Maha CM Devendra Fadnavis cracks whip, orders disbursal of all crop insurance claims

With the next sowing season set to begin, the Maharashtra government has directed insurance companies to dispose of all farm claims by June 5, 2018. Sources close to the development informed Zee Business's Anurag Shah that Chief Minister Devendra Fadnavis, during a meeting with CMDs of insurance companies, has asked that all claims be disbursed by June 5. 

Currently, a claim settlement of about Rs 4000 crore of crop insurance has not been disposed. During the meet, insurance companies representatives revealed that they were not being able to dispose of the claims due to certain technical glitches in the DBT details of the farmers. Reacting to this, CM Fadnavis asked them to deposit the amount in banks, which will be responsible for crediting the amounts to farmers. 

Figures reveal that the delay in disbursal of the state's farmers claims under the Centre's flagship crop insurance scheme, the Pradhan Mantri Fasal Bima Yojna (PMFBY) spans over Rs 2,260 crore in claims that were due for the Kharif season for 2017 alone. However, insurance companies have been able to pay just around Rs 165 crore to farmers till May 10, which stands at a mere 7.2 per cent of the total claims. 

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Notably, more than 81 lakh farmers have registered themselves under the insurance scheme and around 45 lakh farmers have made claims and out of this only 3.5 lakh have received the payouts.