Your rotten tree fell on your neighbors home who covers the damage?

Normally, our own home insurance covers damage to our own home regardless of where the tree came from. However.

If your neighbor can establish negligence on the part of the neighboring tree owner, then they can hold the tree owner liable, In which case the tree owners home insurance policy would have to pay for damages to the neighbors home that resulted from negligence. In such a case of established negligence. The tree owners home insurance policy would most likely be cancelled due to a moral hazard.