Restructured weather based crop insurance scheme: Constraints suggestions given by beneficiary farmers

Abstract

Climate variability and extreme weather events have become a great threat to agricultural production in India. Climate change is often linked with record-breaking heavy or poor rainfall events, unprecedented storms, extreme day and night time temperatures. Crop insurance is one of tools which help the farmers to mitigate the agriculture risks. The Central Government has introduced a voluntary Restructured Weather based Crop Insurance Scheme (RWBCIS) as an effective risk management strategy, wherein farmers have to pay premium of 5 percent of total compensation for availing the benefits under the scheme. Grape and Pomegranate a major commercial crops of Maharashtra, 81 percent and 66 percent share of total Indian’s production is attributed to the Maharashtra respectively. The study was conducted in Nasik and Solapur districts of Maharashtra with 150 sample size to study the constraints and suggestion of the scheme. Research findings of the major constraints were, farmers felt that they were paid less compensation when compared to the sum insured, Premium rates were high for fruit crops, weather data present with authorities is inadequate for loss assessment, delay in getting claim amount and crop loss is not assessed properly. Few of the major suggestions were, settlement of claim should be before starting of the next cropping season. Premium amount should be less for Horticulture crops. There should be transparency in settlement of the claim. Looking upon these suggestions can help policy makers and administrators to take necessary steps for disseminating timely agriculture insurance.