Deepender flags concern over 90% dip in Fasal Bima Yojana payouts

Congress MP Deepender Hooda has raised concerns over a 90% decline in the payment of crop insurance claims under the Pradhan Mantri Fasal Bima Yojana (PMFBY) for Haryana farmers in 2023-24. His question in the Lok Sabha revealed that while Rs 2,496.89 crore was disbursed in 2022-23, the amount plummeted to Rs 224.43 crore in 2023-24.

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Hooda warned that this massive drop in claim settlements could lead to a financial crisis for farmers and erode trust in the scheme.

“The Fasal Bima Yojana has become a tool for private insurance companies to fill their coffers by looting farmers’ hard-earned money,” he said.

According to Minister of State for Agriculture and Farmers Welfare Ram Nath Thakur, insurance payouts across India also declined from Rs 18,211.73 crore (2022-23) to Rs 15,504.87 crore (2023-24). Several states, including Rajasthan (Rs 4,141.98 crore to Rs 2,066.02 crore), Odisha (Rs 568.01 crore to Rs 209.03 crore) and Madhya Pradesh (Rs 1,027.48 crore to Rs 565.28 crore), saw similar drops.

Hooda criticised the lack of farmer representation in crop loss assessments.

“The government and insurance companies are arbitrarily deciding claims, forcing farmers to run from pillar to post,” he alleged.

He added that delays in state government grants, discrepancies in crop production data and procedural hurdles are causing claim rejections.

“The government must resolve these issues immediately to ensure farmers get their rightful compensation on time,” he urged.