Rythu Bima benefits small, marginal farmers

At its conception, even Agriculture officials were sceptical

October 15, 2018 07:54 am | Updated 07:54 am IST - HYDERABAD

At a time when the agriculture sector continues to wade through crises and a majority of farmers struggle to find it remunerative, Rythu Bima, the group life insurance scheme being implemented in Telangana from August 14, is proving to be of immense help to small and marginal farmers of the lower strata of society in the event of insured pattadars’ death.

Effectiveness questioned

When conceived, even the Agriculture Department officials were sceptical about its effectiveness considering the delays in settlement of claims, particularly in the backdrop of their experience with various crop insurance schemes.

“Unlike any other insurance scheme, except the health and vehicle insurance, including even the life insurance policies offered by the Life Insurance Corporation of India (LIC), the Rythu Bima scheme that is implemented in association with the LIC is proving to be very different as the claims are being settled in less than a week,” a senior official of the department said.

An analysis of the claims settled till October 8 has thrown up interesting facts about the utility of the scheme. Out of the 1,602 claims settled till October 8, 90% (1,443) cases belonged to farmers having landholding of less than 5 acres, including 25% (401) farmers having less than one-acre land, and another 47% (748) with landholding between one-acre and 2.5 acres.

“The impact of losing the head of family in rural areas, particularly on families predominantly dependent on farming, is unimaginable and the support in the form of Rythu Bima benefit of ₹5 lakh is not only a big relief to the family in distress but also provides them some financial security,” Principal Secretary (Agriculture) C. Parthasarathi said.

Social strata

Citing some examples, the Agriculture Department officials said G. Balakondaiah of Palem village of Kothakota mandal in Wanparthy district owned 1.12 acres and R. Bhoodavva of Rajanna-Sircilla district owned only 1.01 acres land. The nominees of the two farmers received the insurance benefit within three days of the untimely death of the insured person.

An analysis of the social strata of the farmers who were insured under the scheme and whose families received insurance benefit after their (insured farmers) death, shows that 86% (1,371) of them belonged to backward classes and downtrodden sections. Of them, 51% are BCs, 20% SC and 15% ST.

After noting the experience of affected families, some one-lakh farmers, who initially ignored it, have enrolled s voluntarily.

The government had enrolled 28 lakh farmers in the age group of 18-59 years and paid a premium of over ₹636 crore at rate of ₹2,271 per farmer, Mr. Parthasarathi said.

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