Insurance companies made Rs 40,000 Cr in 5 times under PMFYB scheme.

Insurance companies made Rs 40,000 Cr in 5 times under PMFYB scheme.

 

Under the central government's flagship scheme, Pradhan Mantri Fasal Bima Yojana( PMFBY), insurance companies had made around Rs,000 crore between 2016- 17 and 2021- 22, according to a media report on Saturday. 

According to the Times of India report, Narendra Singh Tomar, Union minister for husbandry, said the companies paid claims worth Rs,314 crore to growers against the total decoration collection of Rs,132 crore under PMFBY. 

For the perpetration of the scheme, the government roped in 18 general insurance companies, aimed to give fiscal support to growers suffering crop loss or damage arising out of natural disasters. 

“Since commencement of the scheme till Kharif 2021- 22 season, Rs,190 per hectare has been paid as claims to growers under the scheme," Tomar said in a written response to Rajya Sabha, penetrated by the Times of India. 

Launched six times agone ,the scheme was revamped in 2020, enabling voluntary participation of the growers. It also made it accessible for the planter to report crop loss within 72 hours of the circumstance of any event-- through the Crop Insurance App, CSC Centre or the nearest husbandry officer-- with claim benefits getting transferred electronically into the bank accounts of the eligible planter. 

Under PMFBY, growers pay 2 per cent of the sum ensured as their share of decoration for kharif crops,1.5 per cent for rabi crops and 5 per cent for horticulture and marketablecrops.However, the lower of the two would apply, If the actuarial decoration is lower than this rate. The difference between the actuarial decoration rate and the decoration paid by growers is the subvention participated inversely by the Centre and countries. 

Integration of land records with the PMFBY's National Crop Insurance Portal( NCIP), Crop Insurance mobile app for easy registration of growers, remittance of planter decoration through NCIP, a subvention release module and a claim release module through NCIP are some of the crucial features of the scheme.