Lok Sabha Question No. 5053 (UNSTARRED), answered on 2025-04-01
Subject: Pending Insurance Claims under PMFBY
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: Shri Amra Ram

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

## LOK SABHA UNSTARRED QUESTION NO. 5053

TO BE ANSWERED ON THE 1 ST  APRIL, 2025

## PENDING INSURANCE CLAIMS UNDER PMFBY

5053. SHRI AMRA RAM:

Will the Minister of AGRICULTURE AND FARMERS WELFARE क ृ िष एवं िकसान कʞाण मंũी be pleased to state:

(a) the names of districts where insurance claims of farmers are outstanding during the last four years under Pradhan Mantri Fasal Bima Yojana (PMFBY) and the time by which the payment is likely to be made; and

(b) whether the determination of claims through satellite has been implemented under PMFBY and the manner in which the loss would be determinate through satellite during the winter session, for the crop like gram and mustard as they looks green their seeds not developed?

## ANSWER

MINISTER OF STATE FOR AGRICULTURE AND FARMERS WELFARE क ृ िष एवं िकसान कʞाण राǛ मंũी (SHRI RAMNATH THAKUR)

(a) : Majority of the claims under Pradhan Mantri Fasal Bima Yojana (PMFBY) are settled  within the stipulated timelines under the Operational Guidelines of the scheme by the insurance companies.  However, during the implementation of PMFBY, some issues were encountered  regarding non-payment, delayed payment or under payment of claims on account of incorrect/delayed submission of insurance proposals by banks; discrepancy  in  yield  data  &  consequent  disputes  between  State  Government  and insurance  companies,    delay  in  providing  State  Government  share  of  funds,  nondeployment of sufficient personnel by insurance companies etc.,  which were suitably addressed as per provisions of the scheme.

In  order  to  rigorously  monitor  claim  disbursal  process,  a  dedicated  module namely 'Digiclaim  Module' has  been  operationalized  for  payment  of  claims  from Kharif 2022 onwards. This modules gives GOI visibility of claims payable, claims paid and pending. This is used for monitoring of claims, which was not possible earlier.  It involves  integration  of  National  Crop  Insurance  Portal  (NCIP)  with  Public  Finance Management  System  (PFMS)  and  accounting  system  of  Insurance  Companies  to provide  timely  &  transparent  processing  of  all  claims.    W.e.f.  Kharif  2024,  in  case payment is not made timely by Insurance Company, penalty of 12% is auto-calculated and levied through NCIP.   This is the first season for implementation of auto calculated penalty on NCIP and Department is taking all necessary steps for its enforcement.

Prior to Kharif  2022, District-wise details of claims were not maintained under PMFBY.  Hence, State-wise details of claims reported and claims paid to farmers during last four years i.e. 2020-21 to 2023-24 is provided at Annexure .

(b) :     Keeping  in  view  various  difficulties  like  increase  in  number  of  Crop  Cutting Experiments  (CCEs)  due  to  reduction  in  unit  area  of  insurance  to  village/village panchayat, shortage of manpower/infrastructure with States, short window available for conducting of CCEs, manual data collection and transmission resulting in delay in calculation  and  settlement  of  claims;  it  has  been  decided  to  infuse  technology  in estimation  of  yield.      Accordingly,  based  on    the  different  pilot  studies,  conducted through Mahalanobis National Crop Forecasting Centre (MNCFC), it has been decided to implement YES-TECH (Yield Estimation System Based on Technology) for gradual migration to Remote-Sensing based yield estimation to help assess yields in fair and transparent  manner . Under  YESTECH,  various  models  using  various  inputs  like remote sensing data, soil moisture data etc., have been developed and implemented. This initiative has been launched for paddy & wheat crops from Kharif 2023  and for soybean crop from Kharif 2024 wherein 30% weightage to yield estimation is to be mandatorily  be  assigned  to  YES-TECH  derived  yield.      10  major  States  namely, Maharashtra,  Andhra  Pradesh,  Madhya  Pradesh,  Assam,  Haryana,  Odisha,  Tamil Nadu,  Karnataka  ,  Rajasthan,  Uttar  Pradesh  have  adopted  the  YES-TECH  as  on Kharif  2024  season.  Chhattisgarh,  Jharkhand,  Himachal  Pradesh,  Uttarakhand, Puducherry, Telangana are in the process to join YESTECH.  Madhya Pradesh State Government has decided to estimate the 100% yield through YESTECH.    This is helping in accurate & timely calculation and settlement of claims under the scheme.

Annexure

## State-wise details of claims reported and paid under PMFBY during last four

## years i.e.  2020-21 to 2023-24 - As on 31.01 2025

| State/UT Name     | Reported Claims   | Paid Claims    |
|-------------------|-------------------|----------------|
|                   | (Rs. In Crore)    | (Rs. In Crore) |
| Andhra Pradesh    | 2,398.14          | 567.02         |
| Assam             | 560.93            | 520.94         |
| Chhattisgarh      | 3,376.59          | 3,372.98       |
| Goa               | 0.00              | 0.00           |
| Haryana           | 5,787.53          | 5,736.12       |
| Himachal Pradesh  | 229.17            | 224.05         |
| Jammu & Kashmir   | 96.97             | 94.20          |
| Karnataka         | 6,757.27          | 6,695.49       |
| Kerala            | 403.36            | 397.20         |
| Madhya Pradesh    | 12,692.90         | 12,296.04      |
| Maharashtra       | 20,352.26         | 19,725.50      |
| Manipur           | 5.13              | 5.08           |
| Meghalaya         | 9.12              | 8.71           |
| Odisha            | 2,475.63          | 2,404.45       |
| Puducherry        | 26.18             | 24.73          |
| Rajasthan         | 16,708.94         | 16,263.53      |
| Sikkim            | 1.10              | 0.56           |
| Tamil Nadu        | 5,167.54          | 5,145.95       |
| Tripura           | 6.10              | 5.51           |
| Uttar Pradesh     | 2,891.19          | 2,839.48       |
| Uttarakhand       | 643.07            | 637.89         |
| Total (All India) | 80,589.11         | 76,965.42      |

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