The Indian agricultural sector is the backbone of the nation’s economy, employing a significant portion of the workforce. However, farmers are constantly exposed to various risks, such as unpredictable weather patterns, pests, and diseases. These factors can lead to devastating crop losses, impacting their income and livelihoods. In response, the Government of India launched the Pradhan Mantri Fasal Bima Yojana.
What is Fasal Bima Yojana? Let’s find out.
What is Pradhan Mantri Fasal Bima Yojana (PMFBY)?
Launched in 2016, PMFBY is a government-sponsored crop insurance scheme that provides financial assistance to farmers against crop losses arising from unforeseen events. It is the world’s largest crop insurance scheme regarding farmer participation and the third largest globally based on premium.
Pradhan Mantri Fasal Bima Yojana provides comprehensive insurance coverage for numerous crops, protecting farmers from yield losses due to natural calamities, pests, and diseases.
Pradhan Mantri Fasal Bima Yojana Benefits for Farmers
What is PM Fasal Bima Yojana? A basket of advantages to farmers for ensuring their financial stability in the agricultural sector! Following are the PM Fasal Bima Yojana benefits:
- Financial Security
In the event of crop failure due to covered risks, PMFBY provides financial compensation to farmers. This Fasal Bima Yojana benefit helps them recover their losses, continue farming activities, and prevent them from being in debt.
- Reduced Risk Aversion
The knowledge of having insurance coverage encourages farmers to adopt innovative agricultural practices and invest in new technologies. They are less apprehensive about taking risks, knowing PMFBY will protect them.
- Stability in Income
PMFBY helps farmers to stabilise their income by providing financial assistance during crop failures. These PMFBY benefits allow for a steady flow of income to meet their basic needs.
- Enhanced Loan Eligibility
PMFBY insurance coverage can improve a farmer’s creditworthiness. Banks and other financial institutions are more likely to provide loans to farmers with crop insurance, as it reduces the risk of loan defaults.
- Improved Food Security
The PM crop insurance scheme indirectly contributes to India’s food security by protecting farmers from financial losses due to crop failures. Stable farmer income means continued agricultural production, leading to a steady supply of food grains for the nation’s growing population.
Understanding the question, ‘What is Pradhan Mantri Fasal Bima Yojana?’ will allow farmers to take advantage of this lifeline.
Pradhan Mantri Fasal Bima Yojana List: Covered Crops and Perils
PMFBY covers various crops for comprehensive protection for farmers. The Pradhan Mantri Fasal Bima Yojana list of insurable crops includes food and oilseeds, pulses, annual commercial/horticultural crops, and tuber crops. The specific crops covered under PMFBY may vary depending on the state and season.
The Pradhan Mantri Fasal Bima Yojana list also includes insurance coverage against various perils that can damage crops. These perils can be:
- Natural perils like drought, floods, inundation, hailstorms, cyclones, earthquakes, landslides, and pest attacks
- Post-harvest losses arising from specified perils during the defined period after harvest
What Is PM Fasal Bima Yojana’s Eligibility
To benefit from the PM crop insurance scheme, farmers must meet the following eligibility criteria:
- All farmers growing notified crops in designated areas are eligible for the scheme.
- The scheme includes loanee and non-loanee farmers, sharecroppers, and tenant farmers.
- Farmers must enrol before the cut-off date specified by the state government.
How To Apply PMFBY?
Here’s a step-by-step guide to take a step towards availing PMFBY benefits:
- Visit the nearest Common Service Centre (CSC) or the state agriculture department’s official website.
- Complete the application form with accurate details about crop cultivation, landholding, and other information.
- Once your application is accepted, pay the subsidised premium and receive the insurance policy document. The premium amount is calculated based on factors like the type of crop, the area sown, and the chosen level of coverage.
- Upon successful application and premium payment, you will receive a PMFBY policy receipt as proof of your insurance coverage.
What Is Fasal Bima Yojana Claim Process?
In the unfortunate event of crop loss due to an insured peril, farmers can file a claim under PMFBY. Here’s the claim process:
- Inform the local agriculture department or designated insurance company representative within the stipulated timeframe (around 48 to 72 hours) after the crop loss incident.
- Officials from the agriculture department and insurance company will visit the affected field to assess the extent of crop damage.
- The insurance company will determine the claim amount payable to the farmer based on the crop loss assessment report. The amount is calculated based on the sum insured, type of crop loss, and prevailing market prices.
Pradhan Mantri Fasal Bima Yojana is a revolutionary initiative by the Government of India that empowers farmers by providing financial security against crop losses. You can buy the PM Fasal Bima Yojana policy with Generali Central and uplift your agricultural practices with the assurance of timely compensation and comprehensive coverage.
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