PM Fasal Bima Yojana 2026 — Crop Insurance at 2% Premium for Kharif Farmers

What PM Fasal Bima Yojana Is

PM Fasal Bima Yojana (PMFBY) is India's largest crop insurance scheme. It covers farmers against losses from floods, drought, hailstorm, cyclones, unseasonal rain, and pest attacks. The key feature: farmers pay very little — just 2% of the sum insured for Kharif crops, 1.5% for Rabi — and the central and state governments pay the rest.

Since its launch in January 2016, the scheme has paid out ₹1.83 lakh crore in claims to 22.67 crore farmers (as of 2025). In August 2025 alone, ₹3,200 crore was transferred to 30+ lakh farmers in a single day.

Premium Rates You Pay

The actual actuarial premium (what insurance really costs) is much higher. The government — Centre and State — pays the difference.

What Is Covered

PMFBY covers losses from:

• Yield loss due to flood, drought, hailstorm, cyclone, pest attack, disease
• Prevented sowing/planting — if widespread calamity stops you from sowing
• Post-harvest losses — for crops left in the field to dry (up to 14 days after harvest)
• Localized calamities — hailstorm, landslide, inundation affecting individual farms

Not covered:

• War, nuclear risks, riots, malicious damage
• Theft
• Loss from domestic or wild animals that you could have prevented

Who Must Enroll (and Who Can Opt Out)

Loanee farmers (those who took crop loans or KCC): You are automatically enrolled for the notified crops you grow. The premium is deducted from your loan account. You CAN opt out — by giving a declaration to your bank before the deadline.

Non-loanee farmers: Enrollment is voluntary. Apply through your bank, CSC, or online at pmfby.gov.in within 10 days of sowing. This deadline is strict.

Tenant farmers: Eligible. Need a lease agreement and sowing certificate.

How Claims Are Paid

Claims are settled based on:

1. Yield data from Crop Cutting Experiments (CCEs) — government-conducted field surveys in your area
2. Weather data — from automated weather stations (for weather-based insurance, RWBCIS)
3. Satellite data and AIDE Mobile App reports for localized/post-harvest claims

If the average yield in your area falls below the "Threshold Yield," all insured farmers in that area automatically receive claims — you don't need to file a separate claim for yield loss.

For localized calamities (hailstorm, landslide), you do need to report loss within 72 hours on the PMFBY app or through the helpline (14447).

New penalty rule: If the insurance company or state government delays your payment, they pay a 12% annual penalty — credited directly to your account on top of the claim amount.

How to Apply (Non-Loanee Farmers)

1. Go to pmfby.gov.in → Farmer Corner → Guest Farmer (or register/login)
2. Enter your details: state, district, sub-district, village, crop
3. Fill land records and bank details
4. Pay the premium online
5. Save the acknowledgement

Alternatively: Visit your nearest bank branch or CSC with land records and sowing certificate.

Critical deadline: Within 10 days of sowing.

Common Questions

My crop failed last year but I didn't get any claim. Why? Either you were not enrolled, or the average yield in your area was above the threshold (meaning claims are calculated area-wide, not individual-wise for yield loss). Check enrollment status at pmfby.gov.in.

I took a crop loan. Does that mean I'm automatically insured? For notified crops in notified areas, yes. But confirm with your bank — some branches may not have enrolled you. Also, you can still opt out if you prefer not to pay the premium.

How do I report crop loss in case of hailstorm or localized damage? Call the PMFBY helpline 14447 within 72 hours of the event, or report through the PMFBY mobile app. Delayed reporting can disqualify your localized claim.

When are Kharif claims paid? Usually December to March, after Crop Cutting Experiments are complete. The government has been working to speed this up to 2 months after harvest.

Official Links