A Descriptive Study on PMFBY Insurance Schemes

Agriculture sector in India faces the risk of loss due to draughts, floods and other natural calamities and thereby it is imperative to protect farmers form any kind of loss and enable them to maintain their financial position for the next crop season. Agriculture and allied activities are of the most important sectors of Indian economy and accounts for nearly 16% of India?s gross domestic product (GDP) and provides employment to about half of the workforce of the country. Realizing the importance of agriculture sector various schemes have been launched by government since independence in the interest of farmers of the country. The recently launched scheme is the Pradhan Mantri Fasal Bima Yojana (PMFBY), which is a kind of a ?One nation - One scheme? launched in the year 2016. PMFBY provides a widespread insurance cover against failure of the crops and helps in stabilizing the income of the insured farmers. The present paper is an attempt to study the conceptual framework of the scheme and identifying the benefits of PMFBY in the country. It is a kind of descriptive research highlighting the peculiarities of the scheme and its prospective effects in the betterment of Indian farmers.