PMFBY: 30 Lakh Farmers Benefitted As Government Starts Paying Claims of Crop Loss

After the repeated follow-ups by the office of the Agriculture Commissioner, insurance companies implementing Pradhan Mantri Fasal Bima Yojana (PMFBY) have started paying claims of the crop loss in Maharashtra. 

By the end of this week, it claims to a tune of Rs 1,770 crore have been transferred to accounts of 29.92 lakhs of farmers in the state. The remaining amount would be transferred in the next 7 days, said Agriculture Commissioner Dheeraj Kumar.

Monsoon in Maharashtra has been patchy with a long dry phase in July & August. However, after August, the monsoon revived with vigor & excessive rain was reported in September – October. Agriculture Commissioner’s office had received a total of 47.61 lakh claims for the crop loss both for mid-season adversity as well as a localized calamity. The overall claims amounted to Rs 2,750 crores.

Claims Raised Both Online & Offline

The claims were raised both online & offline by farmers, were not entertained quickly despite the follow-ups by farmers. The State Agriculture Minister Dadasaheb Bhuse had assured of the quick payment as in many districts farmers had reported the complete crop loss due to the unseasonal rain. 

The repeated follow-ups by the office of the Agriculture Commissioner, including the threat of action have prompted insurance companies to start their payment schedule from this week. As of 10th December (Friday), 29.92 lakh beneficiaries have been paid Rs 1,770 crore. The remaining amount is expected to be paid in the coming days.

PMFBY Allows Farmer to Insure Their Crops

The PMFBY allows the farmers to insure their crops against losses due to extreme weather events. The farmers pay a small portion of the premium while the central & state government picks up the maximum share. The farmers have registered the claims online or offline for the losses after which the claims are paid directly into their accounts.

Pradhan Mantri Fasal Bima Yojana has become popular with the enrollments being regular despite the scheme being optional for most of the farmers. The enrolments have been high in Marathwada & Vidarbha, where the crop losses due to extreme climatic events are high.

Dheeraj Kumar, in his capacity as commissioner, has flagged it, threatening action against the companies, which do not adhere to the payment schedule. In the case of some companies, the agricultural commissioner’s office had pointed out low payment history despite the government & farmer share of the premium being received on time.