Question

Write the nature of crop insurance plan.

Answer 1

1. Along with the nation’s transformation, agricultural sector is also getting transformed.
2. According to the 2011 census 54% of the total population in India is engaged in agriculture and agro-related sector.
3. Crop insurance makes up the loss or damage to growing crops resulting from a spread of causes like hail or drought frost, flood and disease.
4. The cultivators pay a premium and protection is given to them on an equivalent basis as in other insurance.
5. When the production from an insured acreage falls below the insured coverage, the tiller is entitled to an indemnity.
6. Coverage and premium rates are settled on the basis of productivity and susceptibility to risk of the lands under cultivation in the same, area.
7. Besides all-risk crop insurance, there are three other main sorts of insurance to hide the danger from fire, hail and flood.