Pradhan Mantri Fasal Bima Yojna scheme will now cover the damages to crops caused by wild animal attacks in selected districts on an experimental basis.
For this, the government has amended provisions of crop insurance scheme in consultation with various stakeholders after review of its working for the last two years. The amended provisions of the scheme have been implemented from rabi season October 2018.
Under it, Damages due to individual fields due to incidents of localized disasters like water logging, land slide, cloud bursts, hailstorms and fire too are brought under PMFBY scheme. Besides, insurances firms will also have to spend 0.5% of their earnings from annual premium to advertise provisions of the scheme.
The amended provisions of the PMFBY scheme also charges fines in cases of delay of two months in clearing insurance claims for crop damages. It will have to pay an annual interest of 12%. Also, State government too will have to pay interest of 12% in case of delay in the release of state’s share of subsidy in premium to insurance firms.
PMFBY is farmers’ welfare scheme was launched on 18th February 2016 by Prime Minister Narendra Modi.It aims to ensure faster insurance services or reliefs to farmers.
PMFBY scheme aims to reduce the premium burden on farmers and ensure the early settlement of crop assurance claim for the full insured sum.
PMFBY scheme covers all food & oilseeds crops and annual commercial and horticultural crops.