Demanding that the Union government scrap its flagship crop insurance scheme Pradhan Mantri Fasal Bima Yojana (PMFBY), B.R. Patil, former Aland MLA, on Friday alleged that the scheme was launched not to benefit the farming community, but to allow private insurance companies to swindle farmers money.
Addressing a press conference, Mr. Patil said that as per the data 21.31 lakh farmers in Karnataka alone have paid a gross premium of ₹2,276.33 crore to insure their crops cultivated on 21.66 lakh hectares in 2019-20, and the amount paid to farmers through claim settlements for their crop loss is merely ₹1,167.76 crore against the sum insured of ₹9,826.69 crore. Out of 21.31 lakh farmers, only 6 lakh farmers benefited from the PMFBY scheme the State, he added.
Mr. Patil explained that the private insurance companies involved in the PMFBY are rejecting most of the farmer’s claims to make more profit. The government has helped the private insurance companies through this scheme and left the farmers in the lurch. Mr. Patil alleged that the crop insurance scheme was a ‘big scam’ and demanded that it be scrapped.
