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Centre plans livestock insurance scheme on the lines of PM’s Fasal Bima Yojana
Centre plans livestock insurance scheme on the lines of PM’s Fasal Bima Yojana [Agriculture]
After the crop insurance scheme that promises record low premiums for farmers, the central government is planning to come out with a similar scheme for livestock in which farmers’ share of premium would also be in the range of 1-2 per cent per annum.
The new insurance scheme for livestock would provide protection to growers in case of livestock lost due to drought, floods, cyclones or any other natural calamities, including epidemics.
PMFBY is one of the most ambitious pro-farmer measures of the Narendra Modi government. The maximum premium which the farmer has to pay under the scheme is a flat two per cent of sum insured for all kharif crops and 1.5 per cent for rabi crops.
For horticulture and cotton crops, premium has been capped at five per cent. 25 per cent of the likely claim will be settled directly in the farmer’s accounts
The scheme is being implemented from the current kharif season and as many as 22 states have started the process of inviting tenders or notifying the same.
The Centre aims to bring 40 million farmers under the scheme. It has sought an additional Rs 11,000 crore to settle crop insurance claims this financial year under the scheme.