India is an agriculture-based country where nearly 60% of the population directly or indirectly dependent on farming. Notably, due to various natural problems and climatic conditions, farmers face lots of struggles and losses every year. Sometimes due to floods or even drought, farmers have to suffer and bear a lot of financial crises. Moreover, less rain or even sometimes excessive rain also ruin farmers' crops which turned all their hard work useless. In such a situation, the farmer’s condition becomes financially weak. By viewing and analyzing this problem, the Modi government started Pradhan Mantri Fasal Bima Yojana (PMFBY) in January 2016.
Benefits of Pradhan Mantri Fsal Bima Yojana (PMFBY)
Farmers need to pay a uniform premium of only 2% for all Kharif crops and 1.5% for all rabi crops. And, in case of annual commercial and horticultural crops, only a 5% premium will have to be paid as per the rules.
The rates of premium paid by the farmers are very low and the remaining premium is paid by the government to provide full sum insured to the farmers for crop loss in any kind of natural calamities.
Moreover, there is no upper limit on government subsidy. Even if the remaining premium is 90%, it is borne by the government.
Earlier, there was a provision of capping at the premium rate, which led to the farmers paying fewer claims. Now it has been removed and the farmers can claim for the entire sum insured without any deduction.
The use of technology has been encouraged to a great extent. Smartphones, remote sensing drones, and GPS technology are being used to collect and upload crop harvesting data to reduce delays in claim payments.
Moreover, the insurance scheme is regulated by a single insurance company, the Agricultural Insurance Company of India (AIC).
PMFBY is a replacement scheme of the National Agricultural Insurance Scheme (NAIS) and replaced as the revised National Agricultural Insurance Scheme (MNAIS) and therefore it is exempted from the service tax.
From Where to get PMFBY form?
Forms for Pradhan Mantri Fasal Bima Yojana (PMFBY) can be taken both offline (by going to the bank) and online. To fill the form online, you need to go to this link- http://pmfby.gov.in/
Exclusive web portals and mobile apps for Farmers
The Government of India has recently started an insurance portal for better administration, coordination, proper dissemination of information and transparency. Apart from this, an Android-based "Crop Insurance App" has also been launched which can be downloaded from the website of Crop Insurance, Agricultural Cooperation and Farmers Welfare Department (DAC & Family Welfare).
Documents Required for PMFBY
- A photo of the farmer
- Farmer's ID card (PAN Card, Driving License, Voter ID Card, Passport, Aadhaar Card)
- Address proof of the farmer (driving license, voter ID card, passport, Aadhaar card)
- If the field is owned by you, then keep the ‘Khasra’ paper and number/account number together.
- If the crop is sown in the field, the proof has to be presented.
- As proof of this, farmers need to get a letter written from people like Patwari, Sarpanch, Pradhan, Gaon Pradhan, etc.
