Live Chat

May I help you?

Begin Chat
ICICI Lombard Expert Blog

₹894 Crore Released as Insurance to Farmers in Maharashtra

March 02 2017
Crop insurance to farmers in Maharashtra

Last year, hailstorms and unseasonal rains destroyed crops across North India and Maharashtra, causing huge losses to farmers. Maharashtra was not spared with North Maharashtra and parts of Vidarbha among the worst hit. More than 50,000 hectares of rabi crops were destroyed with losses amounting to ₹1,000 crore.

Now, the state government has released ₹893.83 crore as insurance for farmers who were hit by the unseasonal rains that took place in the 2015-16 rabi season. This amount will be distributed to 26.88 lakh farmers in different parts of the state such as Aurangabad, Marathwada and Pune. It is vital to note here that this amount is only covering the losses which occurred between November 2015 and March to April 2016.

In view of the drought that has hit farmers in the last three years, the government had pushed for crop insurance that was met with good response. The total insurance amount is being shared 50:50 by the central and state government. The state government is paying a compensation of ₹402 crore, its highest ever, to 13 lakh farmers. Farmers in Aurangabad will get ₹340.57 crore, while Pune-based farmers will receive ₹107.36 crore respectively.

Agriculture Insurance Company of India Ltd., the insurance company authorised by the state will be responsible for disbursing the amount into the account of farmers. The state government had previously settled an insurance cover of ₹4,205 crore for the loss of Kharif crops.

A total of 34.26 lakh farmers had made use of the national agriculture insurance scheme, paying a premium of ₹56.91 crore to afford them an insurance cover of ₹2,865.40 crore.

Also Read:

Health Cover of ₹1 Crore Is the New Norm in the Industry
Insurance Penetration in India to Exceed 4% in 2017

Write a review