The Pradhan Mantri Fasal Bima Yojana (PMFBY), launched in 2016, is a government-backed crop insurance scheme to protect Indian farmers from financial losses caused by risks like unpredictable weather, natural disasters, and pest infestations. By providing comprehensive coverage, PMFBY insurance ensures compensation for losses, helping farmers sustain their livelihoods.

In this composition, we’ll explore the crucial aspects of the Pradhan Mantri Fasal Bima Yojana scheme, its eliminations, rejections, eligibility criteria, and the specific pitfalls it covers.

The Pradhan Mantri Fasal Bima Yojana (PMFBY) is a crop insurance scheme aimed at reducing the fiscal burden on farmers due to crop losses. It's a voluntary scheme, open to all, and is enforced across India through cooperation between state governments and insurance companies.

PMFBY covers both the Kharif and Rabi seasons crops and is designed to shield farmers from

• Natural disasters like famines, cataracts, and cyclones

• Pest attacks and conditions

• Post-harvest losses

The Pradhan Mantri Fasal Bima Yojana’s primary ideal is to shield farmers from the losses associated with rainfall, natural disasters, and other circumstances that could negatively impact their crop yields.

The scheme seeks to:

• Encourage farmers to adopt modern agricultural practices by minimizing the risks involved as crop failures are covered by insurance.

• Ensure credit flow for agricultural activities by insuring farmers against potential losses.

• Promote crop insurance in India and reduce reliance on traditional farming methods vulnerable to risks.

The scheme is highly subsidized by the government, meaning farmers only pay a minimal portion of the premium, while the government covers the remainder. For loanee farmers, PM kisan bima yojana is compulsory if they have taken crop loans from financial institutions. Non-loanee farmers, on the other hand, can voluntarily apply.

Also Read: PMFBY Crop Insurance – A Quick Summary on Registration, Eligibility & Documents

Inclusions of PMFBY

PM Fasal Bima Yojana scheme covers:

1. Farmers are compensated if adverse weather conditions like heavy rainfall or drought prevent sowing.

2. Losses due to natural calamities such as floods, droughts, cyclones, pest attacks, and diseases are covered under PM Fasal Bima.

3. Losses that occur during the post-harvest period, particularly those caused by cyclonic rains or unseasonal rainfall, are covered. This protection extends to crops that are left in the field for drying.

While PMFBY insurance offers comprehensive coverage, certain exclusions apply:

• Losses arising from negligence or poor farming practices.

• Intentional destruction or damage to crops by the farmer.

• Losses caused by war, nuclear risks, or riots.

• Damage that occurs beyond the stipulated reporting period or delay in reporting damage after an event.

Farmers have to pay a minimal share of the total premium, while the government covers the rest. The insurance charge payable by the farmer is as follows:

Also Read: What Is the Claim Process Under Pradhan Mantri Fasal Bima Yojana?

What are the Risks Covered Under Pradhan Mantri Fasal Bima Yojana?

The PM Kisan Bima Yojana covers a comprehensive range of risks, safeguarding crops during various stages of cultivation:

1. Natural Calamities: PMFBY insurance protects farmers from natural disasters such as floods, droughts, cyclones, landslides, and earthquakes. These calamities can severely impact crop health and yield, leading to significant financial losses.

2. Pests and Diseases: The scheme provides coverage against pest infestations and crop diseases that can destroy fields. Insects, fungal infections, and bacterial diseases pose a serious threat to crop production, and PMFBY insurance ensures compensation in such events.

3. Localized Calamities: Events like hailstorms, cloudbursts, and landslides that affect specific areas or a small group of farmers are also covered. These localized weather conditions, though not widespread, can devastate small farming communities, and PM Fasal Bima Yojana offers much-needed relief.

4. Post-harvest Losses: PMFBY insurance extends to post-harvest losses caused by cyclonic rains, unseasonal rainfall, and other weather anomalies. This coverage is particularly crucial for crops left in the field for drying after harvest. Events like hail storms and heavy rains can drastically reduce the crop’s value, but farmers are compensated accordingly.

Conclusion

The PM Fasal Bima Yojana scheme protects farmers from risks like natural disasters, pests, and post-harvest losses. PMFBY insurance ensures timely support, and SBI General Insurance offers a reliable claims process to help farmers secure their livelihoods.

Frequently Asked Questions

Crop insurance protects farmers from financial losses due to unpredictable risks like natural disasters and pests, ensuring a stable income.

Weather-based crop insurance provides compensation based on deviations in weather conditions (rainfall, temperature, etc.) rather than actual crop damage.

The sum insured under PMFBY is calculated based on the scale of finance determined by the state for each crop.

PMFBY covers risks such as natural calamities, pest attacks, and post-harvest losses, but excludes intentional damage, war, and negligence.

Disclaimer: The above information is indicative in nature. For more details on the risk factor, terms and conditions, please refer to the Sales Brochure and Policy Wordings carefully before concluding a sale.