Historic ₹3,200 Crore Crop Insurance Payout for Farmers

Under the leadership of Prime Minister Narendra Modi, a landmark programme will take place tomorrow, August 11, 2025, in Jhunjhunu, Rajasthan. The event will mark the largest-ever digital crop insurance claim payment under the Pradhan Mantri Fasal Bima Yojana (PMFBY).

Union Agriculture Minister Shivraj Singh Chouhan will chair the programme. Rajasthan Chief Minister Bhajanlal Sharma will be the Chief Guest. Senior ministers, public representatives, and thousands of farmers will join at the Jhunjhunu Airstrip. Lakhs of farmers from across India will connect virtually.

Direct Benefit Transfer to 30 Lakh Farmers

For the first time, over ₹3,200 crore will be digitally transferred directly into the bank accounts of more than 30 lakh farmers through Direct Benefit Transfer (DBT).

State-wise distribution includes:

• Madhya Pradesh: ₹1,156 crore

• Rajasthan: ₹1,121 crore

• Chhattisgarh: ₹150 crore

• Other states: ₹773 crore

This initiative ensures that farmers receive their rightful insurance claims without delays or middlemen.

Strengthening Farmers’ Financial Security

Shivraj Singh Chouhan called this a major step towards rural economic empowerment. Timely crop insurance claim settlements will:

• Improve farmers’ financial stability.

• Boost confidence to invest in better seeds and technology.

• Provide a safety net against unpredictable weather.

The Minister emphasised that technology and transparency are at the heart of PMFBY.

New Simplified Claim Settlement System

From the Kharif 2025 season, claim payments will be made proportionately based on the central subsidy, without waiting for state contributions.

Key new rules:

• State delay in subsidy → 12% penalty to be paid.

• Insurance company delay in payment → 12% penalty to farmers.

This ensures farmers get their payments faster and without bureaucratic hurdles.

PMFBY’s Massive Impact Since 2016

Since its launch in 2016, PMFBY has:

• Covered over 78 crore farmer applications.

• Disbursed ₹1.83 lakh crore in claims.

• Collected ₹35,864 crore in farmer premiums.

This means farmers have received over five times their premium in payouts — a testament to the scheme’s farmer-friendly approach.

Tech Innovations for Faster Claims

In recent years, several technology-driven tools have been introduced:

• YES-TECH: Improves yield estimation accuracy.

• WINDS Portal: Provides advanced weather intelligence.

• AIDE Mobile App: Helps farmers register claims quickly.

• Krishi Rakshak Portal & Helpline 14447: Offers claim support at the village level.

These tools enhance data accuracy, speed up claim settlements, and make the process farmer-centric.

Building Atmanirbhar Bharat Through Agriculture

The Pradhan Mantri Fasal Bima Yojana is more than just an insurance scheme. It is a commitment to empowering farmers, reducing their vulnerability to climate risks, and ensuring they can focus on productivity without fearing losses.

By integrating technology with governance, the government is working to build an Atmanirbhar Bharat — where farmers are self-reliant, financially secure, and equipped for the future.

Key Highlights at a Glance

• Event Date: 11 August 2025

• Venue: Jhunjhunu Airstrip, Rajasthan

• Total Payout: ₹3,200 crore

• Beneficiaries: Over 30 lakh farmers

• Delivery Mode: Direct Benefit Transfer (DBT)

• Major Beneficiary States: Madhya Pradesh, Rajasthan, Chhattisgarh, others

• Technology Integration: YES-TECH, WINDS, AIDE App, Krishi Rakshak Portal