Pradhan Mantri Fasal Bima Yojana: Protecting Farmers against Crop Failure

Table of Contents 

• What is Pradhan Mantri Fasal Bima Yojana (PMFBY)?
• What are the Objectives of Pradhan Mantri Fasal Bima Yojana? 
• What are the Advantages of Pradhan Mantri Fasal Bima Yojana?
• Risks Covered in PMFBY
  • Yield Loss 
  • Prevented Sowing 
  • Post Harvest Loss 
  • Localized Calamities 
• What is the Eligibility Criteria for Pradhan Mantri Fasal Bima Yojana? 
• Documents Required for Pradhan Mantri Fasal Bima Yojana 
• How to Apply for the Pradhan Mantri Fasal Bima Yojana? 
• How to Claim for the Pradhan Mantri Fasal Bima Yojana? 
• Recent Achievements and Developments of PMFBY
• Transforming Indian Agriculture through PMFBY

What is Pradhan Mantri Fasal Bima Yojana (PMFBY)?

Pradhan Mantri Fasal Bima Yojana, also known as PMFBY, is a flagship crop insurance scheme for farmers that was launched in 2016 by the Ministry of Agriculture & Farmers Welfare. This scheme offers comprehensive crop coverage to all Indian farmers, including those who are involved in subsistence farming. It was launched to protect farmers from losses due to any crop damage caused by natural calamities.

What are the Objectives of Pradhan Mantri Fasal Bima Yojana? 

The Pradhan Mantri Fasal Bima Yojana works on One Nation, One Crop, and One Premium. The main objectives of the PMFBY scheme are: 

• To stabilize farmers’ income and ensure their continuance in farming. 
• To provide financial support to farmers in case of any crop failure due to natural calamities.
• To inspire farmers to go for innovative and modern farming practices. 
• To ensure proper credit flow in the agriculture sector. 

What are the Advantages of Pradhan Mantri Fasal Bima Yojana? 

• This scheme offers comprehensive insurance coverage for Rabi and Kharif crops. 
• It has minimum premium and give maximum insurance to farmers.
• It is optional for both loanee and non-loanee farmers. 
• This scheme provides stability for the farmers and helps them continue farming. 
• The government also focusing on tech driven approaches like remote sensing, smartphones, and drones for rapid crop loss assessment and claim settlements. The National Crop Insurance Portal (NCIP) digitizes processes for seamless farmer-insurer-bank interaction.

Risks Covered in PMFBY

There are certain risks to be covered in Pradhan Mantri Fasal Bima Yojana (PMFBY). These are:

Yield Loss 

Under this scheme, comprehensive risk insurance is offered to cover yield loss because of non-preventable risks, such as: 

• Natural Fire and Lighting 
• Flood, Inundation and Landslides 
• Storms, Hailstorms, Hurricanes, Typhoons, Cyclones, Tempest, Tornados, etc. 
• Drought, Dry spells 
• Pests/Diseases, etc. 

Prevented Sowing 

In some cases, when a majority of farmers want to sow or plant some crops in an area, which is prevented from sowing the insured crops due to deficit rainfall or adverse climatic conditions. In that case, they are eligible for indemnity claims of up to 25% of the total sum insured. 

Post Harvest Loss

In post-harvest loss, the coverage is available for 14 days from crop harvesting, which is kept in a “cut & spread” state to dry on the farms after harvesting against certain perils of cyclonic rains/ unseasonal rains all over the country. 

Localized Calamities 

This scheme covers the loss/damage caused by the occurrence of identified localized risks, such as landslides, hailstorms, and inundation affecting isolated farms in the notified region. 

What is the Eligibility Criteria for Pradhan Mantri Fasal Bima Yojana? 

• Farmers must cultivate crops or must be sharecroppers on the insured farmland. 
• They must have an authentic and valid land ownership certificate or land tenancy agreement. 
• They must have applied for insurance coverage within the allotted time, which is around two weeks from the start of the sowing/planting season. 
• They must not get compensation from other sources for the same crop loss. 
• They must have Aadhar Card and a valid bank account, the details of which to be furnished during allotment. 
• Every farmer growing notified crops in a notified area during season time having an insurable interest is eligible for this scheme. 

Documents Required for Pradhan Mantri Fasal Bima Yojana 

1. Aadhar Card 
2. Bank Account Number 
3. Address Proof
4. Passbook
5. Evidence of Land Records
6. Ration Card 
7. Farmer’s passport-size photograph 
8. Driving license 
9. Declaration about the Crop Sown

How to Apply for the Pradhan Mantri Fasal Bima Yojana? 

Step 1: Visit the official portal of the Pradhan Mantri Fasal Bima Yojana. 

Step 2: Tap on Farmer Corner. 

Step 3: Now click on Guest Farmer and fill out the complete details correctly. 

Step 4: After that, click on submit, and an account will be created. 

Step 5: Now, fill in all the required details in the insurance scheme form. 

And you are done! Post-approval of the claimed insurance amount, the amount will be directly credited to your account through Direct Benefit Transfer Scheme.

How to Claim for the Pradhan Mantri Fasal Bima Yojana? 

• In case of crop loss, you need to file a claim with the insurance company within the prescribed time frame, which is around 72 hours from the incidence of loss. 
• You must provide the information of the concerned person/company by logging onto the portal and tapping on “Report Crop Loss.” You can also download the official PMFBY app and report the crop loss there. 
• The crop loss claim must be accompanied by support documents, which include the damaged crop photographs and a report prepared by the village-level committee (VLC) or the Department of Agriculture. 

Recent Achievements and Developments of PMFBY

• The Union Cabinet approved an outlay of Rs. 69,515.71 Crore from 2021-22 to 2026-26 for the Pradhan Mantri Fasal Bima Yojana.
• Since 2016, a total of 78.41 crore applications have been insured, and Rs. 1.83 lakh crore in claims have been paid under PMFBY.
• Farmer enrolment rose by 32% from 3.17 crore (2022–23) to 4.19 crore (2024–25), the highest since launch.
• The Union Cabinet has also approved the creation of a fund for Innovation and Technology (FIAT) with a corpus of Rs. 824.77 Crore.
• Non-loanee farmer applications grew from 20 lakh (2014–15) to 522 lakh (2024–25), reflecting wider adoption.
• It also focuses on the Yield Estimation System using Technology (YES-TECH) that uses Remote Sensing Technology for yield estimation, with a minimum 30% weightage to technology-based yield estimates.

Transforming Indian Agriculture through PMFBY

Pradhan Mantri Fasal Bima Yojana is an effective step taken by the Indian government for the betterment of Indian farmers. It not only provides crop coverage during crop failure but also helps farmers continue farming for a long time. With technological advancements, this scheme has improved transparency, accuracy, and efficiency in crop loss assessment and claim settlement. Applying for the PMFBY is a simple process and can be done online. The claim process is quite simple, and it helps farmers get the required compensation in case of crop loss. In the coming years, this scheme will continue to empower farmers and strengthens India’s agriculture. If you need any help regarding the application process for the PMFBY scheme, contact us now.