Summary
Farmers contribute a small premium (around 1.5‑2 % of crop value) while central and state governments cover the majority.
Digital platforms and weather‑information systems improve claim settlement speed and accuracy.
Key Points
5 points1
More than 240 million farmers have been insured, covering over 278 million hectares.
2
Premium rates differ: about 2 % for summer (Kharif) food crops, 1.5 % for winter (Rabi) food crops, and up to 5 % for commercial crops.
3
Government subsidy shares can be up to 90 % in some Himalayan regions.
4
Tools like YES‑TECH and WINDS use satellite and weather data to estimate yields and assess risk.
5
The scheme aims to reduce farmer debt and strengthen the nation’s food security.
New Words to Learn
8 wordsPradhan Mantri Fasal Bima Yojana
the Prime Minister’s Crop Insurance Plan for farmers
Kharif
the summer growing season for crops
Rabi
the winter growing season for crops
hectare
a unit of land area, about the size of a rugby field
subsidy
money the government adds to lower the cost for farmers
satellite
a machine in space that takes pictures of the Earth’s weather
yield
the amount of crops a farmer harvests
food security
making sure everyone has enough safe food to eat
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