Raleigh RO: USDA Announces Improvements to Crop Insurance for Hemp

RALEIGH, N.C., Nov. 20, 2024 – The U.S. Department of Agriculture (USDA) announced improvements to the hemp crop insurance program for the 2025 and succeeding crop years. The Risk Management Agency (RMA) is changing the rotation requirements to allow hemp to be planted behind soybeans in Maine, New York and Pennsylvania. This improvement also applies to Colorado, Illinois, Indiana, Michigan, Minnesota, Montana, Nevada, North Dakota, Oregon, South Dakota and Wisconsin.

“The Risk Management Agency is continuing to work with hemp producers to improve coverage options,” said Alexander Sereno, Director of RMA’s Regional Office that covers Maine, New York, and Pennsylvania. “This policy change will give producers more options when it comes to their crop rotation.”

In addition to changing the rotation requirements, RMA is clarifying that smoke damage is not a covered cause of loss, as hemp coverage does not allow for quality adjustment.

The hemp Actual Production History (APH) program offers multi-peril crop insurance coverage for hemp in selected production regions and was implemented for the 2020 crop year and subsequently expanded.

Sales closing dates for the 2025 crop year vary by county and include January 31, 2025, February 28, 2025, and March 15, 2025. Producers can contact their crop insurance agent to find the deadline for their county.

RMA collaborated with stakeholders to improve these programs. In crop year 2024, producers insured $750,000 in covered liabilities on 2,600 acres of hemp nationwide.

More Information

Crop insurance is sold and delivered solely through private crop insurance agents. A list of crop insurance agents is available at all USDA Service Centers and online at the RMA Agent Locator. Producers can learn more about crop insurance and the modern farm safety net at rma.usda.gov or by contacting their RMA Regional Office.

RMA secures the future of agriculture by providing world class risk management tools to rural America through Federal crop insurance and risk management education programs. RMA provides policies for more than 130 crops and is constantly working to adjust and create new policies based on producer needs and feedback.

USDA touches the lives of all Americans each day in so many positive ways. Under the Biden-Harris administration, USDA is transforming America’s food system with a greater focus on more resilient local and regional food production, fairer markets for all producers, ensuring access to safe, healthy and nutritious food in all communities, building new markets and streams of income for farmers and producers using climate smart food and forestry practices, making historic investments in infrastructure and clean energy capabilities in rural America, and committing to equity across the Department by removing systemic barriers and building a workforce more representative of America. To learn more, visit usda.gov.

#

USDA is an equal opportunity provider, employer, and lender.