The Prime Minister of India , Narendra Modi launched a Brand New Crop Insurance policy on 13th January 2016. This Scheme is known as Pradhan Mantri Fasal Bima Yojna i.e PMFBY.

This Crop Insurance scheme will be implemented in every state of India in collaboration of State Government. This insurance scheme will be under Ministry of Agriculture and Farmer. It is being said that this Crop insurance scheme is the game changer in the life of Farmers in India.

The Main Objective of this Crop Insurance scheme is to provide insurance to the farmer in any circumstance and helps the farmer financially. I believe this is the landmark and one of the best work done by any Government to provide Crop insurance to the Farmer. The Premium of this insurance policy is kept very low so that farmer can opt for it and secure there crop from damage.


There will a same premium rate paid by farmer is 2% for Kharif crops and 1.5% for All rabi crops
In the case of Annual Commercial and Horticultural crops the premium rate will only be 5% and the premium rates will be paid by Government to provide full insured amount to the farmer whose crops is gone damage

Government will pay upto 90% of balance premium there will be not upper limit for the subsidy of the govt on this Crop Insurance policy

This Scheme is on the Theme of One Nation One Scheme , So Every Farmer of this country will get benefit irrespective of any party State Government.

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Features of Pradhan Mantri Fasal Bima Yojna

  • Premium Rate : It is 2% for Kharif Crops and 1.5 % of All rabi crops and Commercial and Horticulture crops Premium rate is 5% and government will contribute 5 times that of Farmer will be paying 
  • The Premium is for one Season one premium
  • Full Insurance Amount cover in this Yojna
  • All the Localized Risk Coverage such as Hail storm, Land slide, Inundation
  • It also cover Post Harvest losses due to Cyclonic and unseasonal rain
  • It aslo has prevented sowing coverage
  • Use of Technology is Mandatory in this insurance
  • They are targeting to double the insurance.