SUBSCRIBE NEWSLETTER
  • Change Language
  • English
  • Hindi
  • Marathi
  • Gujarati
  • Punjabi
  • Tamil
  • Telugu
  • Bengali
  • News From Press Farmer distress: Why NITI Aayog’s cashback proposal for Fasal Bima Yojana is a bad idea

    Farmer distress: Why NITI Aayog’s cashback proposal for Fasal Bima Yojana is a bad idea

    Source: Financial Express Oct 19, 2018

    NITI Aayog has proposed that 75% of the premium paid by farmers under the Pradhan Mantri Fasal Bima Yojana (PMFBY) will be returned to them if they don’t file claims for crop damages for four-six consecutive agricultural seasons. Government officials reckon that such a move would attract more farmers into the insurance fold; at present, just 29% of the 12 crore farmers/cultivators in the country are covered under the crop insurance scheme. However, the proposed change is likely to not find favour among insurers. While the government probably sees the estimated Rs 10,000 crore lying with insurers over the last two kharif seasons as an undue benefit accruing to the insurers at the cost of the farmer, the fact is that agriculture is an high-risk activity given so much of it rain-dependent. This risk will increasingly get worse with climate change impact worsening.

    Click here to read more>>

    Have a query or a doubt?
    Need a clarification or more information on an issue?
    Cafemutual welcomes all mutual fund and insurance related questions. So write in to us at newsdesk@cafemutual.com

    Click to clap
    Disclaimer: Cafemutual is an industry platform of mutual fund professionals. Our visitors are requested to maintain the decorum of the platform when expressing their thoughts and commenting on articles. Viewers are advised to refrain from making defamatory allegations against individuals. Those making abusive language or defamatory allegations will be blocked from accessing the web site.
    0 Comment
    Be the first to comment.
    Login or Sign up to post comments.
    More than 2,07,000 of your industry peers are staying on top of their game by receiving daily tips, ideas and articles on growth strategies. Join them and stay updated by subscribing to Cafemutual newsletters.

    Fill in the below details or write to newsdesk@cafemutual.com and subscribe to Cafemutual Newsletter now.