G.O. Ms. No. 220, Pradhan Mantri Fasal Bima Yojana, 2016
The Tamil Nadu Agriculture Department issued G.O. Ms. No. 220, Agriculture (AP6), dated 21st July 2016, approving implementation of the Pradhan Mantri Fasal Bima Yojana in every Tamil Nadu district except Chennai from Kharif 2016 onwards. The scheme replaces the National Agricultural Insurance Scheme and changes how crop insurance premiums, insurers and compensation are handled.
What the government approved
G.O. Ms. No. 220, Agriculture (AP6), dated 21st July 2016, gives administrative approval to implement the Pradhan Mantri Fasal Bima Yojana at an estimated cost of Rs. 487.3703 crore. Implementation covers all Tamil Nadu districts except Chennai from the Kharif 2016 season onwards.
The Tamil Nadu Agriculture Department approved the following changes:
- The Pradhan Mantri Fasal Bima Yojana replaces the National Agricultural Insurance Scheme in Tamil Nadu.
- The insurance unit is a Revenue Village, instead of the Firka or Block level used under the earlier scheme.
- Premiums are calculated on an actuarial basis.
- Farmers bear a fixed premium share of 1.5% to 2%.
- The remaining premium is shared equally by the Government of India and the Government of Tamil Nadu.
- Insurance companies, including private insurers empanelled by the Government of India, may implement the scheme.
- The selected crop insurance company is responsible for paying crop loss compensation to farmers. The two governments share compensation equally when it exceeds 350% of premium collected at the national level.
Funding and administration
G.O. Ms. No. 220 estimates Rs. 478.4895 crore for agricultural crops and Rs. 8.8808 crore for horticultural crops. Financial sanction is to be given after claims are received from insurers selected through tender, together with proposals from the Commissioner of Agriculture and the Commissioner of Horticulture and Plantation Crops.
The Commissioner of Agriculture is authorised to approve premium rates for agricultural and horticultural crops for three years, from 2016-17 to 2018-19, through a tender procedure. Additional posts in the Agriculture Department and the Department of Economics and Statistics are accepted in principle, subject to a separate consolidated staffing proposal.
Other insurance schemes
G.O. Ms. No. 220 also:
- Authorises the Unified Package Insurance Scheme in Cuddalore and Nagapattinam districts because they face frequent risks.
- Continues the Coconut Palm Insurance Scheme under existing Government of India guidelines.
- Records the decision not to implement the Restructured Weather Based Crop Insurance Scheme.
Who is affected
G.O. Ms. No. 220 primarily affects farmers seeking crop insurance, participating insurance companies, banks handling premiums, and the agriculture and horticulture authorities administering the schemes. It concerns crop insurance and does not set out provisions on land ownership, registration, sale or development.
This summary is generated from the source document to help you find what is relevant. The PDF above is authoritative. For advice on your own property, use LandLens One or speak to a qualified professional.
Common questions
Is the Pradhan Mantri Fasal Bima Yojana available throughout Tamil Nadu?
It was approved for every district of Tamil Nadu except Chennai from the Kharif 2016 season onwards.
What area is treated as the insurance unit?
A Revenue Village is the insurance unit under the Pradhan Mantri Fasal Bima Yojana.
Can private insurance companies implement the crop insurance scheme?
Yes. Private insurance companies empanelled by the Government of India may be selected as implementing agencies.
Does this government order change my land title or registration rights?
G.O. Ms. No. 220 deals with crop insurance, premiums, compensation and scheme administration. It does not set out provisions on land title or property registration.
