PMFBY Insures 78.41 Crore Applications, Pays Rs. 1.83 Lakh Crore in Claims Since 2016

New Delhi – Since its launch in 2016, the Pradhan Mantri Fasal Bima Yojana (PMFBY) has insured 78.41 crore applications and paid out ?1.83 lakh crore in claims, according to new government data.

Farmer enrolment reached a record high in 2024–25 at 4.19 crore, up 32% from 3.17 crore in 2022–23. Applications from non-loanee farmers—those not taking crop loans—rose sharply from 20 lakh in 2014–15 to 5.22 crore in 2024–25, reflecting wider acceptance of the scheme.

Launched on February 18, 2016, PMFBY provides affordable, comprehensive crop insurance against unavoidable natural risks such as drought, floods, cyclones, hailstorms, pest infestations, and plant diseases. It covers the full crop cycle from pre-sowing to post-harvest, including storage losses caused by notified calamities. The scheme is designed to offer timely financial relief, helping farmers avoid debt traps.

Farmer coverage under crop insurance has expanded significantly—from 3.71 crore applications in 2014–15 under earlier schemes to 15.10 crore in 2024–25.

Recognising its success, the Union Cabinet in January 2025 approved the continuation of PMFBY and the Restructured Weather Based Crop Insurance Scheme until 2025–26, with a total budget of ?69,515.71 crore. PMFBY is now the world’s largest crop insurance programme by number of applications. Several states have waived farmers’ premium contributions, further reducing costs and boosting participation.

Under the scheme, farmers pay a maximum premium of 2% for Kharif food and oilseed crops, 1.5% for Rabi food and oilseed crops, and 5% for annual commercial or horticultural crops. The remaining premium—between 95% and 98.5%—is shared equally by the central and state governments, except in North Eastern states (90:10 ratio since Kharif 2020) and Himalayan states (90:10 ratio since Kharif 2023).

With inputs from IANS