The Department of Agriculture Thursday announced improvements to crop insurance for hemp. USDA’s Risk Management Agency is adding flexibilities around how producers work with processors as well as improving consistency with the most recent USDA hemp regulation. RMA Administrator Marcia Bunger says, “RMA has worked to expand and refine our offerings to be responsive and dynamic.” RMA revised the policy to add flexibility to the insurability requirements for hemp under contract. Producers are no longer required to deliver hemp without economic value for insurability. However, contracts between producers and processors may still include delivery requirements. Additionally, RMA clarified how the amount of insurable acreage is determined if the processor contract specifies both an acreage and a production amount. The change was made in the policy to ensure producers know how their insurable acreage is determined for those contracts. To ensure consistency, RMA updated references to regulations, including the Agriculture Marketing Service final rule, which took effect March 22, 2021.
USDA Improves Crop Insurance for Hemp Producers