What Does Crop Insurance Cover?

Crop Insurance for Cannabis BusinessesCultivators and master growers who want to insure their growing cannabis plants must invest in an additional crop insurance policy. The experts at GreenWrap Insurance Solutions understand the importance of protecting your livelihood with customized insurance coverage. Here, we take a closer look at protecting your property in North America, the Caribbean, Latin America, or Europe with crop insurance.

Types of Crop Insurance

Crop insurance is a type of property insurance that protects agricultural producers from the loss of crops due to extreme weather events such as floods, hail, heat, drought. It can also protect against the loss of revenue resulting from price fluctuations in the agricultural commodity market. There are two main types of crop insurance available to agricultural workers in the U.S., including:

Crop-Hail Insurance

Crop-hail insurance is frequently purchased by growers that live in areas where hail occurs in order to protect their high-yielding crops. Crop insurance policies cover other damages from things like fire, lightning, crime, and more. Crop-hail policies are not part of the Federal Crop Insurance Program and are provided directly to farmers by private insurers. Many farmers purchase crop-hail coverage as a supplement to MPCI because, unlike MPCI, it can be purchased at any point in the growing season.

Multiple Peril Crop Insurance (MPCI)

Multiple peril crop insurance (MPCI) is offered as part of the Federal Crop Insurance Program and is sold and serviced by private-sector insurance companies.  MPCI covers loss of crop yield resulting from natural causes such as:

  • Drought
  • Excessive moisture
  • Fire
  • Insect damage
  • Deep freezes
  • Unusually hot weather
  • Disease

MPCI is available for more than 120 different crops, the most common of which are cotton, corn, soybeans, and wheat. Each state has different programs in place. Growers being insured by this policy must purchase it before each growing season for potential claims to be valid. The majority of farmers looking for crop insurance opt for MPCI because of the widespread coverage and availability. The issue is that these policies can be limited in what they will cover. Going to open market for either the main policy or supplemental coverage is advised.

Protecting Your Crops with GreenWrap Insurance Solutions

GreenWrap Insurance Solutions is a nationally licensed insurance agency here to help you protect your assets with comprehensive and customized policies. We are powered by AmWINS, one of the largest wholesale insurance companies in the world, and we serve clients in North America, the Caribbean, sectors of Latin America, and Europe. We provide coverage for every step in the cannabis production process to insure the entire vertical, from seed to sale, including farmers, processors, manufacturers, transporters, sellers, and more. Our partners have over 20 years of experience that help them to customize insurance solutions for cannabis-related insurance products in compliance with laws and the client’s unique needs and risks. Request your free consultation today for crop insurance in North America, the Caribbean, Latin America, or Europe.

 

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