Agricultural insurance companies are yet to settle claims for both mid-seasonal and post-harvest crop loss claims registered by farmers in Maharashtra. The claims have not been settled despite the surveys being completed on time and farmers intimating their losses.

This season, farmers from the state had reported crop loss twice during the kharif season. While a delay in monsoon had resulted in crop loss in July and August, heavy rain towards the harvest season had seen farmers losing their ready crops.

Maharashtra has seen 96.61 lakh applications for insuring crops over 57.63 lakh hectares of farmland. Farmers in the state have paid Rs 656.02 crore as their share of the premium to insure their crops. Pradhan Mantri Fasal Bima Yojana allows claims for both mid-seasonal as well as post-harvest losses for insured crops.

Reports from the Department of Agriculture show that the 53.48 lakh combined intimation both for mid-seasonal and post-harvest crop loss has been received by insurance companies. The combined claims on both accounts worked out to be Rs 1,766.79 crore, but till October 31, farmers have received just Rs 240.7 crore as compensation. Two companies alone account for Rs 1,456 crore worth of claims of which they have settled only Rs 9.90 crore.

Officers of the agriculture department said surveys have been completed in many cases but the claims have not been settled yet. Once intimation about crop loss is received, a company validates the claims and is expected to start the process of transfer of the amount into the accounts of the farmers.

Delay in the settling of claims, especially for post-harvest losses, would amount to financial hardship for farmers who have lost a significant portion of their earnings because of the heavy rain.

Agriculture insurance has come under severe criticism both from the ruling as well as the Opposition parties as companies have failed to adhere to the time limit to settle claims.

Agriculture commissioner Dheeraj Kumar had taken up the matter with the companies about the delay in claim settlement on several occasions but the problem continues to linger.

Source - https://indianexpress.com