Insurance programme on “Individual” Approach ( ). Pilot Crop Insurance Scheme (PCIS, ) Comprehensive Crop Insurance Scheme (CCIS ). National Agricultural Insurance Scheme (NAIS,1999). National Crop Insurance Programme (NCIP) Modified National Agricultural Insurance Scheme (MNAIS). Pilot weather Based Crop Insurance Scheme (WBCIS) Coconut Palm Insurance Scheme (CPIS) Agriculture contributes 14% to National GDP, yet it is widely perceived that if agriculture fails then what would succeed, and if agriculture succeeds what would fail ? Half of the population directly involved in this profession. Agriculture in India is weather dependent and a high risk proposition. Hence, insulation against weather vagaries and loss mitigation efforts are considered essential for sustained agricultural growth.

Insurance programme on “Individual” Approach ( ) Pilot Crop Insurance Scheme (PCIS, ) Comprehensive Crop Insurance Scheme (CCIS ) National Agricultural Insurance Scheme (NAIS,1999) National Crop Insurance Programme (NCIP) Modified National Agricultural Insurance Scheme (MNAIS) Weather Based Crop Insurance Scheme (WBCIS) Coconut Palm Insurance Scheme (CPIS)

ComponentLoanee FarmersNon-loanee Farmers Kharif,2000Kharif,2012Kharif,2000Kharif,2012 Farmers covered 5,99,75714,34,15181,25311,835 Area (Ha) 6,72,39012,33,44879,20518,462 Sum Insured(Rs in Lakh) Premium (Rs in Lakh) Claims (Rs in Lakh) Farmers Benefitted Contd...

ComponentLoanee FarmersNon-loanee Farmers Rabi, Rabi, Rabi, Rabi, Farmers covered2,32, Area (Ha)1,64,70391,93100 Sum Insured(Rs in Lakh) Premium (Rs in Lakh) Claims (Rs in Lakh) Farmers Benefitted

ComponentLoanee FarmersNon-loanee Farmers Rabi, Rabi, Rabi, Rabi, Farmers covered40, Area (Ha)32,70412,74800 Sum Insured(Rs in Lakh) Premium (Rs in Lakh) Claims (Rs in Lakh) Farmers Benefitted

ComponentLoanee FarmersNon-loanee Farmers Kharif,2008Kharif,2012Kharif,2008Kharif,2012 Farmers covered029,74413,2891,988 Area (Ha) ,2783,766 Sum Insured(Rs in Lakh) Farmers Premium (2.5% of SI)(Rs in Lakh) Gross Premium (10% of SI) (Rs in Lakh) Claims (Rs in Lakh) Farmers Benefitted

In respect of paddy GP may be taken as unit and for other crops the unit may be block. A proper mechanism may be clearly established to assess the prevented/ planting risk and post harvest loss. The assessment of crop loss at the mid season and on account settlement of claims may not be possible to implement properly. Hence this provision may be withdrawn Contd...

Actuarial premium rate may be adopted for big farmers. In case of paddy the premium rate for small and marginal farmers may be fixed at 2.5% and the remaining premium may be subsidized For other food and oilseed crops the premium rate to be paid by farmers may be fixed ranging between 1.5% to 3.5% and the remaining premium of the actuarial rate may be subsidized. For Commercial / Horticultural crops actuarial premium may be charged with subsidy. Contd...

Low level of penetration. Extensive awareness and publicity campaigns of the scheme among farming community by co- ordination of Agriculture, Co-operation department and Insurance Companies. For allocation of district(s) should be for a longer period than for a season to enable insurance companies to focus their efforts on publicity and awareness creation for wider participation. The number of Crop Cutting Experiments (CCEs) have increased manifold due to reduction in size of insurance unit. It affects the quality of CCEs and accuracy of yield data. Remote Sensing Technology (RST),GPS enabled devices may be used apart from traditional method. Central Govt. shall consider to provide support. Contd...

The problems of multiple insurance for the same land can be overcome if farmer’s data is shared among all loan disbursing banks. Delay in payment of claims affects adversely A software interface between banks and insurers needed to allow online transfer of crop insurance data to facilitate coverage and timely payment of claims. If premium rates exceeds capped level, sum insured is proportionately reduced. The provision is contrary to the compulsory provision for loanee farmers. It leads to under- insurance. Contd...

Poor density of Automatic Weather Stations(AWS). Steps to be taken for more AWS. Difficulties in designing and development of term sheet with trigger points. Lot of awareness required as WBCIS is somewhat complicated.