The Pradhan Mantri Fasal Bima Yojana (PMFBY) is a crop insurance scheme introduced to protect farmers against financial losses caused by crop damage. Under this scheme, farmers can receive insurance compensation when their crops are affected by natural calamities such as droughts, floods, hailstorms and pest attacks.
Over the past 10 years, more than 12.78 crore farmers have received crop insurance claims worth over ₹2.08 lakh crore under the scheme. Farmers can insure their crops by paying a relatively small premium, while the remaining premium amount is supported through government subsidies.
Here is a closer look at when the scheme was introduced, how much premium farmers need to pay and under what circumstances they can claim insurance benefits.
When Was PM Fasal Bima Yojana Launched?
Prime Minister Narendra Modi launched the Pradhan Mantri Fasal Bima Yojana on February 18, 2016. The scheme aims to reduce the financial burden on farmers when their crops suffer damage due to specified natural risks.
It provides insurance protection at affordable premium rates. Farmers who experience eligible crop losses can apply for compensation, with claims assessed and settled according to the scheme’s prescribed guidelines.
PM Fasal Bima Yojana Budget for 2026-27
For the financial year 2026-27, the government has allocated ₹12,200 crore to the PM Fasal Bima Yojana.
The allocation is intended to support the continued implementation of the crop insurance programme and help extend insurance coverage to eligible farmers.
When Can Farmers Claim Crop Insurance?
The scheme covers eligible crop losses at different stages of agricultural activity, including situations that arise before sowing.
Farmers may also receive compensation for damage during the crop-growing period due to events such as drought, floods, hailstorms and pest attacks.
In addition, certain losses occurring during the harvesting period are covered under the scheme. The eligibility and compensation amount depend on the applicable insurance conditions and assessment guidelines.
How Much Premium Do Farmers Have to Pay?
One of the important features of PMFBY is its fixed maximum premium rates for different crop categories. Farmers are required to pay the following percentage of the insured amount:
- Kharif crops: 2% of the sum insured.
- Rabi crops: 1.5% of the sum insured.
- Commercial and horticultural crops: 5% of the sum insured.
The remaining premium amount is shared by the Central and State Governments through subsidies, as applicable under the scheme.
How to Apply for PM Fasal Bima Yojana?
Farmers interested in getting crop insurance under PMFBY can visit the official scheme portal to check the available information and application details.
They can also approach their nearest bank branch, the concerned insurance company or a Common Service Centre (CSC) to enquire about registration and application procedures.
For information about crop damage in a particular district, eligibility conditions and application deadlines, farmers can contact their respective State Agriculture Department.
Before applying, farmers should check the latest scheme guidelines, notified crops, insurance coverage and deadlines through the official PMFBY website.
Official Website: https://pmfby.gov.in/
Disclaimer
This article is intended for general informational purposes only. The information provided is based on the details available at the time of writing and may be subject to changes in government policies, scheme guidelines and eligibility conditions. Farmers are advised to verify the latest information, premium rates, application deadlines and claim procedures through the official PM Fasal Bima Yojana portal or the concerned government department. This website is not affiliated with any government department or agency.