Marijuana Farm Insurance & Hemp Crop Insurance

Specialized Crop Protection for the Cannabis & Hemp Industry

As the cannabis and hemp industries grow, so do the risks for cultivators. From mold and equipment failure to regulatory shutdowns, marijuana and hemp farms face unique exposures that standard agricultural policies often exclude. Heffernan Insurance Brokers helps growers secure customized coverage through carriers that understand this rapidly evolving space.

Whether you cultivate hemp outdoors or operate a high-tech indoor cannabis facility, we’ll help you protect your investment from seed to sale.

Why Cannabis and Hemp Farms Need Specialized Insurance

Traditional crop insurance policies typically exclude cannabis and often fall short for hemp operations. That’s why it’s critical to work with a broker who specializes in marijuana farm insurance and hemp crop insurance.

Top risks include:

• Crop failure from pests, mold, or climate events
• Equipment breakdown (HVAC, lighting, irrigation systems)
• Fire or water damage to grow facilities
• Theft or vandalism of crops or infrastructure
• Business interruption from regulatory actions or compliance issues

Heffernan partners with carriers that offer tailored coverage for state-legal cannabis and federally compliant hemp farms.

What Does Marijuana Farm Insurance Cover?

Marijuana farm insurance can be customized to protect all aspects of your operation:

• Cannabis Crop Insurance – Covers plants in all stages of growth against loss due to environmental damage, theft, or system failure.
• Property Insurance – Protects grow facilities, greenhouses, equipment, and drying/storage infrastructure.
• General Liability – Covers third-party claims of bodily injury or property damage.
• Product Liability – Protects you if your harvested cannabis causes harm after sale.
• Business Interruption – Replaces lost income during a temporary shutdown due to a covered peril.
• Workers’ Compensation – Required in most states if you have employees working in cultivation, processing, or packaging.

We help you bundle the right mix of cannabis farm insurance coverages for your specific setup and regulatory environment.

How Is Hemp Crop Insurance Different?

Hemp, legalized under the 2018 Farm Bill, qualifies for federal crop insurance through the USDA’s Risk Management Agency (RMA). However, hemp farms still face risks that standard policies may not cover.

Hemp crop insurance options include:

• Multi-Peril Crop Insurance (MPCI) – Offered by the USDA RMA, with coverage for natural disasters, low yields, and other perils.
• Private Hemp Crop Insurance – Provides added protection, such as coverage for mold, compliance failure due to high THC levels, or post-harvest processing risks.

Heffernan helps you compare federal and private hemp insurance options and identify the best path forward.

Common Questions from Growers

Do I need insurance if I only grow a small amount?

Yes. Even small farms face serious risks—equipment failures, theft, or a failed harvest can have significant financial consequences.

Can I insure my cannabis crop before harvest?

Absolutely. Cannabis crop insurance can cover plants from early growth stages through to harvest and processing.

Is product liability included in marijuana farm insurance?

Not by default. Product liability must typically be added separately, especially if you sell to dispensaries, wholesalers, or processors.

What’s the difference between cannabis farm insurance and cannabis business insurance?

Cannabis farm insurance focuses on cultivation risks (crop loss, facility damage). Cannabis business insurance is broader and may include retail liability, branding, transportation, and professional coverage.