PMFBY Wild Animal Coverage: PM Fasal Bima Yojana Adds Inundation & Wildlife Loss Insurance

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PMFBY wild animal coverage introduced as PM Fasal Bima Yojana expands to include crop loss from wildlife attacks and paddy inundation starting Kharif 2026, providing major relief to farmers.

PM Fasal Bima Yojana Expands to Cover Wild-Animal Attacks & Paddy Inundation

What Has Changed in PMFBY?

The Pradhan Mantri Fasal Bima Yojana (PMFBY) has been significantly enhanced to include crop losses caused by wild-animal attacks and inundation (waterlogging) of paddy fields, beginning from the Kharif 2026 season.

This move by the Union Ministry of Agriculture and Farmers’ Welfare addresses years of demands from farmers—especially those in forest-adjacent and flood-prone regions—who previously lacked insurance cover for such localized risks.

Wild-Animal Attacks to Be Insured

Under the revised framework, crop damage from wildlife attacks — including giants like elephants, as well as wild boars, nilgai, deer, and monkeys — will now be officially recognized as an insurable event.

This risk is being added as the fifth “add-on” cover under PMFBY’s Localized Risk category. Farmers in hilly terrains, forest fringes, and wildlife corridors — who have often suffered crop damage due to animal intrusion — will particularly benefit.

The Ministry has asked states to notify which wild animals are responsible for crop damage, and to map vulnerable districts or insurance units, based on historical data.Additionally, farmers will have to report such losses within 72 hours using a Crop Insurance App, submitting geo-tagged photographs of the damage.

Paddy Inundation Cover Reintroduced

Alongside wildlife risk, PMFBY will re-introduce paddy inundation (submergence due to waterlogging or flooding) under the Localised Calamity section. This is a major relief for paddy farmers in coastal or flood-prone states, including Tamil Nadu, Andhra Pradesh, Assam, West Bengal, and others.

Flooding or waterlogging of paddy fields can happen during heavy rain, cyclonic storms, or due to poor drainage, and now these losses will be eligible for insurance compensation

How the PMFBY Scheme Works

Launched in 2016, PMFBY is a centrally sponsored crop insurance scheme.
It protects farmers from losses from natural disasters, pests, and diseases, and is available to both loanee and non-loanee farmers.
Premium rates under the scheme are fixed:
- Kharif crops: 2% of the sum insured
- Rabi crops: 1.5%
- Horticultural/cash crops: 5%
Any amount beyond these fixed percentages is subsidized equally by the Centre and State Governments. Insurance companies are selected via an annual bidding process.

Understanding the Localized Risk Category

The Localized Risk cover in PMFBY is designed for small-area, isolated events — for example: landslides, hailstorms, flash floods, and now wildlife attacks and inundation.

Because damage may happen only in specific villages (and not across a whole district), this category allows faster assessment and quicker claim settlement.

Benefit to Farmers

Farmers living near forests or in areas of human-animal conflict will get compensation for wildlife-related crop damage — a risk that was previously uninsurable
Paddy farmers in flood-prone states will now have cover for waterlogging or submergence, offering them much-needed financial protection.
This revision makes PMFBY more comprehensive and regionally sensitive, thus encouraging farmers to invest more confidently in their crops.

Why This News Is Important

For Farmers’ Financial Security

This policy change significantly strengthens the financial safety net for farmers. By recognizing wild-animal attacks and paddy inundation as insurable risks, the government is addressing previously uninsured, highly localized threats. This helps farmers recover from losses in situations that were earlier neglected.

For Regional Equity

The expansion benefits states vulnerable to wildlife damage or flooding, such as forested and coastal regions. These areas have historically lacked adequate coverage under PMFBY, and this revision addresses a major gap in agricultural risk protection.

For Risk Management & Insurance Penetration

Including new risk covers underscores the flexibility and responsiveness of PMFBY. It signals that the scheme is evolving based on real-world farmer needs, thereby boosting trust. More farmers may be encouraged to enroll, improving insurance penetration and agricultural resilience.

For Policy & Exam-Relevant Topics

This change is a recent government policy update, highly relevant for current-affairs sections in exams (e.g., UPSC, state PSCs, banking).
It touches on themes like agriculture risk management, government welfare schemes, insurance & financial inclusion, and climate vulnerability, all of which are commonly tested.

Historical Context

Origins of PMFBY

The Pradhan Mantri Fasal Bima Yojana was launched in 2016 to provide affordable crop insurance to farmers, protecting them from financial losses arising from natural calamities, pests, and diseases.

Earlier Framework & Challenges

PMFBY initially covered a number of standard risks but left out some localized risks, such as certain wildlife attacks and inundation. Over time, farmers from forested and flood-prone regions repeatedly raised concerns about lack of coverage for such events.

Removal & Reintroduction of Inundation Cover

Importantly, paddy inundation was part of the scheme earlier, but was removed in 2018 due to concerns like moral hazard and difficulties in assessing damage. With the new amendment, this risk is being reintroduced, reflecting a policy recalibration to better protect vulnerable farmers.

Institutional Strengthening

In recent years, to improve efficiency and transparency in PMFBY, the government approved a Fund for Innovation and Technology (FIAT) with a corpus of ₹824.77 crore, to support technological tools such as remote-sensing yield estimation (YES-TECH) and weather-data systems (WINDS).

Key Takeaways from This News

S. No.	Key Takeaway
1.	PMFBY will, from Kharif 2026, cover crop losses due to wild-animal attacks, including elephants, wild boars, nilgai, deer, and monkeys.
2.	The scheme also reinstates insurance cover for paddy inundation (waterlogging/flooding) under the Localised Calamity category.
3.	Wild-animal attacks are being added as the fifth “add-on” cover under the Localized Risk segment of PMFBY.
4.	Farmers must report losses within 72 hours via a Crop Insurance App, submitting geo-tagged photos for verification.
5.	This policy change addresses longstanding demands from forest-adjacent and flood-prone regions, offering more inclusive agricultural risk protection.

PMFBY wild animal coverage

FAQs: Frequently Asked Questions

1. What new risks have been added under PM Fasal Bima Yojana (PMFBY)?

From the Kharif 2026 season, PMFBY will cover crop loss due to wild-animal attacks and paddy field inundation (waterlogging/submergence).

2. Which wild animals are included under the new coverage?

Coverage includes elephants, wild boars, nilgai, deer, monkeys, and other wildlife notified by state governments.

3. Under which category has wildlife attack coverage been added?

It has been added as the fifth add-on cover under the Localized Risk category of PMFBY.

4. When must farmers report crop loss due to these events?

Farmers must report crop loss within 72 hours on the Crop Insurance App along with geo-tagged photos.

5. What is the significance of reintroducing paddy inundation cover?

Many flood-prone states like West Bengal, Assam, Tamil Nadu, and Odisha frequently face waterlogging, making the coverage crucial for financial protection of paddy farmers.