Lok Sabha Question No. 3161 (UNSTARRED), answered on 2022-03-22
Subject: Timely Payment of PMFBY Compensation
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: R.K. Singh Patel

## GOVERNMENT OF INDIA MINISTRY OF AGRICULTURE AND FARMERS WELFARE DEPARTMENT OF AGRICULTURE AND FARMERS WELFARE

## LOK SABHA UNSTARRED QUESTION NO. 3161

TO BE ANSWERED ON THE 22 ND  MARCH, 2022

## TIMELY PAYMENT OF PMFBY COMPENSATION

3161. SHRI R.K. SINGH PATEL:

Will  the  Minister  of  AGRICULTURE AND FARMERS WELFARE कृ िष एवं कसान कयाण मंी be pleased to state:

(a) whether insurance claims are being paid to farmers on time after crop damage/failure under the Pradhan Mantri Fasal Bima Yojana (PMFBY); (b)  whether  the  insurance  claims  of  crop  damage  in  Banda  and  Chitrakoot  districts including Bundelkhand of Uttar Pradesh during the years 2018-19, 2019-20 and 202021 are still pending; (c)  whether  the  Government  proposes  to  take  steps  for  timely  payment  of  all  these outstanding claims; (d)  if  so,  the  details  thereof  and  the  time  by  which  the  complete  payment  of  these outstanding claims is likely to be made; and

(e) if not, the reasons therefor?

## ANSWER

## MINISTER OF AGRICULTURE AND FARMERS WELFARE

कृ िष एवं कसान कयाण मंी (SHRI NARENDRA SINGH TOMAR)

(a) to (e) :  The admissible claims under the Pradhan Mantri Fasal Bima Yojana (PMFBY) are generally paid by the concerned insurance companies within two months of completion of  Crop Cutting Experiments (CCEs)/harvesting period and one month of notification for invoking  the  risks/perils  of  prevented  sowing,  mid-season  adversity  and  post  harvest losses, respectively subject to receipt of total share of premium subsidy from concerned Government within time.  However, settlement of few claims in some States got delayed due  to  reasons  like  delayed  transmission  of  yield  data;  late  release  of  their  share  in premium subsidy, yield related disputes between insurance companies and States, nonreceipt  of  account  details  of  some  farmers for  transfer  of  claims  to  the  bank  account  of eligible farmers and National Electronic Fund Transfer (NEFT) related issues, erroneous/incomplete entry of individual farmers data on National Crop Insurance Portal (NCIP), delay in remittance of farmers share of premium/non-remittance of farmers share of premium to concerned insurance company etc.

This  Department  is  regularly  monitoring  the  implementation  of  PMFBY  including timely settlement of claims through weekly video conference of stakeholders, one to one meetings with insurance companies/States etc.  Insurance companies have to pay penal interest @12% per annum to the farmers for the period beyond the stipulated period in the PMFBY Guidelines from the date of receipt of final yield data from the State Government and  completion  of  crop  damage  survey.    State  Governments  have  been  advised  to calculate the admissible interest if any, and direct the concerned insurance companies to pay to eligible farmers.

Various  innovative  technologies  are  also  adopted  to  increase  the  flow  of  requisite information/data  amongst  stakeholders.    Further, this Department  is  also  regularly reviewing the schemes in consultation with State Governments and other stakeholders to streamline the process for early settlement of claims and to provide timely and adequate benefits to the eligible farmers under the scheme.

State Government of Uttar Pradesh has informed that all the admissible claims as per provisions  of  the  scheme  have  been  paid  in  Budelkhand  region  including  Banda  and Chitrakoot districts of Uttar Pradesh for 2018-19, 2019-20 and 2020-21 and no admissible claims are pending. Details of paid claims are given below :

| Claims Reported & Paid under PMFBY (Rs. in lakh)   | Claims Reported & Paid under PMFBY (Rs. in lakh)   | Claims Reported & Paid under PMFBY (Rs. in lakh)   | Claims Reported & Paid under PMFBY (Rs. in lakh)   |
|----------------------------------------------------|----------------------------------------------------|----------------------------------------------------|----------------------------------------------------|
| District                                           | 2018-19                                            | 2019-20                                            | 2020-21                                            |
| Banda                                              | 180.13                                             | 152.32                                             | 343.17                                             |
| Chitrakoot                                         | 205.81                                             | 477.94                                             | 28.76                                              |
| Bundelkhand                                        | 24089.73                                           | 66998.18                                           | 21007.30                                           |

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