Agricultural Insurance

The term “Agricultura Insurance” defines that the central government of India provides the insurance scheme for the farmers of the country. In other words, as per this type of insurance, the farmers of the country are financially protected under the scheme.

Introduction

The agricultural scheme of the country works as an actuarial regime in the country. The premium subsidies are provided to the farmers of the country. Farmers of the country will also be safe in terms of the private reinsurance market. In recent decades, agricultural production has improved in south-east Asia.

Different types of Agricultural Insurance

National Mission for Sustainable Agriculture

This agricultural insurance of the government is effective in enhancing the agricultural productivity of the country. This agricultural scheme is most effective in the rainfed area of the country where the integrated farming method is maintained. The scheme is focused on the health management of the soil and the efficiency of water use. As per the statement of the government, this agriculture will cater to nutrient management and livelihood diversification along with sustainable development. The government of the country also provides the farmers with such helpful Agricultural Insurance to deal with the natural perils such as frost, droughts, excessive moisture in agriculture.

Pradhan Mantri Krishi Sinchai Yojana

The agricultural scheme acts as a policy to ensure benefits and monetary help to the farmers by considering a little amount of premium. The primary focus of this scheme is to ensure water conservation in agricultural activities in the country. This Agricultural Insurance has been formulated by the principle of extended irrigation coverage in the country. The secondary vision of this scheme is to develop the water use efficiency in the field activities. The vision of “more crop per drop” is also strictly maintained while implementing this insurance to agriculture. This agricultural insurance is focused on the end to end source creation solution in the agricultural sector of the country.

Parampragat Krishi Vikas Yojana

The main objective of this agricultural insurance is to promote organic farming activity in the country. The scheme was launched by the NDA government in the year 2015. The government is intended to bring 10000 clusters in the upcoming years. The key people of this agricultural insurance aim to convert 500000 acres into organic farms in the country. As per this insurance, the government will cover the certification cost. The government will also help the farmers with conventional resources to promote organic farming. This insurance states that all the cluster groups must have 50 farmers who are intended for organic farming in the country. Every farmer of the country who will enroll under this insurance will be provided with 20,000 per acre for the upcoming three years. This improvement has played a good role in the economic growth of the country. The team of Agricultural Insurance Solution is intended to prepare a mitigation strategy for the risk of farmers. With the help of microinsurance products, the farmers of the country will be helpful to develop the quality of their productivity.

Pradhan Mantri FasalBima Yojana

This PMFBY is a crop insurance scheme of the government for the farmers that will integrate many stakeholders into a common platform. Main objective of this insurance is to provide financial support to the farmers of the country in the case of crop failure. In the case of any natural calamities, the government will pay the lost money. Agricultural insurance of the country also encourages the farmers to incorporate innovative farming practices. As per this scheme, the farmers of the country should have insurable interest regarding the notified crops of their field. The non-loanee farmer should submit essential documents to the respective state authority along with a Land Possession Certificate. There are certain effective Agricultural Insurance schemes in India. In this agricultural insurance, uniformity in Agricultural marketing is promoted. Similarly, different rates are being imposed by the Indian Government such as 1.5 to 3.5 % of sum assured on behalf of food crops.

GraminBhandaran Yojana

The main objective of this scheme is to provide scientific storage capacity for the storage area of the village. This scheme is also intended to meet the farmer’s requirements in agricultural inputs. Promotion of agricultural quality control is also included in this scheme for the development of marketability. There are four crop insurance schemes in India for the farmers. National Agricultural Insurance Scheme (NAIS), Pilot Modified National Agricultural Insurance Scheme (MNAIS), Pilot Weather Based Crop Insurance Scheme (WBCIS) and Pilot Coconut Palm Insurance Scheme (CPIS). These schemes are implemented by the government of India.

Conclusion

It has been concluded that the government of India has developed several scopes for the farmers to consider their preferred agricultural schemes to acquire benefits and monetary support for increasing the production and wellbeing of their occupation. The government has issued such schemes to acquire financial support and assistance to the farmers and the investors while facing unavoidable consequences such as crop loss due to floods and natural disasters.