Insurance Coverage Is Essential in Hemp Industry Amidst Uncertain Times
With its relatively new status as a legal agricultural product from the 2018 farm bill, hemp growers are subject to the same risks and liabilities as other farmers. Thus the importance of hemp insurance as a risk management strategy.
While the crop itself is highly regulated, the market for products is not, and growers, manufacturers, and distributors bear the responsibility for the quality of the goods sold to consumers. This has led to a need for hemp crop insurance to protect hemp business owners from financial devastation should they face litigation.
Hemp Insurance Coverages
If you own an industrial hemp company, it is vital that you protect your business with hemp insurance. This is particularly important at a time when disruptions to business are not uncommon and are likely to continue off and on over the next several months. Furthermore, hemp’s status as a new agricultural crop and business increases the risk of errors and damages that come from learning the nuances for growing, storing and selling hemp and its associated products. There are a few types of hemp insurance you should consider, depending on the type of business you operate.
Any company with employees should have workers’ comp insurance to protect the people who work for them in case of illness or injury on the job. In many states, businesses are legally obligated to provide workers’ compensation.
There are a number of factors that can lead to crop failure. As with any plant, hemp is subject to the weather. Unlike other industries, however, crops can be lost when plants test above the legal limit for THC of 0.3%, making a hemp and crop insurance program essential for farmers. It is issues like this that make it crucial for farmers to work with insurance providers who understand the unique challenges faced by the hemp, CBD, and cannabis industries.
Hemp farmers have more options to insure their outdoor crops via federal programs, and that provides some relief for growers, in addition to the cost of quality coverage becoming more affordable as well. With that said, hemp’s status as a new agricultural commodity can make it difficult to source appropriate coverage solutions, so working with a qualified insurance provider is imperative.
If you grow hemp outdoors or own a business related to hemp, CBD, or cannabis, we are here to assist you with your exposures! Contact us today.
When you are in the business of growing, manufacturing or selling hemp, liability coverage protects your company from liability claims. You need experts in CBD and/or hemp insurance to provide plans tailored to your needs. Both general liability and product liability are recommended to prevent financial devastation from lawsuits filed for injury or damage on your premises or from your products.
Get the Protection You Need From CannGen Insurances Services
For more information about our comprehensive insurance solutions for the cannabis, CBD, and hemp industries, please visit our website at www.canngenins.com or email firstname.lastname@example.org.