A new central sector scheme, ‘National Crop Insurance Programme’ (NCIP) has been introduced by merging Modified National Agricultural Insurance Scheme (MNAIS), Weather Based Crop Insurance Scheme (WBCIS) and Coconut Palm Insurance Scheme (CPIS) throughout the country from Rabi 2013-14.Administrative Approval for implementing NCIP from Rabi 2013-14 has been issued on 1st November, 2013.NCIP has been introduced to provide financial support to the farmers for losses in their crop yield, to help in maintaining flow of agricultural credit, to encourage farmers to adopt progressive farming practices and higher technology in Agriculture and thereby, to help in maintaining production, employment & economic growth. Besides, farmers are also benefitted due to:- coverage of indemnity for prevented sowing/planting risk and post harvest losses (due to cyclone in coastal areas),- higher level of indemnity and more proficient basis for calculation of threshold yield,- faster settlement of claims due to provision for making 50% advance of likely claims under MNAIS component for immediate relief to the farmers, etc.To encourage the State Governments to implement the scheme at village/ village panchayat level, a provision to reimburse 50% of incremental expenses on Crop Cutting Experiments has been made in the scheme.Unit area of insurance has been reduced to the village/village panchayat level in the restructured scheme of ‘National Crop Insurance Programme’ (NCIP). Continued efforts are made to create awareness about crop insurance schemes by the implementing agencies in coordination with implementing states. The salient activities under awareness campaign, involve the publicity of features & benefits of the scheme through advertisements in leading National/local News Papers, telecast through audio-visual media, distribution of pamphlets, participation in agriculture fairs/mela/gosti, organization of workshops/trainings and SMS through Kisan Portal etc.

Source - http://pib.nic.in/