PM Fasal Bima Yojana 2026: Rs. 95,000 cr Claims Paid

What Pradhan Mantri Fasal Bima Yojana is

Pradhan Mantri Fasal Bima Yojana (PMFBY) is the central government's flagship crop insurance scheme, launched on 13 January 2016 to protect farmers from yield losses caused by natural risks. It replaced the earlier National Agricultural Insurance Scheme (NAIS) and Modified NAIS, and it pays claims against a fixed sum insured per hectare when actual yield falls below the notified threshold yield for that crop and area.

Since inception, PMFBY has insured 29.19 crore farmer applications and paid Rs. 95,000 crore in claims against Rs. 17,000 crore of farmer premium, per PIB data released January 2025. In 2024-25 alone, 4.19 crore farmers enrolled, the highest single-year count since 2016, covering 380.86 lakh hectares.

Munich Re Foundation ranked PMFBY the third-largest crop insurance scheme in the world by premium in its 2024 review, after the United States Federal Crop Insurance and China's National Crop Insurance. About 80% of PMFBY claims settle within 30 days of the season-end yield notification, per the Ministry of Agriculture 2025-26 dashboard on pmfby.gov.in.

Kharif 2026: what changed this season

Two new add-on covers were notified for Kharif 2026 that aren't available under any other Indian crop insurance product: Wild Animal Attack and Paddy Inundation. Both are optional add-ons that a state government can notify on top of the standard PMFBY cover for eligible crops in eligible districts.

Wild Animal Attack cover pays for standing-crop losses caused by elephants, wild boars, nilgai, and similar notified species. Uttarakhand, West Bengal, Odisha, Karnataka, and parts of Tamil Nadu have notified this add-on for Kharif 2026 crops in forest-fringe districts. Loss assessment is done through individual field survey by the empanelled insurance company within 72 hours of intimation.

Paddy Inundation cover pays for standing-paddy losses when a field remains under water beyond the crop's tolerance window because of flooding or heavy rainfall. Bihar, Assam, and coastal Odisha have notified this add-on for Kharif 2026 paddy in flood-prone blocks. The trigger is a minimum number of consecutive days of inundation, verified through satellite imagery under YES-TECH.

From Kharif 2024 onward, satellite-based yield estimation under YES-TECH carries 30% weight in the final calculation of area-yield loss, per the January 2024 Revised Operational Guidelines. Before Kharif 2024, the entire yield calculation depended on manual Crop Cutting Experiments (CCEs), which caused season-end delays. The 30% satellite weight has cut average claim-settlement time from 45 days to 30 days across most states.

Who can enrol in PMFBY

Every farmer growing a notified crop in a notified area can enrol, whether they own the land, lease it, or share-crop it. The scheme is open to loanee farmers (those with a Kisan Credit Card or crop loan from a bank or cooperative) and non-loanee farmers (self-financed cultivators).

Loanee farmers were auto-enrolled from 2016 to 2020 whenever they took a crop loan. Since Kharif 2020, enrolment is voluntary for loanee farmers too. If you have a KCC or crop loan and don't want PMFBY cover, you must submit an opt-out declaration to your bank branch at least 7 days before the enrolment cut-off date. Miss the 7-day window and the bank auto-debits the premium and enrols you.

Non-loanee farmers enrol at their own initiative through a bank, Common Service Centre (CSC), insurance-company agent, or directly on the pmfby.gov.in self-service portal. Documents needed are Aadhaar card, land ownership record (or tenancy proof for tenant farmers), bank passbook, and sowing declaration.

The enrolment cut-off dates are 31 July for Kharif crops and 31 December for Rabi crops, though a state can shorten the window in exceptional cases. Enrolment after the cut-off is not allowed. Tenant farmers must produce a valid tenancy agreement, sharecropping certificate, or authorised land-record entry to prove insurable interest.

Premium rates: what farmers pay in 2026

Farmer premium is a fixed percentage of the sum insured per hectare, and it depends only on the crop season and crop type. The government (centre plus state, in roughly equal share for most states) pays the actuarial premium above the farmer share to the insurance company.

Source: pmfby.gov.in Operational Guidelines (Revised January 2024).

The centre and state share the balance actuarial premium equally in most states. For the North Eastern states, the centre pays 90% of the government share and the state pays 10%, per the January 2025 Cabinet decision (PIB PRID 2089249).

Total premium collected in Kharif plus Rabi 2025 came to Rs. 17,309.57 crore, of which farmer share was Rs. 3,277.57 crore, state share Rs. 7,309.61 crore, and central share Rs. 6,625.12 crore, per pmfby.gov.in dashboard 2025 season close.

Worked premium examples

Three worked examples using district-level Sum Insured (SI) figures from Kharif 2025 show what a farmer actually pays in 2026.

A paddy farmer in Ludhiana district, Punjab, cultivating 1 hectare of Kharif paddy at a notified SI of Rs. 90,000 per hectare pays 2% of SI as premium. Farmer contribution: Rs. 1,800 for the season. If yield falls below the threshold, the maximum claim payable is Rs. 90,000 minus the actual harvest value.

A wheat farmer in Meerut district, Uttar Pradesh, cultivating 1 hectare of Rabi wheat at a notified SI of Rs. 75,000 per hectare pays 1.5% of SI. Farmer contribution: Rs. 1,125 for the season. Maximum claim payable is Rs. 75,000 if the entire crop fails.

A cotton farmer in Yavatmal district, Maharashtra, cultivating 1 hectare of Kharif cotton at a notified SI of Rs. 55,000 per hectare pays 5% because cotton is a commercial crop. Farmer contribution: Rs. 2,750 for the season. Maximum claim payable is Rs. 55,000.

For all three, the government pays the balance actuarial premium to the insurance company (typically 15% to 30% of SI depending on district risk), but the farmer's out-of-pocket cost is capped at the fixed 1.5%, 2%, or 5% shown above.

What PMFBY covers

Five risk categories trigger claim payouts under PMFBY. Each has a defined trigger, assessment method, and claim-calculation basis.

Prevented sowing pays if the notified crop couldn't be sown at all because of adverse seasonal conditions like drought or excess rainfall during the sowing window. Payout is 25% of sum insured, and only if at least 75% of the notified area faces the same condition. Assessment is based on state government notification.

Standing crop loss (area approach) pays if the actual yield in the insurance unit (typically Gram Panchayat or Revenue Circle) falls below the threshold yield notified for that crop and area. Threshold yield is 70% of the average yield of the last 7 years (excluding 2 calamity years). Loss is calculated as (Threshold yield minus actual yield) divided by threshold yield, multiplied by sum insured.

Post-harvest losses pay for damage to harvested crops kept in cut-and-spread condition in the field for drying, for up to 14 days from harvest. Loss is assessed individually per field. Applies to Kharif and Rabi crops notified for this cover.

Localised calamities cover hailstorm, landslide, cloudburst, and natural fire on standing crops. Loss is assessed individually per field within 72 hours of the event through joint survey by the insurance company and state agriculture department.

Add-on covers (state-notified) include Wild Animal Attack, Paddy Inundation (Kharif 2026 addition), unseasonal rainfall damage to Rabi crops, and specific horticultural risks. State governments choose which add-ons to notify for which crops each season.

The 72-hour loss intimation rule

Any farmer who wants to claim under localised calamity, post-harvest loss, or add-on cover must intimate the loss within 72 hours of occurrence. Miss the 72-hour window and the claim is rejected outright, no matter how genuine the loss. This is the single most common reason for PMFBY claim rejection.

Loss intimation channels in 2026 are:

The toll-free helpline 14447 accepts loss intimation in Hindi, English, and 11 regional languages. Farmer needs to give Aadhaar, application ID, crop name, and loss cause. A written intimation number is issued.

The Crop Insurance Mobile App (Google Play, iOS App Store) lets a farmer geo-tag the affected field, upload photos, and file intimation with GPS coordinates. Recommended channel because the GPS tag protects against later disputes.

The insurance company's dedicated helpline (printed on the enrolment receipt) is the second-best channel. Every empanelled insurer (AIC of India, ICICI Lombard, HDFC ERGO, Reliance General, and others) runs a 24 x 7 helpline for PMFBY policyholders.

The bank branch (for loanee farmers) or the CSC (for non-loanee farmers) can also file intimation on the farmer's behalf using the same NCIP backend.

After intimation, the insurance company deploys a surveyor to the field within 48 to 72 hours. Joint survey with a state government agriculture officer determines the loss percentage. Payout follows through DBT to the farmer's Aadhaar-linked bank account, typically within 15 to 30 days for individual assessment claims.

Claim settlement: DigiClaim, YES-TECH, and WINDS

Three tech-driven reforms from 2022 to 2024 have cut PMFBY claim settlement time and improved transparency.

DigiClaim, live from Kharif 2022, integrates the National Crop Insurance Portal (NCIP) with PFMS (Public Financial Management System) and the accounting systems of empanelled insurance companies. Once the claim is calculated and approved, payout goes to the farmer's account through DBT, and the farmer gets an SMS with the exact amount. 80% of claims flow through DigiClaim in 2025-26, per pmfby.gov.in dashboard.

YES-TECH (Yield Estimation System Based on Technology), operational from Kharif 2023, uses satellite imagery from ISRO and private providers to estimate crop yield at the insurance-unit level. From Kharif 2024, YES-TECH contributes 30% weight to the final yield calculation, with manual CCE contributing 70%. The satellite yield is available within 15 days of harvest, versus 30 to 45 days for manual CCE alone.

WINDS (Weather Information and Network Data Systems), rolling out state by state from 2023, deploys Automatic Weather Stations (AWS) at every Gram Panchayat and Automatic Rain Gauges (ARG) at every block. The weather data feeds into RWBCIS calculations and also supports PMFBY localised-calamity assessment. As of 2025-26, 12 states have completed WINDS installation and 8 more are in progress, per the Ministry of Agriculture.

The Rs. 824.77 crore Fund for Innovation and Technology (FIAT), approved by the Cabinet on 1 January 2025, funds YES-TECH, WINDS, and PMFBY R&D through 2025-26. The fund also supports drone-based crop-cutting experiments and AI-based claim triage.

Top claim rejection reasons

Five issues account for most PMFBY claim rejections. Fixing these upfront cuts denial risk sharply.

Missed 72-hour intimation is the number one rejection reason. Any localised, post-harvest, or add-on cover claim requires intimation within 72 hours of the loss event. There is no relaxation for weekends, festivals, or network outages. The farmer must call 14447 or file on the Crop Insurance App inside the window.

Sown crop differs from insured crop is the second most common reason. If you enrolled for paddy but actually sowed maize on the same land, the claim gets rejected. The insured crop must match the field crop, verified by satellite imagery under YES-TECH and by joint survey.

Area-yield-above-threshold clause catches many farmers who suffered real individual losses. PMFBY works on area approach for standing-crop losses, so if the Gram Panchayat average yield stays above the threshold, no claim is payable, even if one specific farmer's field failed completely. Individual losses are only covered under localised calamities or post-harvest.

Aadhaar-bank account mismatch stops the DBT payout. The Aadhaar linked to the PMFBY application must match the Aadhaar seeded in the farmer's bank account. Update the bank seeding before the season starts to avoid this issue at claim time.

Tenant farmer without proof of insurable interest gets the enrolment rejected upfront in some states. Tenants must produce a written tenancy agreement, sharecropping certificate, or an authorised land-record entry. Verbal tenancy is not accepted for PMFBY.

PMFBY vs RWBCIS: which fits your crop

PMFBY and RWBCIS (Restructured Weather Based Crop Insurance Scheme) are the two central crop-insurance products. Both are funded under the same Rs. 69,515.71 crore Cabinet outlay for 2021-22 to 2025-26, and states pick one per crop per season.

PMFBY suits farmers growing yield-driven notified crops in areas with a stable CCE history and predictable weather. RWBCIS suits horticultural and perennial crops where weather parameters are the direct loss driver and yield estimation is impractical.

State opt-out map for 2026

PMFBY is a state-optional scheme. A state government can choose to run PMFBY, run its own crop insurance product, or offer no crop insurance beyond input subsidies. As of the 2026 Kharif season, the opt-out status is:

All other states run PMFBY, RWBCIS, or a combination for Kharif and Rabi 2026. Farmers in opted-out states can't enrol in PMFBY even if they want to. The state-run replacement is the only option.

How to enrol: CSC vs bank vs self-service

Three enrolment paths are available in 2026, and each has trade-offs on cost, speed, and hand-holding.

CSC (Common Service Centre) enrolment costs Rs. 40 per application (paid to the CSC operator). Nearest CSC can be found on csc.gov.in. The CSC operator handles form filling, document upload, and premium payment. Best for farmers who prefer physical assistance. Turnaround is typically same day.

Bank branch enrolment is free for both loanee and non-loanee farmers. Loanee farmers get auto-enrolled unless they submit the opt-out declaration 7 days before cut-off. Non-loanee farmers walk into any nationalised or cooperative bank that has an APY nodal desk and submit the SRF along with Aadhaar and land record. Turnaround is 3 to 5 working days.

Self-service enrolment on pmfby.gov.in is free and instant. Farmer needs Aadhaar OTP, land record digitised on the state land portal (like Bhulekh in UP or MahaBhulekh in Maharashtra), and net banking or UPI for premium payment. Best for tech-savvy farmers with completed KYC on the state land record system.

Insurance company agents are the fourth option in some states, though the farmer typically ends up going through a CSC or bank anyway for verification.

Documents needed across all paths: Aadhaar card, Aadhaar-linked mobile, bank passbook, land ownership record (or tenancy agreement for tenants), sowing declaration for the insured crop, and photograph of the field (optional but reduces post-harvest disputes).

Frequently asked questions

Am I eligible for PMFBY in 2026? You qualify if you're growing a notified crop in a notified area during the enrolment window (before 31 July for Kharif and 31 December for Rabi), whether you're a landowner, tenant, or sharecropper. Loanee and non-loanee farmers both qualify.

How much premium will I pay? 2% of sum insured for Kharif food crops and oilseeds, 1.5% for Rabi food crops and oilseeds, and 5% for commercial or horticultural crops. On a 1 hectare paddy field with Rs. 90,000 sum insured, farmer premium is Rs. 1,800 for the season.

What is the cut-off date for Kharif 2026? 31 July 2026 is the standard cut-off for Kharif crop enrolment. State governments can shorten this window through a notification, so check pmfby.gov.in for your state's exact date.

Can I opt out of PMFBY if I have a Kisan Credit Card? Yes. Since Kharif 2020, enrolment is voluntary for loanee farmers. Submit the opt-out declaration to your bank branch at least 7 days before the enrolment cut-off date. Miss the 7-day window and the bank auto-debits the premium.

What if my crop is damaged by wild animals? Wild Animal Attack cover is available as an add-on from Kharif 2026 in notified states including Uttarakhand, West Bengal, Odisha, Karnataka, and parts of Tamil Nadu. Intimate the loss within 72 hours on toll-free 14447 or the Crop Insurance App.

How is claim payout calculated? For standing-crop losses (area approach), payout = (Threshold yield minus actual yield) divided by threshold yield, multiplied by sum insured. Threshold yield is 70% of the last 7-year average, excluding 2 calamity years. Satellite data (YES-TECH) contributes 30% weight from Kharif 2024 onward.

How long does claim settlement take? About 80% of claims settle within 30 days of season-end yield notification, per the Ministry of Agriculture 2025-26 dashboard. Individual assessment claims (localised calamity, post-harvest, add-on) typically settle within 15 to 30 days of joint survey.

What if I miss the 72-hour intimation window? The claim is rejected. There's no relaxation for weekends, festivals, or network outages. Set a reminder to call 14447 or file on the Crop Insurance App the same day a loss occurs.

Is PMFBY available in my state? Gujarat, Bihar, Jharkhand, West Bengal, Telangana, and Punjab have opted out of PMFBY as of Kharif 2026 and run their own state schemes. Andhra Pradesh rejoined in Kharif 2022. All other states offer PMFBY for at least some notified crops.

What documents do I need to enrol? Aadhaar card, Aadhaar-linked mobile, savings bank passbook, land ownership record (or tenancy agreement for tenants), sowing declaration for the insured crop, and premium payment via UPI, net banking, or CSC.

Official links and helplines