Pradhan Mantri Fasal Bima Yojana (PMFBY) is being implemented on actuarial/bidded premium rates however, farmers including small farmers have to pay maximum 2% for Kharif, 1.5% for Rabi food and oilseed crops and 5% for commercial/horticultural crops.
Daily Current Affairs Quiz 2021
The Pradhan Mantri Fasal Bima Yojana (PMFBY) launched on 18 February 2016 by Prime Minister Narendra Modi is an insurance service for farmers for their yields.
It was formulated in line with One Nation–One Scheme theme by replacing earlier two schemes National Agricultural Insurance Scheme (NAIS) and Modified National Agricultural Insurance Scheme (MNAIS) by incorporating their best features and removing their inherent drawbacks (shortcomings).
It aims to reduce the premium burden on farmers and ensure early settlement of crop assurance claim for the full insured sum.
PMFBY aims to provide a comprehensive insurance cover against failure of the crop thus helping in stabilising the income of the farmers.
