The USDA announced the details of two programs that protect hemp producers’ crops from natural disasters.
A pilot hemp insurance program through Multi-Peril Crop Insurance provides coverage against yield loss because of insurable causes of loss for hemp grown for fiber, grain, or CBD Oil.
The Noninsured Crop Disaster Assistance Program coverage protects against losses associated with lower yields, destroyed crops, or prevented planting where no permanent federal crop insurance program is available.
Producers can apply now, with the deadline to sign up for both programs set for March 16, 2020.
“We are pleased to offer these coverages to hemp producers,” says USDA Undersecretary for Crop Production and Conservation Bill Northey. “Hemp offers a new economic opportunity for our farmers, who are anxious for a way to protect their product in the event of a natural disaster.”
The pilot insurance program option for hemp producers is available in select counties in 21 states during the 2020 crop year.
The Noninsured option provides protection against loss for hemp grown for fiber, grain, seed, or CBD for the 2020 crop year where no permanent federal crop insurance program is available.