PM Fasal Bima Yojana 2026: Premium, Claim and How to Apply

Pradhan Mantri Fasal Bima Yojana (PMFBY) is the government's crop insurance scheme: you pay at most 2% of the sum insured for kharif crops, 1.5% for rabi crops and 5% for commercial or horticultural crops, and the Centre and states pay the rest. It covers yield loss from drought, flood, pests and other natural risks, failed sowing, localised disasters and some post-harvest losses. You can enrol through your bank, a Common Service Centre, your insurer or pmfby.gov.in before the season's cut-off date.

All terms below are as of October 2026.

Status in 2026

PMFBY is active. A PIB note dated 29 August 2026 says it is being implemented by 25 states and union territories in Kharif 2026, West Bengal rejoined from Kharif 2026, and Bihar will rejoin from Rabi 2026-27. The Union Budget 2026-27 allocated ₹12,200 crore to it. The last Cabinet approval ran to 2025-26, and in March 2026 the Finance Ministry allowed the scheme to continue on the same terms while its approval for the 2026-31 period is completed. Enrolment for Kharif 2026 crossed 241 lakh farmers by 27 August 2026.

Premium you pay

The actual (actuarial) premium is set by tender and is often much higher. The difference is shared by the Centre and the state 50:50, or 90:10 in the North Eastern and Himalayan states. Some states have at times paid the farmer's share too, so check your state's notification.

What is covered

• Yield loss on standing crops across a notified area, from drought, dry spells, flood, inundation, cyclone, hailstorm, lightning, pests and diseases.
• Prevented or failed sowing due to bad weather, with claims up to 25% of the sum insured.
• Localised calamities at individual farm level: hailstorm, landslide, inundation, cloudburst and natural fire.
• Post-harvest losses for crops left in "cut and spread" condition in the field for up to 14 days, from cyclone and unseasonal rain.
• New from Kharif 2026: crop loss from wild animal attack as an add-on localised cover, where the state notifies the animals and areas, and paddy inundation restored as a localised calamity.

Not covered: losses in non-notified areas or crops, losses before sowing or after removal from the field (other than the post-harvest window), and losses from war, nuclear risks, riots, theft, negligence or other preventable causes.

Who is eligible

• All farmers, including tenant farmers and sharecroppers, growing notified crops in notified areas.
• You need an insurable interest: land records, a tenancy agreement or a sowing certificate, as your state requires.
• Loanee farmers with a seasonal crop loan or active Kisan Credit Card are enrolled by the bank, with the premium debited from the loan, unless they opt out in writing at least seven days before the cut-off.
• Non-loanee farmers can enrol voluntarily. On average about half of all enrolled farmers over the last 10 years were non-loanee.

How the sum insured and claim are worked out

The sum insured per hectare is generally linked to the scale of finance for the crop fixed by the district committee. For area-based yield losses:

• Threshold yield = average yield of the last seven years for the insurance unit, leaving out up to two notified calamity years, × indemnity level (70%, 80% or 90%, depending on the area's risk).
• Claim = (Threshold yield − Actual yield) ÷ Threshold yield × Sum insured.

Actual yield comes from crop cutting experiments, increasingly combined with satellite-based estimates under YES-TECH, which now carries up to 50% weightage in some states.

Worked example (illustrative)

Ravi insures 2 hectares of kharif paddy. Assume a sum insured of ₹50,000 per hectare and an actuarial premium of 12%. These figures are for illustration only.

Now suppose the threshold yield for his insurance unit is 40 quintals per hectare and the season's actual yield is 28 quintals.

• Shortfall: (40 − 28) ÷ 40 = 30%
• Claim: 30% × ₹1,00,000 = ₹30,000

The claim is paid by direct transfer to the bank account linked in the policy. For more on avoiding rejections in any insurance, see insurance claim rejected reasons.

Documents needed

• Aadhaar (or enrolment number) and a bank account linked to it.
• Land records, or tenancy or sharecropping agreement, or sowing certificate as notified by the state.
• Sowing declaration: crop, area and survey number.
• Bank passbook first page.

How to enrol, step by step

1. Check what is notified. States notify crops, insurance units and cut-off dates each season. The kharif cut-off is commonly 31 July, and rabi cut-offs are usually in December, but some states extend them; Karnataka, for example, extended Kharif 2026 enrolment for eligible loanee farmers to 31 August.
2. Loanee farmers: confirm with your bank that your crop and area are correct. If you do not want cover, submit the opt-out declaration at least seven days before the cut-off.
3. Non-loanee farmers: enrol at a bank branch, a Common Service Centre, through an insurance intermediary using the AIDE app, or yourself on pmfby.gov.in (Farmer Corner).
4. Pay the premium and keep the receipt or policy number.
5. Check your policy on pmfby.gov.in or the Crop Insurance App to confirm the crop, area and bank account.

Do not pay any agent a "form charge" or fee on top of the premium, and check that the premium receipt shows your policy details.

How to claim

1. Area-wide yield loss: no separate claim form. The claim is calculated from yield data for your insurance unit and paid after the season.
2. Localised loss or post-harvest loss: report within 72 hours through the Crop Insurance App (with geotagged photos where asked), the helpline 14447, your insurer, bank or agriculture department office.
3. A survey is done to assess the loss, and claims for localised losses are calculated through the CLAP app.
4. Track status on pmfby.gov.in or by calling 14447.

The scheme's operational guidelines provide for insurers to pay 12% a year interest to farmers when claims are settled late beyond the prescribed timelines, and reports say this is calculated automatically on the national portal.

Common reasons claims are reduced or rejected

• Crop or area declared does not match the sown crop or land records.
• Localised loss not reported within 72 hours.
• Bank account or Aadhaar details wrong, so payment fails.
• Crop not notified for your area, or loss from an excluded cause.
• Enrolment after the cut-off date.

How to complain

1. Call the Krishi Rakshak Portal and Helpline: 14447 (toll-free) or lodge a grievance on the portal. Since its national launch in January 2024, it has resolved over 26 lakh grievances.
2. Write to the insurance company's grievance officer for your district, quoting your policy number.
3. Approach the district agriculture officer, who is part of the district-level grievance committee for the scheme.
4. For problems with premium deduction from a crop loan, use the bank's grievance channel and then the RBI Integrated Ombudsman at cms.rbi.org.in.

If a crop fails and repayment is hard, also ask your bank about restructuring; see agriculture gold loan and loan restructuring options.

Key takeaways

• PMFBY is active in 2026 in 25 states and UTs, with ₹12,200 crore budgeted for 2026-27.
• Farmers pay at most 2% (kharif), 1.5% (rabi) or 5% (commercial and horticultural crops); governments pay the rest.
• From Kharif 2026, wild animal attack and paddy inundation are covered as localised risks where notified.
• Enrolment is voluntary for everyone; loanee farmers must opt out in writing seven days before the cut-off.
• Report localised and post-harvest losses within 72 hours; the helpline is 14447.