PM Fasal Bima Yojana Expands to Cover Crop Loss For This Reason

The Pradhan Mantri Fasal Bima Yojana (PMFBY) has been expanded to include crop losses caused by wild animal attacks and inundation of paddy fields, starting with the Kharif season of 2026. This is a significant upgrade to the scheme, providing much-needed insurance relief to farmers suffering from localised damages that were previously excluded. The announcement was made by the Union Agriculture Ministry in response to longstanding demands by farmers, particularly from regions bordering forests and flood-prone zones.

Wild Animal Attacks Now Covered Under PMFBY

From Kharif 2026, crop damage due to attacks by wild animals such as elephants, wild boars, nilgai, deer, and monkeys will be officially recognised as an insurable event. This risk will be included as the fifth add-on under the localized risk category of the scheme.

Such incidents are especially common in areas located near forests, wildlife corridors, and hilly terrains, where farmers face frequent invasions by wild animals that destroy standing crops and impact livelihoods.

Paddy Inundation Losses Also to Be Compensated

Another key inclusion is the inundation of paddy fields, which often occurs due to heavy rainfall, cyclonic storms, or inadequate drainage. With this move, farmers will now be eligible to claim insurance if their paddy crops are damaged by waterlogging or flooding.

This development is particularly relevant to states like Tamil Nadu, Andhra Pradesh, Assam, and West Bengal, where inundation has become a recurring issue during the monsoon season.

How PMFBY Functions

PMFBY is a centrally sponsored crop insurance scheme launched in 2016. It protects farmers from financial losses due to natural disasters, pests, and diseases affecting their crops. The scheme is available for both loanee and non-loanee farmers.

Premium Structure

• Kharif crops: 2% of sum insured
• Rabi crops: 1.5%
• Horticultural/cash crops: 5%

Any amount above these fixed premiums is shared equally between the Central and State Governments as a subsidy. Insurance companies are selected through a bidding process each year.

Localized Risk Category Explained

The Localized Risk section of PMFBY provides protection against crop losses caused by isolated events such as hailstorms, landslides, floods, and now includes wild animal attacks and inundation.

This category allows for fast-track assessment and claim settlement in specific villages or small areas where damage has occurred, even if the entire district is not affected.

Farmers to Benefit from the Latest Additions

The new inclusions are expected to bring significant relief to farmers,

• Farmers near forests will now be compensated for damage caused by wildlife—an issue that previously left them without recourse.
• Paddy growers in flood-prone areas will be better protected from income loss due to waterlogging and crop destruction.
• The move addresses regional vulnerabilities and offers more comprehensive risk coverage, promoting confidence among farmers to invest in agriculture.

Static Facts to Remember

• PMFBY launched: 2016
• Nodal Ministry: Ministry of Agriculture and Farmers Welfare
• Sum insured: Based on average yield and area sown
• Wild animals included: Elephants, wild boars, nilgai, deer, monkeys
• Localized Risk category: Now includes five types of insurable risks
• Claim process: Based on field-level assessment and weather data