Policy Period

The policy period defines exactly when your coverage starts and ends. A standard commercial policy runs for twelve months — for example, from January 1, 2026 at 12:01 AM to January 1, 2027 at 12:01 AM. The specific times matter: coverage begins and ends at 12:01 AM in the time zone of the mailing address listed on the policy. If an incident occurs one minute after your policy expires and you have not renewed, you are uninsured.

For tree service companies, aligning policy periods across multiple coverage lines simplifies administration. If your GL expires in March, your auto policy in July, and your workers' comp in November, you are managing three separate renewal cycles with three different sets of deadlines. Many agents recommend consolidating your renewals to a single common expiration date, which makes annual reviews more efficient and reduces the risk of a policy lapsing unnoticed.

The policy period also determines which claims are covered. Under an occurrence-form policy, the policy in effect when the incident happened responds — even if the claim is filed years later. Under a claims-made policy, the policy in effect when the claim is filed responds, provided the incident occurred after the retroactive date. Understanding your policy period in relation to your coverage form is essential for knowing which policy responds to a given claim.

Short-term policies (less than twelve months) are sometimes issued for tree service companies that are binding coverage mid-year or aligning with a common expiration date. These short-term policies may carry a higher pro-rata premium because the carrier incurs the same underwriting and administrative costs regardless of the policy length. Once aligned, subsequent renewals run for the standard twelve-month period.