Consider the following statements regarding the 'Pradhan Mantri Fasal Bima Yojana (PMFBY)' (Prime Minister's Crop Insurance Scheme):
I. It provides comprehensive insurance coverage against crop losses due to non-preventable natural risks.
II. Enrollment in the scheme is mandatory for all farmers in India to ensure maximum coverage.
III. It aims to stabilize the income of farmers and encourage them to adopt innovative agricultural practices.
IV. The premium rates payable by farmers are uniform across all crops and all states.
Which of the above statements accurately describe the features of the PMFBY?
Show answer & explanation
Correct answer: A
Explanation
I and III only
ExplanationThe 'Pradhan Mantri Fasal Bima Yojana (PMFBY)' is a comprehensive insurance scheme designed to support the agricultural sector. The accurate statements are Statement I and Statement III.
Statement I is correct because the scheme provides financial protection to farmers against crop losses resulting from non-preventable natural risks, covering everything from pre-sowing to post-harvest stages.
Statement III is correct because the program intends to ensure financial stability for farmers by reducing the risk of debt resulting from crop failure, thereby empowering them to invest in innovative and modern agricultural practices.
Statement II is incorrect because enrollment is not mandatory for all farmers; it is mandatory only for loanee farmers, while it remains optional for non-loanee farmers.
Statement IV is incorrect because premium rates are not uniform; they are specifically categorized as 2% for Kharif crops, 1.5% for Rabi crops, and 5% for commercial and horticultural crops.
Important Questions and AnswersQuestion: Which Ministry oversees the implementation of PMFBY?
Answer: The scheme is implemented under the Ministry of Agriculture and Farmers Welfare.
Question: What is the primary purpose of the low premium rates fixed under this scheme?
Answer: The rates are kept intentionally low to ensure affordability, allowing even small and marginal farmers to protect their livelihoods against unpredictable weather events.