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Crop Insurance in India: A Review of Pradhan Mantri Fasal Bima Yojana (PMFBY)

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  • Rajesh Tiwari
  • Khem Chand
  • Bimal Anjum

Abstract

Farmers in India have been the victim of systemic neglect and live a marginalized life. Crop failure due to natural calamities and unfavourable climatic conditions puts farmers in a challenging situation leading to extreme hopelessness and suicides. This article provides an overview of the crop insurance scheme, Pradhan Mantri Fasal Bima Yojana (PMFBY) launched in India by Mr. Narendra Modi in 2016. PMFBY has poor state support, unviable subsidy model, delayed claim settlement and skewed benefit pattern. A technology-enabled demand-driven approach is recommended. Crop insurance should be delinked from political affiliation. Velocity, variety and verifiability in PMFBY will make crop insurance scheme work better for farmers than insurers, administrators and politicians.

Suggested Citation

  • Rajesh Tiwari & Khem Chand & Bimal Anjum, 2020. "Crop Insurance in India: A Review of Pradhan Mantri Fasal Bima Yojana (PMFBY)," FIIB Business Review, , vol. 9(4), pages 249-255, December.
    • Handle: RePEc:sae:fbbsrw:v:9:y:2020:i:4:p:249-255
    DOI: 10.1177/2319714520966084
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    References listed on IDEAS

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    2. Mitra, Archisman & Bouwer, Roy & Balasubramanya, Soumya & Taron, Avinandan, 2022. "Willingness to pay for bundled agricultural insurance products – results from a discrete choice experiment in Bihar, India," 2022 Annual Meeting, July 31-August 2, Anaheim, California 322159, Agricultural and Applied Economics Association.
    3. Sandeep Kaur & Hem Raj & Harpreet Singh & Vijay Kumar Chattu, 2021. "Crop Insurance Policies in India: An Empirical Analysis of Pradhan Mantri Fasal Bima Yojana," Risks, MDPI, vol. 9(11), pages 1-26, October.

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