New Delhi: A revamped crop insurance scheme launched by the government in 2016 has brought more crop area under insurance but faltered in its promise of faster settlement of claims and providing relief to farmers in states hit by severe drought in an otherwise normal monsoon year.
Under the revamped Pradhan Mantri Fasal Bima Yojana (PMFBY), insurance companies collected Rs15,686 crore in premium from farmers, the centre, and state governments for the Kharif (summer crop) of 2016, the government told the lower house of the Parliament in a written reply on 18 July.
Insurance companies have received claims of Rs5,621 crore so far (for Kharif 2016), but have settled claims for just 65% or Rs3,634 crore, data included in the reply shows. The settlement ratio is poor given that claims are submitted not by farmers but the government machinery on their behalf. Also the claims settlement has been delayed by more than seven months as the farmers harvested their crops in November last year. Read more
Under the revamped Pradhan Mantri Fasal Bima Yojana (PMFBY), insurance companies collected Rs15,686 crore in premium from farmers, the centre, and state governments for the Kharif (summer crop) of 2016, the government told the lower house of the Parliament in a written reply on 18 July.
Insurance companies have received claims of Rs5,621 crore so far (for Kharif 2016), but have settled claims for just 65% or Rs3,634 crore, data included in the reply shows. The settlement ratio is poor given that claims are submitted not by farmers but the government machinery on their behalf. Also the claims settlement has been delayed by more than seven months as the farmers harvested their crops in November last year. Read more