Maharashtra CM asks crop insurers to pay farmers before June 7

By Times Of India on 31 May 2018 | read
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MUMBAI: Three days after TOI revealed that insurance companies had paid only 7% of the 2,269 crore due to the state’s farmers under the Prime Minister’s Crop Insurance scheme by May 10, chief minister Devendra Fadnavis called a review meeting on Wednesday. He has directed insurance companies to make the payout which was due for the kharif 2017 season before June 7.
TOI’s report on May 27 had said there was growing unrest among the state’s farmers since the next kharif sowing season was approaching and they needed money to buy farm inputs. Insurance companies said they were struggling with delays by banks in uploading data and farmer account details to the National Crop Insurance Portal which was being used this year to process applications to the scheme. This year, insurance companies have been asked to credit the claims directly to the accounts of beneficiary farmers.

Fadnavis told insurance companies at the meeting to implement the Centre’s directive to credit banks with the money in cases where there were technical problems in accessing or matching the farmer’s data and bank details. In such cases, the state’s cooperative department would provide the relevant data at a later stage, he said.


Sources said the main problems and delays in uploading data were being reported mainly from the district central cooperative banks in Solapur, Ahmednagar, Beed, Jalna and Osmanabad. Fadnavis also said the multiple pieces of data required to access government schemes were causing delays in accessing them. He asked officials to formulate a method where all the data can be gathered at one go.


As many as 81.6 lakh farmers had participated in the Pradhan Mantri Fasal Bima Yojana (PMFBY) in the state. Of these, nearly 45 lakh farmers or 55% were estimated to be beneficiaries. However, up to May 10, only 3.5 lakh farmers or 8% of beneficiaries had received the payout, TOI had said.


The lowest payout was from the public sector Agriculture Insurance Company. It has claims worth 1,014 crore owed to 18.7 lakh farmers. However, the payout was only 9 lakh to 40 farmers by May 10. In 2016, when PMFBY was launched, bank data was taken offline and payments were made by insurance companies to the banks instead of to the beneficiary’s account.


 

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