Launched as a part Pradhan Mantri Fasal Bima Yojana (PMFBY) is a scheme aimed with the sole purpose of helping the farmers. The scheme was earlier launched by the Prime Minister of India on the 13th of January, 2016.
The scheme is completely kept with a view of helping the farmers by providing them with a crop insurance plan at a low premium. Under the scheme, the farmers have been promised to be provided with the financial support needed to build the agricultural industry in Andhra Pradesh.
Table of Contents
Empaneled insurance companies
- Agricultural Insurance Company of India (AIC)
Privately owned companies
- ICICI-Lombard General Insurance
- HDFC-ERGO General Insurance
- IFFCO-Tokio General Insurance and
- SBI General Insurance, for the implementation of the mega scheme
How will the scheme function?
“The development of the yield protection plan would rely upon the quantity produced by the agriculturists willfully settling on it. Lower premium rates may urge more ranchers to take up edit protection as per” Ajay Vir Jahkar, administrator, Bharat Krishak Samaj.
Implementation of the scheme
Under the new plan being actualized from Kharif period of 2016, the premium paid by ranchers had been lessened to 2% of the protected an incentive for the more rain-subordinate Kharif edit and 1.5% for the rabi season, contrasted and 3.5-8% charged for the two before plans – National Agricultural Insurance Scheme (NAIS) and Modified National Agricultural Insurance Scheme (MNAIS). On account of plant edits, ranchers’ top notch weight will be 5% of the whole guaranteed or half of the aggregate premium.
Benefit of the scheme
- Farmers would get full whole safeguarded with no diminishment or bothers from the 11 assigned insurance agencies if regular disasters assault their harvests.
- Another benefit under the scheme is that any losses incurred by them at any stage of the farming activity- from the sowing to the post-harvest season- would be covered.
- The new plan will build the wage and resultant increment in the rustic request of the farmers.
Objectives of the scheme
- The scheme is aimed at bringing an increase in the income of the farmers
- The scheme would also allow for the farmers to live a better lifestyle
- This would allow the farmers to invest in better machinery to do better farming
- To provide the insurance scheme to all the farmers in the state
- Lower premium rates might encourage more farmers to take up crop insurance
What does the scheme contain?
Banks will be squarely responsible. In the case, if there is crop loss to the beneficiary farmer who is not insured, the bank will have to make good for the losses. The onus is currently on banks and insurance agencies to convey”, Ashish Kumar Bhutani, Joint Secretary, Agriculture Ministry as of late said. He said that the administration is attempting to bring non-recipient agriculturists, for example, tenant farmers too inside the PMFBY overlay. “There is a different council of the administration investigating the land renting arrangement and we ought to have the capacity to address the part of tenant farmer likewise getting the advantage of yield protection,” he noted.
As per specialists say that PMFBY, if actualized legitimately the nation over, would moderate ranch misery to a substantial degree particularly when the inconsistent atmospheres have turned into a standard as opposed to the exemption.