5 Things You Need to Know About the Pradhan Mantri Fasal Bima Yojana

Posted by Riya sharma on February 17th, 2021

Agriculture is one of the most important sectors of our Indian economy. To ensure that this sector stays financially safe and progresses at the right speed, the government of India has developed the Pradhan Mantri Fasal Bima Yojana. It is a crop insurance scheme that aims to provide affordable crop insurance to farmers across the country. Launched in 2016 under the motto, ‘One Nation, One Crop, One Premium’, the insurance scheme has many interesting features to look for. Let’s consider them in detail. 

1. Extensive coverage

The Pradhan Mantri Fasal Bima Yojana offers comprehensive coverage to crops against a variety of non-preventable risks. The risks covered include drought, dry spells, flood, inundation, storms, hailstorms, lightning, landslides, cyclones, pests, and diseases widely spread, fires caused due to natural reasons, and so on. 

2. Additional coverage through add-ons 

The state governments and UTIs can choose from a variety of add-on offered along with the basic product. The decision will be taken in talks with the State Level Co-ordination Committee on Crop Insurance (SLCCCI) with due consideration for the requirements of the particular area.  The add-ons are - 

I. Prevented sowing - If farmers in a notified area are prevented from sowing crops due to germination failure, bad weather conditions, bad rainfall, and so on, then they are eligible for 25% of the sum insured under the Pradhan Mantri Fasal Bima Yojana. 

II. Adversity during the mid-season - If bad weather conditions such as long dry spells, intense drought, floods, and so on, affect the expected yield negatively, then the farmer can raise a claim and get compensation for the same. 

III. Localized calamities - If localized risks such as inundation, landslide, cloudburst, natural fires, and so on affect the notified insured crops adversely, then the farmer is eligible for compensation under the Pradhan Mantri Fasal Bima Yojana. 

IV. Losses occurring post-harvest - The crop insurance scheme provides coverage to farmers if their harvested crops suffer damage due to certain natural calamities such as cyclonic rains, unseasonal rains,  cyclones, and so on. 

3. Eligibility criteria for crop insurance 

The Pradhan Mantri Fasal Bima Yojana can be availed by all farmers. This includes sharecroppers and tenant farmers as well. As long as farmers are growing the notified crops in which they have an insurable interest, they can file for claim under the scheme. Non-loanee farmers will have to submit necessary documents regarding land ownership to the concerned authorities to be eligible for this scheme. 

4. Major seasons and crops covered 

All food grains such as cereals, millets, pulses, oilseed crops will be covered in the cropping seasons of Kharif and Rabi. Along with the same, annual horticultural crops and annual commercial crops shall also be given coverage under the Pradhan Mantri Fasal Bima Yojana. 

5. Exclusions of the crop insurance scheme

The Pradhan Mantri Fasal Bima Yojana excludes certain events that can cause damage to the crops. These include war and nuclear risks, malicious damages, and other risks that can be prevented. 

For detailed information regarding the coverage and other aspects of this crop insurance scheme, it is advisable to contact a professional.

We hope this article has helped you understand the Pradhan Mantri Fasal Bima Yojana in a better way.