Pik Vima: Ensuring Crop Protection and Financial Stability

In 2016, Pradhan Mantri Fasal Bima Yojana (PMFBY) was launched to ensure insurance coverage against unfortunate financial losses suffered by Farmers.  This insurance offers coverage for crop failure under natural calamities, pests, crop diseases, unseasonal rain, post-harvest losses, and other risks.

The primary agenda of PMFBY is to provide affordable crop insurance to farmers all over India, under the vision – “One Nation, One Crop, One Premium”. This Pik Vima is a first-of-its-kind agri-sector insurance scheme that aims to expand the crop Insurance penetration in India.

Key Objectives of Pradhan Mantri Fasal Bima Yojana

Agriculture is the backbone of the Indian economy. And it is our Farmers who work really hard in the fields to ensure productivity in the agriculture sector. 

Considering the agony of farmers due to financial distress, the government has introduced this Pik Vima. The main objective of PMFBY is to empower farmers with comprehensive coverage for crop failure and stabilise their annual income. Below, the key objectives have been briefly listed.

  • To offer financial assistance to farmers against crop failure

  • To ensure the sustenance of farmers in agriculture by stabilising their income

  • To motivate farmers to adopt modern & innovative agricultural approaches

  • To ensure the affordability of crop insurance in India

Benefits of Pradhan Mantri Fasal Bima Yojana

  • Reduces farmer’s contribution to premium significantly, i.e. 1.5% for Rabi crops, 2% for kharif crops, and 5% for commercial crops.

  • In case of localised risks such as inundation, hailstorm, and landslide, there is provision to assess the losses individually

  • In case of unseasonal rain or cyclonic rain, resulting in heavy damage to the harvested crop, assessment of yield loss on an individual plot is ensured within a maximum period of two weeks from harvesting time.

  • Integration of technology i.e. smartphone and remote sensing, to speed up the claim payment process.

Who Can Avail the Benefits of Pradhan Mantri Fasal Bima Yojana?

  • All farmers in India who are into farming Food crops (Millet, pulses, cereals), oil seeds, and Annual horticulture/commercial are covered under Pik vima. 

  • Even the tenant farmers and sharecroppers who are into the farming of notified crops in notified areas are covered under PMFBY.

  • For non-loanee farmers are also eligible for insurance coverage; they just need to submit the necessary land documents or agreement details in case of tenancy.

What is Covered Under the PMFBY Crop Insurance Scheme?

Below listed stages of crops and potential risks leading to crop failure are covered under the insurance scheme.

  • Prevented sowing failure risk

If more than 75% of the insured area remains unsown or prevented from planting due to adverse weather conditions, then the farmer is eligible for insurance coverage.

  • Standing crop Risk

If crop farming is affected anytime from sowing to harvesting due to unpreventable risks like cyclones, storms, lightning, drought, pests, fire, landslide, flood, and hailstorm, then the yield loss is covered under Pik Vima.

  • Post Harvest losses

For those crops which are to be dried in small bundled/ cute and spread condition in the field are covered only up to a maximum period of 14 days from harvesting. Assessment of the damage is conducted on an individual basis. 

  • Loss due to localised calamities

 Any type of damage to notified crops caused due to localised risks of cloud bursts, landslides, natural fire, hailstorms, and inundation is covered under Pik Vima.

What is Not Included in Pradhan Mantri Fasal Bima Yojana?

The primary intention of PMFBY is to secure the livelihood of farmers. Pik Insurance coverage or pmjay is available for almost every type of crop loss. But there are a few exclusions. 

Risks which are preventable, malicious damage or damages that are caused with intention, and losses that occur due to war and nuclear risks, are not included in Pradhan Mantri Fasal Bima Yojana.

Before You Go..


Pik Vima is a noble initiative for the good of farmers. The premium charges are shared equally by the government and farmers. For more information about insurance coverage and premiums, you can check Bajaj Allianz’s Pradhan Mantri Fasal Bima Yojana.

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