Page 65 - Putting Farmers First

Comparison of earlier crop insurance

with PM Fasal Bima Yojana

EARLIER PRADHAN
FEATURE CROP MANTRI
INSURANCE FASAL BIMA
YOJANA
Premium capped
at 9-13% of sum
Capping on insured leading No cap on premium.
Premium /Sum Insured to proportional Farmers get claim
reduction in sum against full sum
insured above insured
capped premium
rates

No. Even if balance
Upper limit on government Yes premium is 90%,
subsidy government pays

All non-preventable
Area Natural risk on natural risk of crop
approach Standing crops cycle – Pre sowing to
Risk post harvest
Coverage Hailstorm, landslide,
Plot level Hailstorm, landslide, inundation, Cloud
Assessment burst , natural fire

Post-harvest Losses coverage Only coastal areas All India – for cyclonic
-for cyclonic rain unseasonal rain and
hail storm

Use of Technology for quicker Ad Hoc Mandatory
claim settlement

Considered a larger Unit of Insurance
For extremely localized reference unit area for loss assessment
calamities or post-harvest losses rather than the is the affected
affected insured insured field of the
field of the individual individual farmer
farmer

Putting Farmers First | 58