Constraints in adoption of crop insurance scheme (PMFBY) in Cuddalore District of Tamil Nadu
1*M. Arikrishnan and 2S. Kalaiselvi
1Research Scholar, Annamalai University, Department of Economics, Faculty of Arts, Tamil Nadu, India, Annamalai Nagar - 608002 (India) 2Assistant Professor, Annamalai University, Department of Economics, Faculty of Arts, (Deputed to) Thiru Kolanjiappar Government Arts College, Virudhachalam, Tamil Nadu. - 606001 * Address for Correspondence : M. Arikrishnan, Research Scholar, Department of Economics, Faculty of Arts, Annamalai University, Annamalai Nagar, Tamil Nadu - 608002 (India) Email: arikrishnan8@gmail.com
ABSTRACT
Agriculture, along with its other industries, is without a doubt India’s most vital source of revenue, particularly in the vast rural areas. It also makes a substantial contribution to GDP. Agriculture employs more than 58 percent of he population in this country. It supplies the bulk of wage products needed by non-agricultural sectors, as well as the majority of raw materials needed by the industrial sector. Droughts, floods, cyclones, storms, landslides, and earthquakes have all had a substantial impact on agricultural production and farm revenue in India. Crop insurance is one way for farmers to mitigate crop loss risk. Crop insurance is a financial mechanism that accounts for a wide range of crop output to offset the impact of agricultural revenue loss variables.Because paddy was the state’s and Cuddalore district’s principal crop, and it was also harmed by natural disasters including floods, droughts, torrential rains, and cyclones, this study looked into the “Constraints in Adoption of Crop Insurance Scheme.PMFBY in Cuddalore District of Tamil Nadu.The study’s specific goal is to identify the barriers to crop insurance scheme adoption PMFBY and provide policy recommendations. The study concluded that after the establishment of the crop insurance system PMFBY, there was increased delay in claims payment, which was one of the most common obstacles in the plan’s adoption. As a result, to improve the performance of the insurance system, the majority of insured 80.41% and non-insured 65.83% farmers said that quick settlement of claims before the start of the next season is a more effective way. During the study period, the insured 53.75% and non-insured 17.50% farmers reported that the Kharif Season paddy II crop premium rate was higher than the Rabi Season