“Because not all Insurance and Risk solutions are created equal”
CUSTOM HEMP CROP INSURANCE SOLUTIONS
Elite Risk and Agvesto are bringing world’s first of its kind parametric insurance to protect Hemp Farmers in US.
Our teams have been working on creative solutions for Hemp Farmers and your investors since August 2018.
What is our Mission?
We are aware that as a grower, you face enormous challenges. With Climate change perils, the crop growth remain vulnerable and we are determined to help you in your journey.
Majority of the emerging Hemp industry still remains underserved for financial products and insurance.
We believe there is enormous potential in Hemp economy and its applications to various industries namely Healthcare, Industrial applications. We want to the trusted partner for the Hemp farming community.
This is why we have worked around the clock in the last few months to bring you the best in class simple to use and obtain protection in the form of insurance.
What is a Parametric Insurance Product?
Traditional multi-peril crop cover for outdoor hemp is not readily available given the lack of (recent) farming history for the crop. We currently however have several options and coverages available.
A Parametric insurance product on the other hand provides coverage against specific perils for Hemp growers during the growing season.
Typically the parameters or the indices are designed by Agvesto/Elite Risk and Underwriters that can closely explain the crop loss due to an event.
For example in case of Excess Heat cover, for the farm location, the index can be tracking the daily temperature observed and create a parameter or index using it.
The payout will then be determined by observing this parameter during the grow season.
In addition, our clients can choose from custom cover such as:
What type of Cover as a Hemp farmer I can get?
As a Hemp Farmer, you can get coverage for
- Excess heat
- Excess Precipitation
We are also looking to add the following in coming months
Our more closely aligned to multi-peril cover uses yields for a proxy crop in a nearby farm to the insured. Many other crops, e.g. wheat or corn, have been filing their crop yields for decades and so reported data is relatively available. By way of an example, if the corn yield of a neighbouring farm is affected in any given year, there is a good degree of probability that the insured hemp farm will also be affected.
As such, the crop yield can be used to determine if an insurance payout is due. (There is of course some basis risk for the insured in this scenario because it is possible for different weather experience to be seen even in neighboring farms).
As it relates to providing coverage to your buyer of Offtake, or the investor is looking for some level of financial guarantee based off the projected yield our team has a solution that might be right for you.
Each of the above is a Bespoke written program designed to meet your specific needs and location.
Which states in US we are currently covering?
We can provide cover in the following States – California, Nevada, Oklahoma, Oregon, Minnesota. We are adding Texas soon in Q4 2019.
In 2019 season, we have already rolled out the product to farmers and successfully managed to get coverage delivered.
Things to keep in mind:
We truly are in the Wild West early days of the Hemp crop insurance space. Our team has worked hard to find solutions that are real, will truly pay out the claims, and are backed by some of the largest insurance carriers and investors in the world. With that said, at this time, Crop insurance is quite expensive, takes a lot of time to underwrite, and in most cases our Underwriters want to know the buyer is committed before they will offer indicative bindable terms.
This is rare, and we understand that, so from the Bespoke team here at Elite Risk, we welcome the challenge and the opportunity to find you the crop insurance solution that works for you.
Who are we?
Elite Risk (www.eliterisk.com) is an Insurance Agency specialising in bespoke consumer centric products to its clients. Elite has been serving industry with sophisticated products that traditionally has been hard to find protection.
Agvesto (www.agvesto.com) is an Agricultural Insurance platform looking to mobilise access to capital and insurance to agricultural community worldwide. Agvesto is highly technology oriented company and uses data sources such as earth observation satellites (Radar and Optical), weather station, historical loss data to provide risk analysis to the insurance partners.
How Can I get in touch?
Whether you are in need for insurance or looking to understand about our program, please write to us on