Farmers are still unaware of the details of the Pradhan Mantri Fasal Bhima Yojana (PMFBY) even as the government and insurers are trying to increase the penetration in the non-loanee segment, said a climate risk management firm WRMS.
However, in many states, high satisfaction has been seen among the enrolled farmers and reasons for the same were proper implementation in terms of assistance to farmers and involvement of insurance company and a high percentage of insured farmers receiving a payout, it said.
The PMFBY, launched in 2016, is the most important tool today to insure agriculture against climate and other risks. The scheme, which is an improvement over the previous agriculture insurance schemes, not only provides subsidized insurance to the loanee farmers but also avails it to the non-loanee farmers.
“In a recent survey done in 8 states (UP, Gujarat, Odisha, AP, Chhattisgarh, Nagaland, Bihar and Maharashtra) by BASIX, it was found only 28.7 percent of the sampled farmers are aware of the PMFBY,” the Weather Risk Management Services (WRMS) said.
As per the survey findings, farmers complain that the process for enrolment as non-loanee farmers is difficult. They have to obtain sowing certificates, land records from the local revenue department, which time-consuming.
There is a high willingness to take insurance among the farmers who could not get themselves insured due to one of the above cited reasons, it added.
“One of the main reasons of improper implementation of PMFBY in several regions is lack of trained resources. There is a lack of awareness at every stage of implementation,” WRMS managing director Sonu Agrawal said.
Emphasising the need to enhance awareness among non-loanee farmers, the WRMS suggested that simple platforms need to be built to help farmers apply for the scheme and at the same time get details on the risks covered in the scheme and how they can inform about their localised losses.