- To provide insurance coverage and financial support to farmers in the event of failure of any of the notified crops as a result of natural calamities, pests, and diseases.
- To stabilize the income of farmers to ensure their continuance in farming.
- To encourage farmers to adopt innovative and modern agricultural practices.
Key Features of the Scheme:
- Voluntary Scheme: The scheme is optional for all farmers, including loanee and non-loanee farmers.
- Eligible Farmers: Farmers cultivating notified crops in the notified areas, including sharecroppers and tenant farmers, are eligible to participate.
- Premium Rate Payable by Farmers:
- Kharif Season: 2.0% of the Sum Insured
- Rabi Season: 1.5% of the Sum Insured
- Annual Commercial/Horticultural Crops: 5.0% of the Sum Insured
- Note: The remaining premium is borne by the Central and State Governments, significantly reducing the financial burden on farmers.
Risks Covered under Insurance:
- Prevented Sowing/Planting/Germination: Due to adverse weather conditions (e.g., deficit rainfall or adverse seasonal conditions).
- Standing Crop (Sowing to Harvesting): Comprehensive risk cover for yields losses due to non-preventable risks, i.e., Drought, Dry spells, Flood, Inundation, Pests and Diseases, Landslides, Natural Fire and Lightning, Storm, Hailstorm, Cyclone, Typhoon, Tempest, Hurricane.
- Localised Calamities: Loss/damage resulting from occurrence of identified localized risks like hailstorm, landslide, and inundation affecting isolated farms in the notified area.
- Post-Harvest Losses: Coverage is available for maximum period of 14 days from harvesting for those crops which are required to be dried in cut and spread condition in the field, against specific perils of cyclone, cyclonic rains, and unseasonal rains.
Required Documents:
- Aadhaar Card
- Bank Passbook
- Land Records (7/12 extract and 8A)
- Sowing Certificate/Self-declaration of crop sown
- Insurance Declaration Form
Rule for Reporting Loss:
In case of crop damage due to a natural calamity, farmers are required to inform the concerned insurance company or financial institution within 48 hours of the incident, providing details of the loss, its cause, and extent.
