Delays in Insurance Claims to Attract 12% Interest, Says Agriculture Minister During VKSA Outreach in Sehore

08 June 2025, New Delhi: Union Minister for Agriculture, Farmers Welfare and Rural Development, Shri Shivraj Singh Chouhan, has announced a significant reform aimed at strengthening the Pradhan Mantri Fasal Bima Yojana (PMFBY). Speaking during his visit to Ichhawar in Sehore district, Madhya Pradesh, as part of the Viksit Krishi Sankalp Abhiyan (VKSA), the Minister declared that delays in disbursing crop insurance claim payments will now attract an additional 12% interest from insurance companies. This step has been taken to ensure that farmers receive timely compensation for crop losses, thereby boosting their confidence in the crop insurance system.

Viksit Krishi Sankalp Abhiyan: Transforming Agriculture from the Ground Up

The Minister’s visit to Sehore under the ongoing Viksit Krishi Sankalp Abhiyan reflects the campaign’s goal to build a unified and modern agricultural system across India. The VKSA initiative is founded on the vision of “One Nation–One Agriculture–One Team” and is designed to foster close collaboration between agricultural scientists and farmers. Through this campaign, scientific teams are visiting villages to provide location-specific advice on crop choices, soil health, and farming techniques. Shri Chouhan explained that by using improved seed varieties suited to the local soil and climatic conditions, farmers could increase their yields by up to 1.5 times. Importantly, VKSA is also a feedback platform where scientists not only disseminate research but also listen to farmers’ on-ground challenges to guide future innovations and policy reforms.

Strengthening Farmer Security and Promoting Sustainable Practices

Shri Chouhan outlined six priority areas for VKSA: increasing agricultural production, reducing input costs, ensuring fair prices for farm produce, offering timely compensation for crop losses, encouraging diversification of crops, and promoting sustainable soil management through organic practices. These objectives are being implemented through a combination of field-level advisories, policy support, and community engagement to empower farmers and make agriculture more resilient. The announcement of the 12% interest on delayed insurance payments was made in this context, underlining the government’s intent to make insurance schemes more reliable and farmer-friendly.

Welfare Schemes to Broaden Rural Support

In addition to agricultural initiatives, the Minister shared updates on various welfare schemes aimed at holistic rural development. He informed that under the Pradhan Mantri Awas Yojana (PMAY), around 8 lakh letters of acceptance for new houses have been distributed. The eligibility criteria for the scheme have also been relaxed to include individuals with an income of up to ₹15,000 per month, owners of two-wheelers, and farmers with up to 2.5 acres of irrigated land or 5 acres of non-irrigated land. These changes are expected to widen the reach of the scheme and bring housing support to more underprivileged families.

Empowering Women and Improving Infrastructure

Highlighting the role of women in rural development, Shri Chouhan spoke about the impact of the Ladli Behna Yojana and the Lakhpati Didi programme, which aim to boost women’s economic participation and self-reliance. He assured that pending road infrastructure projects under the Pradhan Mantri Gram Sadak Yojana (PMGSY) would be completed promptly, improving connectivity in rural areas. He also committed that Narmada river water would soon be made available to Sehore and its surrounding villages, addressing long-standing irrigation challenges faced by farmers in the region.

Ensuring Market Support through MSP Procurement

Shri Chouhan reassured farmers that soybean would be procured at the Minimum Support Price (MSP), guaranteeing them a fair return and market stability. This is part of the government’s broader strategy to strengthen procurement mechanisms and ensure price assurance to farmers, especially in times of market volatility.

As the Viksit Krishi Sankalp Abhiyan continues to gain momentum across the country, with the Minister already visiting states such as Odisha, Uttar Pradesh, Bihar, Punjab, Maharashtra, Jammu, and Uttarakhand, the campaign represents a unified push toward making Indian agriculture more productive, inclusive, and future-ready.

Also Read: Sonalika Records Highest Ever May Sales with 14,213 Tractors in FY’26

📢 Reach Farmers, Share Your Story, and Grow Your Brand!
Got news to share? A company story to highlight? Looking to launch an impactful advertising campaign?  Connect with us at info@krishakjagat.org or nimishgangrade@krishakjagat.org and make your mark!

📢 Connect with 100+ Million Farmers! India’s leading farmers rely on Krishak Jagat’s Hindi website for trusted agriculture news, advisory and insights. Click here to explore!