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  4. PMFBY Crop Insurance: How Farmers Can Apply and What It Actually Covers
Guides August 14, 2026 2 min read

PMFBY Crop Insurance: How Farmers Can Apply and What It Actually Covers

PMFBY caps a farmer's premium share and subsidises the rest — but only for notified crops in notified areas, and only if you report loss within the window.

TCTechToolsCenter Team

On this page

  • What's actually covered
  • Compulsory for some, optional for others
  • How to apply
  • The two mistakes that cost farmers a valid claim

Pradhan Mantri Fasal Bima Yojana (PMFBY) is the government's crop insurance scheme — it protects farmers against yield loss from drought, flood, pests and unseasonal weather, with the farmer paying only a small, capped share of the premium while the Central and State governments subsidise the rest. For the full details and the official link, see our PMFBY Crop Insurance page.

What's actually covered

The scheme covers yield loss on a notified crop in a notified area caused by natural risks — drought, flood, hailstorm, pest attack, disease and unseasonal rainfall among them. Coverage applies specifically to crops and areas that have been officially notified for that season, which is the detail most farmers skip checking before assuming they're covered.

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Compulsory for some, optional for others

If you've taken a Seasonal Agricultural Operations (SAO) loan for a notified crop, enrolment is compulsory. If you haven't taken such a loan, enrolment is optional — you can still apply as a non-loanee farmer, but you have to do it yourself rather than it happening automatically through your bank.

How to apply

  1. Check the current season's notified crops and areas on the official PMFBY portal (pmfby.gov.in) — coverage only applies if both match.
  2. Apply online on the portal, through your bank if you have a crop loan, or at a Common Service Centre (CSC).
  3. Submit land records, Aadhaar, bank account details and a sowing certificate for the insured crop.
  4. Pay your capped premium share — the rest of the actuarial premium is government-subsidised.
  5. If loss occurs, report it within the window specified by the scheme so a loss assessment can be conducted.
Premium caps are commonly cited as up to 2% for Kharif crops, 1.5% for Rabi crops and 5% for commercial/horticultural crops — but confirm the exact current rate for your crop and season on the official portal before you budget for it, since notified crops and rates can vary by state and season.

The two mistakes that cost farmers a valid claim

The most common reasons a claim gets rejected aren't about the loss itself — they're procedural. Missing the season's enrolment deadline means there's no policy to claim against at all, and missing the loss-reporting window after damage occurs means there's no assessment to base a payout on. Both are entirely within a farmer's control if the dates are tracked in advance.

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Frequently asked questions

It's compulsory only for farmers who've taken a Seasonal Agricultural Operations (SAO) loan for a notified crop. It's optional — but still available — for non-loanee farmers.

TC

TechToolsCenter Team

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On this page

  • What's actually covered
  • Compulsory for some, optional for others
  • How to apply
  • The two mistakes that cost farmers a valid claim

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