Lok Sabha Question No. 2807 (UNSTARRED), answered on 2016-03-15
Subject: Operational Guidelines for PMFBY
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: PR. SENTHILNATHAN

## GOVERNMENT OF INDIA

## MINISTRY OF AGRICULTURE AND FARMERS WELFARE DEPARTMENT OF AGRICULTURE, COOPERATION AND FARMERS WELFARE

## LOK  SABHA UNSTARRED QUESTION NO. 2807

TO BE ANSWERED ON THE 15 TH   MARCH, 2016

## OPERATIONAL GUIDELINES FOR PMFBY

## 2807.   SHRI PR. SENTHIL NATHAN:

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

- (a) whether  the  Union Government  has  recently released operational guidelines for implementation of Pradhan Mantri Fasal Bima Yojana (PMFBY);
- (b) if so, the details thereof; and
- (c) the advantages/benefits under the said guidelines?

## ANSWER

## MINISTER OF STATE IN THE MINISTRY OF AGRICULTURE AND FARMERS WELFARE

कृ ष एवं कसान कयाण मंालय म राय मंी (SHRI  MOHANBHAI  KUNDARIYA)

- (a): Yes, Madam.

(b): & (c): The existing crop insurance scheme namely, National Crop Insurance Programme (NCIP) with its three component schemes viz. Modified National Agricultural Insurance Scheme (MNAIS),  Weather  Based  Crop  Insurance  Scheme  (WBCIS)  &  Coconut  Palm  Insurance Scheme (CPIS) and National Agricultural Insurance Scheme (NAIS) have been comprehensively reviewed and Government of India has recently approved the Pradhan Mantri Fasal Bima Yojana (PMFBY) which would replace the existing schemes of National Agricultural Insurance  Scheme  (NAIS)  &  Modified  National  Agricultural  Insurance  Scheme  (MNAIS)  from ensuing Kharif 2016.   Government has also circulated the Operational Guidelines of the new scheme  on  the  basis  of  which  the  scheme  would  be  actually  implemented  by  all  the stakeholders including States/UTs, insurance companies, financial institutions etc.

PMFBY  is  a  marked  improvement  over  the  earlier  schemes  on  several  counts  and comprehensive risk coverage from pre-sowing to post-harvest losses has been provided under it.   Unit area of insurance has been reduced to village/village panchayat level for major crops where  claims  will  be  settled  on  unit  area  basis.    However,  for  localized  risks  like  hailstorm, landslide and inundation, claims will be settled on individual farm basis. The premium payable by  farmers  has  been  substantially  reduced  and simplified  and there is  One premium rate  on pan-India basis for farmers which would be maximum 1.5%, 2% and 5% for all Rabi, Kharif and annual horticultural/commercial crops, respectively.    Other improved features of the scheme are -  no capping on premium with no deduction in sum insured;  provision for coverage of the risk of post harvest  losses due to cyclonic & unseasonal  rains will be applicable on pan-India level,  allocation  of  districts/areas  on  cluster/  group  basis  and  for  longer  period  to  insurance companies,  for more effective implementation, as well as use of remote sensing technology & use of smartphone for getting images of Crop Cutting Experiments  etc. for early settlement of claims have also been introduced.  Salient features of the scheme are annexed.

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