Blog

New Crop Insurance Interests Private Insurance Companies

The Pradhan Mantri Fasal Bima Yojana is likely to see great interest from private general insurance companies, with one authority to execute the plan and accessibility of localized risk coverage.

As per the insurers, this will be helpful since, unlike previously where there was a claim subsidy, this plan will provide premium subsidy and be more reasonable for farmers.

“There were multiple schemes — NAIS, MNAIS and weather-based crop insurance — with different implementing authorities. Now, with one scheme, it will be easier for us to be a part of it, since it covers almost all conditions,” said the Chief Executive of Private General Insurer. Further, the companies said, as all states have been asked to implement it, insurers will find it easier to be a part of the scheme.

Sanjay Datta, Chief of Underwriting and Claims at ICICI Lombard General Insurance, said they’d be eager to join.  Presence of catastrophic events to this cover, such as protection from cyclone impact, would be valuable.

“There were multiple schemes — NAIS, MNAIS and weather-based crop insurance — with different implementing authorities. Now, with one scheme, it will be easier for us to be a part of it, since it covers almost all conditions,” said the Chief Executive of private general insurer.

You May LIke

Irdai Pushes For Enhanced Governance of Insurance Companies Insurers  may shortly have to overhaul their boards with the Insurance Regulatory and Development Authority of India (Irdai) emphasizing on governance compliance norms. The chief executive of a well-known insurance company said, “A stronger board is the maiden step towards listing on the exchanges....
IRDAI Not For Removing Cap On Commission Insurance Regulatory and Development Authority of India (IRDAI) is all for the continuation of the limit on commission and other payment paid to insurance brokers, but not averse to revisiting the quantum. “There has to be regulatory limit. It is there for public good”, IRDAI chairman T.S.Vijayan s...
Fertile Ground For Crop Insurance Rating agency CRISIL has stated that the Centre requires to enlarge the irrigation coverage, give a big push to crop insurance and make agriculture remunerative. Ahead of the Union Budget proposals, it has also suggested extending the Direct Benefits Transfer scheme to food and fertilizer subsidies...
Apollo Hospitals Group To Sell 23.3% Stake The Board of Directors of Apollo Energy Company, an Apollo Hospitals Group Company, has accepted the divestment of 23.3% shareholding in Apollo Munich Health Insurance Company (Apollo Munich) to its joint venture partner, Munich Re of Germany for Rs 163.5 crore. The planned transaction values Apoll...
Stricter Rules For New Crop Insurance Plan The new crop insurance namely - Pradhan Mantri Fasal Bima Yojana (PMFBY) will be tough with the insurance companies, states which do not stick on to its rules. Ashish Kumar Bhutani, Joint Secretary, Ministry of Agriculture & Farmers' Welfare, Government of India said that a policy of 'one season...