The Pradhan Mantri Fasal Bima Yojana (PMFBY) is India’s flagship crop insurance scheme, launched in 2016 to protect farmers from financial losses caused by crop failure due to natural calamities, pest attacks, or disease.
How PMFBY Works
Under PMFBY, farmers pay a nominal premium for crop insurance coverage, with the central and state governments subsidizing the bulk of the actual actuarial premium. This makes comprehensive crop coverage affordable even for marginal farmers.
Premium Rates (Farmer’s Share)
- Kharif Crops (paddy, maize, cotton, etc.): 2% of sum insured
- Rabi Crops (wheat, barley, mustard, etc.): 1.5% of sum insured
- Annual Commercial and Horticultural Crops: 5% of sum insured
Risks Covered
- Loss due to non-preventable natural calamities: drought, flood, landslide, hailstorm, cyclone, pest, disease.
- Post-harvest losses for up to 14 days.
- Localized calamities (hailstorm, landslide, inundation) affecting individual farms.
- Prevented sowing if weather conditions prevent planting.
How to Enroll
Loanee farmers (those with KCC or crop loans) are enrolled automatically. Non-loanee farmers can enroll through their nearest CSC centre, bank branch, or the PMFBY portal (pmfby.gov.in) before the cutoff date for each crop season.
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