Question: Which of the following statement is not correct regarding Pradhan Mantri Fasal Bima Yojna?
(a)The scheme was started on 16 April 2016
(b)The scheme is mandatory for farmers who have taken institutional credit
(c)It covers damage to crops due to wild animal attacks all over India
(d)There is a 5% premium on Rabi crops
Answer :(c)
Related facts:
- Recently union government has decided to cover crop loss due to wild animal attacks under the Pradhan Mantri Fasal Bima Yojna in selected districts on an experimental basis.
- The modified guidelines, on a pilot basis, included perennial horticulture crops under the crop insurance scheme. While hailstorms, unseasonal and cyclonic rainfall would be considered for assessing post-harvest losses, natural fire, landslide, inundation and cloudburst have been included in localized calamities.
- Under this scheme insurance companies have to bear5 % of their earning and concerned state’s government has to pay an interest of 12 % in case of delay in the release of states to share subsidy in premium to insurance firms.
- Gram Sabhas across the country have been asked to inform the farmers about the enrolment and benefits of PMFBY at the beginning of Rabi season.
Pradhan Mantri Fasal Bima Yojna:
- Government of India had launched a crop insurance scheme namely Pradhan Mantri Fasal Bima Yojna on April, 2016.
- The government had roll back earlier insurance schemes such as National Agriculture Insurance Scheme (NAIS), weather-based crop insurance scheme and modified National Agricultural Insurance Scheme (MNAIS).
- It envisages a uniform premium of only 2% for Kharif crops and 1.5% for Rabi crops .The premium for commercial and horticulture crops will be 5%. The scheme is mandatory for the farmers who have taken institutional credit (banks, micro-finance, NBFCs).
- It is optional for farmers who have not taken institutional credit from banks or other NBFCs.
By Ramayan Upadhyay
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