PMFBY: No insurance firms bid for 3 clusters in Maharashtra

Farmers in as lots of as 8 districts in Maharashtra might not be ready to insure their crops underneath the PM Fasal Bima Yojana (PMFBY) scheme in the forthcoming kharif time as no coverage firm came forward to bid for three clusters in the Point out.

The last day for bidding for 12 clusters – each and every cluster has concerning one particular and four districts – was last Wednesday (Might 20), and there were being no takers for three clusters, and two other folks had just one particular bidder each and every, in accordance to sources in the know of points.

These districts are Aurangabad, Beed, Bhandara, Gondia, Jalna, Kolhapur, Palghar and Raigarh.

When Beed is a cluster with single district, Jalna, Gondia and Kolhapur form one particular cluster. The other four districts are part of yet another cluster which equally unsuccessful to appeal to bids. Other than, two freshly-fashioned single district clusters — Latur and Osmanabad — have bids from only one particular crop coverage firm, the Agricultural Insurance Corporation of India (AIC).

“One can understand why coverage firms are reluctant to give crop coverage cover in clusters this sort of as Beed, Latur and Osmanabad (which usually have some of the optimum assert prices), but it is astonishing to see there are no takers for the Cluster No. 6 comprising Palghar, Raigarh, Aurangabad and Bhandara, which has rather reduced top quality prices and lesser variety of statements,” the sources explained.

When Bajaj Alliance Insurance Co Ltd and Iffko-Tokio Insurance Cp Ltf bid for 5 clusters each and every, AIC, Reliance Insurance Co Ltd and HDFC Ergo bid for three clusters each and every. Bharti Axa Standard Insurance sought to work in two clusters.

Lousy participation

Equally, the other crop coverage scheme – Weather Primarily based Crop Insurance Scheme – too unsuccessful to excite the coverage companies, prompting the Point out agriculture department to increase the deadline until Might 28 citing ‘poor participation’.

The flagship crop coverage scheme introduced by the Narendra Modi-led NDA governing administration was in bit of trouble in Maharashtra due to the fact the past kharif time, especially.

Major rains and floods during the fag conclusion of the past monsoon time resulted in large crop loss in the Point out, primarily in Marathwada location.

As a end result, coverage companies supplying threat cover underneath PMFBY scheme had to shell out a hundred and twenty for each cent of whole top quality collected in the Point out.

Throughout the rabi seasonn that has just gone by, coverage companies did not come forward to give PMFBY cover to farmers.

According to the sources, the governing administration is in two minds: regardless of whether to repeat bidding system only for individuals three clusters or for all clusters in the Point out.

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