I live in New Jersey, and my tree snapped during a recent ice storm — it smashed my neighbor’s roof and our fence, leaving us with $7,100 in total damage. Who’s on the hook?

Who is responsible when your tree falls on a neighbor's property?

When a tree falls on a neighbor's property, the general rule is that the neighbor's homeowners insurance will pay the bills. That's the rule that applies if the falling tree happened as a result of an "act of God," like an ice storm.

The only way you'd be likely to be held responsible is if you engaged in negligence. For example, if the tree was dying and you had reason to know it was at risk of toppling onto your neighbor's home, then you might be responsible and the neighbor could pursue a claim against you. However, that's most likely not the case in this scenario.

As for the fence, who pays for repairs depends on who the fence belongs to. If it is your fence, then you'd be the one to pay the bill -- and could potentially make a claim on your own homeowner's insurance. If the fence belongs to your neighbor, then this would be a part of their homeowner's insurance claim.

If your neighbor does make a claim for the roof, fence, or both, you shouldn't have to be involved in the process. However, the neighbor's home insurance company will only pay to fix the damage to their property. If part of the downed tree or its branches are on your land, you'll need to deal with that yourself.

What should you do if a tree falls on a neighbor's property?

While the rules say your neighbor's home insurance should pay for tree damage, the fact is that what should happen and what is morally right aren't always aligned.

Homeowner's insurance policies usually have a deductible — the amount you must pay before the insurance company will cover the rest — which could be as much as a few thousand dollars depending on the policy. Making a claim could also cause premiums — the monthly cost to maintain your policy — to increase. PolicyGenius indicates that a claim usually causes around around a 7-10% increase in the cost of coverage. This adds up over time.