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Government Mulls Penalties Under PMFBY to Push Crop Insurance
July 13, 2018
Finding laxity and lapses in the implementation of Pradhan Mantri Fasal Bima Yojana (PMFBY), the central government is considering imposing penalties on state governments, insurers, and banks for failing to comply with the scheme’s norms.
The NDA government also wants to incentivize states that disburse the funds to the eligible farmers promptly and follow the guidelines without fail.
The penalty could be levied by asking the states to pay a higher premium. At present, it’s divided between the state and center equally i.e. 50:50.
Photo credit: Sarath.kuchi on Visual hunt / CC BY-SA
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