Dr. Seema Surendran & Bala Niranjana M, CMR University School of Legal Studies, Bengaluru
ABSTRACT
Crop insurance plays a crucial role in stabilizing farm incomes, especially in regions prone to natural disasters or unpredictable weather conditions. It provides farmers with a safety net, enabling them to recover from losses and continue their farming operations without facing severe financial hardships. Additionally, crop insurance also helps lenders mitigate the risks associated with providing loans to farmers, as it provides assurance that the farmers have a means to repay their debts in case of crop failures or losses. In the event of a covered loss, the farmer can file a claim with the insurance company to receive compensation for the losses incurred. The amount of compensation depends on the extent of the loss and the terms outlined in the insurance policy.
Agriculture insurance is a type of insurance coverage designed to protect farmers and agricultural producers against financial losses resulting from various risks associated with farming activities. Agriculture insurance aims to stabilize farmers income, mitigate the impact of unpredictable events, and ensure the sustainability of agricultural operations. It helps farmers manage the inherent risks and uncertainties involved in agriculture, as farming is highly dependent on factors beyond human control, such as weather patterns and market fluctuations. There are various kinds of Agriculture Insurance in India one among that is Crop Insurance.
This paper will focus on the study of Crop Insurance in India, in terms of various categorization of crop insurance schemes in India, various guidelines of the Pradhan Mantri Fasal Bima Yojana (PMFBY), and performance status of PMFBY.
Keywords: Agricultural insurance, Risk, Agriculture, Crop Insurance, Crop Insurance schemes
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