713.385.7040
ISA Master Arborist #TX-3737B
Member – American Society of Consulting Arborists
mattlathambcma@gmail.com
www.arboristondemand.org