Buyer Beware! CG2144 or CG2136?

Written by Eric Petersen, CIC

Understanding the nuances of your insurance policies may not be your top priority, but the fine print deep inside the language of your policy can make all the difference when it comes to a claim. 

Since we have been insuring tree care companies and analyzing their insurance coverage for over 20 years now, we’ve seen a lot of different policy forms and endorsements over the years. However, the two most common and dangerous endorsements we see on General Liability policies that tree care company owners are not aware of are…

CG2144 – Limitation of Coverage to Designated Premises or Project

CG2136 – Exclusion – Designated Work

Let’s dig into each of them below…

CG2144 – Limitation of Coverage to Designated Premises or Project

This endorsement changes your General Liability policy to ONLY cover certain locations and or operations that your company performs. If you have this endorsement on your policy, you will see a box showing what premises or projects (operations) that the General Liability will be providing coverage for. If your company offers any other services that are not listed here, there will not be General Liability coverage when you need it. 

We often see tree care companies that do some landscaping or snow/ice removal who do not have coverage for those services because they do not have those services listed on this limitation of coverage. 

CG2136 – Exclusion – Designated Work

This endorsement changes your General Liability policy to EXCLUDE coverage for certain operations/services that you may provide. Like the CG2144, if you have this endorsement on your policy, you will find a box with a number of services or operations included inside. These are operations that the insurance company will not cover you for.

The most common and perhaps problematic of the services that are listed in this endorsement would be for crane operations. Unfortunately, we see crane operations excluded from policies all of the time using this endorsement. So whether you own a crane or rent one or subcontract a company with a crane to assist in a large removal, please, please, please, make sure you do not have this on your policy!

Of course with most insurance coverages, if you find that you have either or both of these forms on your policy talk with your insurance agent to have them edited or removed all together. 

If your current agent has never discussed either of these policy forms with you, click here to request an Insurance Coverage Review from an ArboRisk team member.