Govt. to Transfer Rs. 3,200 Crore in Crop Insurance Claims

On 11th August 2025, the Central Government announced that it will directly transfer over Rs. 3,200 crore in crop insurance claim payments to more than 30 lakh farmers under the Pradhan Mantri Fasal Bima Yojana (PMFBY) through Direct Benefit Transfer (DBT) on a single day.

Key Points

Scale of Disbursement: First-ever large-scale single-day payout under PMFBY through DBT.
Timely Claim Settlement: A new process allows proportionate payments based on the central subsidy without waiting for state premium contributions; delays in contributions or payouts will attract a 12% penalty.
Scheme Impact Since 2016: PMFBY has covered over 78 crore farmer applications and paid Rs. 1.83 lakh crore in claims against Rs. 35,864 crore in premiums — a payout ratio exceeding five times the farmer-paid premium.
Technology Integration: Tools such as YES-TECH, WINDS portal, AIDE mobile app, Krishi Rakshak Portal, and helpline 14447 have been adopted to speed up settlements, improve weather data accuracy, and enable easy village-level registration.