About the Scheme
PMFBY provides comprehensive crop insurance against non-preventable natural risks from pre-sowing to post-harvest. One of world's largest crop insurance programmes. ₹1.55 lakh crore claims paid since 2016; 4+ crore farmers insured annually. Voluntary for non-loanee farmers since 2020. Technology: drones, satellites for loss assessment.
Target Beneficiaries: 4 crore+ farmers annually; ₹1.55 lakh crore claims paid since 2016
Key Features
- Uniform low premium: 2% Kharif, 1.5% Rabi, 5% commercial/horticulture crops — rest borne by Centre and State
- Coverage from pre-sowing to post-harvest (cyclone, unseasonal rain, landslide, hailstorm)
- Technology: drones, satellite imagery, smartphone crop-cutting experiments for loss assessment
- Voluntary for non-loanee farmers since 2020; mandatory for crop loan borrowers
- ₹1.55 lakh crore total claims paid since 2016; 4+ crore farmers insured annually
- Yield Index and Weather-based crop insurance both covered
- Budget FY2024-25: ₹14,600 crore; funded jointly by Centre and State
Eligibility Criteria
- All farmers growing notified crops in notified areas
- Compulsory for loanee farmers
- Optional for non-loanee farmers
- Both sharecroppers and tenant farmers covered