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This is an archive article published on October 20, 2023

State looks to Centre as crop insurance firms deny advance to farmers

The issue of crop insurance companies denying claims to farmers was discussed in the state cabinet meeting heldon Thursday.

crop insurance, Crop Insurance Scheme, advance to farmers, crop insurance firms deny advance to farmers, Mumbai news, Mumbai, Maharashtra news, Indian express newsThe minister said that the state government will have no option but to approach the Centre, seeking assistance in dealing with the companies.
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With crop insurance companies denying 25 per cent advance amount to farmers affected by rain shortfall, Maharashtra government now pins its hopes on the central government to negotiate with these companies.

The state government stares at farmer discontent across the state if these companies continue to refuse the advance amount payment.

The issue of crop insurance companies denying claims to farmers was discussed in the state cabinet meeting heldon Thursday.

As per the rules for the farm insurance scheme, in case of crop loss due to heavy or lack of rainfall, the companies should pay 25% of the insurance amount as an advance to the insurance holder farmer.

According to sources, district collectors from 30 districts have written to insurance companies asking them to pay the 25 per cent advance amount to farmers who have lost their crops due to rain shortfall in the Kharif season.

“Of this, companies have taken objection to claims in 21 districts for various reasons and claims in only nine districts have gone without objections. The issue was discussed in the state cabinet meeting and    ministers across party lines were unanimous that it is set to create trouble for the government in near future,” a minister who attended the cabinet meeting said.

One of the criteria for drought insurance includes a dry spell of 21 consecutive days. “Many times a very small amount of rainfall is experienced. That rainfall does not help the crop but companies use it to deny the dry spell,” said an official from the agriculture department.

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The minister said that the state government will have no option but to approach the Centre, seeking assistance in dealing with the companies.

The state government is claiming that over 1.7 crore farmers have been given crop insurance at just Re1.

“It will be a challenge to satisfy all those insurance holders now,” he said.

Alok Deshpande is a Special Correspondent with The Indian Express' Mumbai bureau, recognized for his focused and authoritative reporting on governance, politics, and the socio-economic dynamics of Maharashtra's hinterlands. His unique academic background in Geology and early work in the water sector provides a specialized layer of Expertise to his reporting on resource and environmental issues. Expertise Current Role: Special Correspondent, The Indian Express, Mumbai. Core Authority: Alok provides detailed coverage of Maharashtra politics and governance, with a particular emphasis on how policies and power struggles affect the rural and semi-urban areas (the 'hinterlands'). Key Coverage Areas: His reports frequently focus on high-stakes administrative and political topics, including: State Assembly Proceedings: In-depth reporting on the Legislative Assembly, covering ministerial statements, legislative debates, and inter-party conflict within the ruling Mahayuti alliance. Policy & Finance: Coverage of state finances, including supplementary budget demands, fiscal deficits, and major government schemes (e.g., Jal Jeevan Mission, Ladki Bahin Yojana). Rural and Social Issues: Reports on critical health issues (e.g., child deaths in districts), human-animal conflict (leopard attacks, stray dogs), and agrarian concerns (e.g., farmer suicides). Local and Urban Governance: Covers major announcements regarding urban development (e.g., BMC's OC amnesty scheme, pagdi system push) and local body elections, including political defections and alliance splits. Unique Credentials & Trustworthiness Academic Specialization: Holds a Post-graduate degree in Geology. This background gives him a foundational understanding of natural resources, which directly informs his reporting on environment, water, and infrastructure projects. Early Professional Experience: His shift to journalism came after working with an NGO focused on the water sector. This practical experience strengthens his Expertise in critical areas like water management and rural development, as evidenced by his reporting on the Jal Jeevan Mission. Journalism Training: An alumnus of the prestigious Asian College of Journalism (ACJ), Chennai, confirming his formal training and commitment to rigorous journalistic standards. Alok Deshpande's rare combination of scientific education, non-profit sector experience, and deep political reporting makes him a highly trusted and authoritative voice on the governance and ground realities of Maharashtra. He tweets @alokdesh ... Read More

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