Chandigarh, Feb 17: Private and public insurance companies have accumulated substantial profits through the Pradhan Mantri Fasal Bima Yojana, even as many farmers continue to wait for claim settlements following weather-related crop losses. Figures from the Union Agriculture Ministry show that nationwide profits for these firms touched Rs 47,216 crore between 2023 and 2025.
In Haryana, the gap between premium collections and claim payouts resulted in a three-year profit of Rs 2,096 crore for insurers. While the state saw gross premiums of Rs 756.10 crore in 2023 and over Rs 1,000 crore in both 2024 and 2025, the payouts to farmers remained relatively low. In 2025 specifically, only Rs 95 crore was distributed in claims against over Rs 1,003 crore collected in premiums.
The funding for these premiums is shared equally between the state and central governments, with a smaller portion covered by the farmers. Over the reported three-year span, the Haryana and Central governments each provided over Rs 1,047 crore to the scheme.
“The financial year 2025 proved the most lucrative,” the report maintained, noting that insurers earned Rs 20,619.28 crore nationwide in that year alone. Across the three-year period, the total national premium collection reached Rs 82,015.52 crore, while only Rs 34,799 crore was paid back to cultivators for losses.
Farmer representatives have criticized the disparity between the high premiums and the low rate of claim settlements. Balbir Singh Thakan of the All India Kisan Sabha maintained that the current data reflects a system that prioritizes corporate gain over agricultural stability.
Thakan affirmed that cultivators in Bhiwani and Charkhi Dadri have been forced to stage sit-in protests to seek their rightful dues. He further declared that the government has not yet taken sufficient action to ensure that insurance firms expedite the release of these long-delayed payments.
