Pradhan Mantri Fasal Bima Yojana (PMFBY)

PMFBY- Features

1 Applicable to all crops

2 Farmer share of premium- One Season One Rate

No reduction in Sum Insured due to removal of capping on

3 premium.

4 Premium in excess of farmers’ share borne fully by Govt.

5 Enrolment of all loanee farmers for notified crops/area.

PMFBY-Features

Comprehensive risk coverage from pre-sowing to post-harvest

losses :
• Prevented sowing : Claims upto 25% of Sum Insured
6 • On Account Payment due to mid-season adversities
• Localised risks like hailstorm, landslide and inundation
covered .
• Post harvest losses in the field upto 2 weeks after harvest

Timelines for computation and payment of claims substantially

7 reduced.
PMFBY - Status on date 24 States and 3 UT’s participated.

Coverage Details During 2016- Kharif 2016 Rabi 2016-17 Total

2017 (Prov)
Loanee Applications (in lakh) 302 129 431
Non-Loanee Applications (in 102 29 131
lakh)
Total Farmer Applications (in 404 159 563
lakh)
Area Insured (in lakh ha.) 389 176 565
Sum Insured (Rs. in crore) 134670 67742 202412
Gross premium (Rs. in crore) 16736 5554 22290
Estimated Claims (Rs. in crore) 10438 4742 15180
Claims Paid (Rs. crore) 6666 1752 8418
Farmers Benefited (in lakh) 86 7 93
PMFBY – State Wise Share in Coverage
Kharif 2016 (Farmer's Applications)
28%

16% 15%
10% 9% 8%
5% 5% 4%

Rabi 2016-17 (Farmer's Applications)

19% 18% 18%

12%
8% 8% 7% 7% 6%
 PMFBY – Impact

Area Insured as % of GCA Sum Insured (in Lakhs)

30% 25,000,000

25% 20,000,000

20% 15,000,000

15% 10,000,000

10%
5,000,000

5%
-

0%
2012-13 2013-14 2014-15 2015-16 2016-17
PMFBY – Impact (contd...)

Benefit of add-on features to farmers

• Prevented sowing Claims : Tamil Nadu

• On Account Claims : Uttar Pradesh, Chhatishgarh,

Maharashtra, Madhya Pradesh.

• Localised Claims : Andhra Pradesh, Chhatishgarh,

Haryana, Maharashtra, Rajasthan
and Uttar Pradesh.

• Post-harvest Claims : Andhra Pradesh, Manipur and

Rajasthan.
PMFBY – Impact (contd...)

Kharif 2017 Rabi 2016-17

Percentage of Claims against Percentage of Claims against Premium
Premium (Ongoing)
79% 238%
73% 72% 70%
52% 191%

60%
44% 40%
PMFBY – Technology Infusion

Coverage

• National Crop Insurance Portal launched http://agri-insurance.gov.in

• Integration of all stakeholders i.e. Farmers, Govt (Centre /States),

Insurance Companies, Banks, Common Service Centres.

• Use of Common Service Centre (CSC) & payment gateway for non
loanee farmers.

• Land Record Integration

• Karnataka & Gujarat – Completed
• Rajasthan & Odisha - Ongoing
PMFBY – Technology Infusion (Contd…)
Claims Management

• Use of smart phones for

capturing images/data of CCEs

• CCE App launched:

• 3,82,556 CCEs uploaded by 8

States in 2016-17

• Migrate to 100% by Kharif

2017
 PMFBY – Technology Infusion (Contd…)

Remote Sensing Technology

- Satellite data, drone etc.
• Satellite data used in Telangana for
removal of area discrepancy.

• Satellite data / drones used in

Gujarat for Yield data analysis

• Satellite data for rationalization of

No. of CCEs in Odisha

• Satellite data used in Maharashtra

& Odisha for Classification of
risk/cluster.
PRACTICES REQUIRED FOR GOOD GOVERNANCE IN

IMPLEMENTATION OF PMFBY
 STATES

1. Formation of clusters – proper risk mixing of different agro

climatic districts/zones

2. Historical data by States with insurance companies for proper

pricing

3. Early issue of notification and its proper entry on National

Crop Insurance Portal.

4. Adequate Budgetary provisions for upfront premium subsidy

and timely release of the same.

5. Conducting CCEs using Smart Phone App and timely

submission of CCE data to insurance companies.

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 BANKS
1. Promptly transmission of premium to
insurance companies.

2. Providing individual farmers’ details to

insurance companies without delay.

3. Entry of farmers data on the portal.

4. Speedy credit of insurance claim in farmers’

accounts.
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 INSURANCE COMPANIES

1. Availability of adequate manpower

2. Addressing Area Discrepancy issues timely

3. Farmer wise Claims Payment.

4. Timely processing of claims

5. Adequate Reinsurance support

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 Parameters of Evaluation
i) Coverage of insured farmers as compared to
total number of farmers.
ii) Insured non-loanee farmers out of total
farmers in district.
iii)Total coverage of insured crop area as
compared to total crop area in the district.
iv) Electronic submission of CCE results on time.
v)Timely uploading of information for insured
farmers on the crop insurance portal by FIs.
 Parameters of Evaluation (cont…)
iv) Number of publicity campaigns/ Farmers
Awareness Programmes.
vii) Percentage of claims settled .
viii) Innovations adopted in implementation of
schemes.
ix) Transparency/ accountability in the
implementation of the scheme.
AREAS REQUIRING ADEQUATE ATTENTION
1. Protocol for use of RST / Satellite Imageries in
supplementing estimation of yield through CCEs.
2. Protocol for use of Drones in estimation of yield
losses specially due to localized & post harvest
perils.
3. Capturing and conduct of all CCEs through CCE
App.
4. Timely data uploading on Central Web Portal.
4a) E-KYC for all existing farmer accounts by
banks through Aadhar 20
AREAS REQUIRING ADEQUATE ATTENTION
6. Duration of allocation of work to ICs. Contd..

7. Timely issuance of notification.

8. Implementation of PMFBY strictly according to

provisions envisaged in OGs of PMFBY.

9. Providing premium share and relevant data

including yield data timely by States/UTs.

10.Publicity & awareness campaigns through

electronic and print media etc.
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11.Use of CSCs for enrolling non-loanee farmers