New Delhi: The Pradhan Mantri Fasal Bima Yojana (PMFBY), launched in 2016, has achieved significant milestones in its eight years of implementation. As of now, 56.80 crore farmer applications have been enrolled in the program, with over 23.22 crore farmers receiving claims totaling more than Rs. 1,55,977 crore. The scheme has played a pivotal role in providing financial stability to farmers facing crop loss or damage due to unforeseen events.
During this period, farmers have contributed nearly Rs. 31,139 crore as their share of premiums, resulting in a remarkable ratio of Rs. 500 in claims for every Rs. 100 paid as premium. The PMFBY stands as the third-largest insurance scheme globally in terms of premium.
The PMFBY is a demand-driven and voluntary scheme for both states and farmers. The number of farmer applications has witnessed substantial growth, with a 33.4% increase in 2021-22 and a remarkable 41% rise in 2022-23. In the ongoing fiscal year 2023-24, there has been a commendable 27% surge in farmers enrolled under the scheme. Additionally, 42% of the total farmers insured in this fiscal year are non-loanee farmers.
The scheme is dynamically adapted to challenges through regular reviews in consultation with stakeholders. Notable improvements include making the scheme voluntary for all farmers, compulsory allocation of at least 0.5% of gross premiums for Information, Education, and Communication (IEC) activities, and leveraging technology for efficient implementation.
The Department of Agriculture & Family Welfare ensures rigorous monitoring of PMFBY implementation through weekly video conferences, one-on-one meetings with stakeholders, and the adoption of innovative technologies. Various measures have been taken to increase coverage, such as introducing a three-year tenure for insurance company selection, alternative risk models, and technological advancements like the National Crop Insurance Portal (NCIP) and Yield Estimation System based on Technology (YES-TECH).
To enhance transparency, accountability, and timely claims payments, the Government has periodically revised the Operational Guidelines of the PMFBY. These revisions aim to ensure that eligible benefits reach farmers promptly and transparently, reflecting the government’s commitment to making the scheme more farmer-friendly.
The success of PMFBY over the past eight years stands as a testament to its effectiveness in safeguarding the livelihoods of millions of farmers across the nation, providing them with a financial safety net during challenging times.