According to the insurance laws(here in Fla, at least) any damage caused by the fall of a healthy tree, as in a windstorm, etc, is the responsibility of the land owner upon whose land the aforementioned tree should alight. If the tree is diseased, or dead, then the responsibility belongs to the owner of the roots.
Seems reasonable that the neighbors should shake hands, fire up their Poo-lans, and have a firewood party.