Data on crop losses from natural disasters is not centrally tracked, Ramnath Thakur, Minister of State for Agriculture and Farmers Welfare, told the Rajya Sabha on February 6, 2026. However, state reports show 13.12 lakh hectares of crops were damaged by floods, cyclones, and other weather events in 2024-25.
The minister was responding to questions from Rajya Sabha member Sanjay Singh about compensation paid to farmers under various disaster relief and crop insurance schemes since 2020-21.
Declining Payouts Despite Wider Coverage
Thakur said the Pradhan Mantri Fasal Bima Yojana (PMFBY) and the Restructured Weather Based Crop Insurance Scheme (RWBCIS) paid Rs 14,196.5 crore in claims to farmers during 2024-25, as of December 31, 2025. This marks a decline from Rs 20,812.5 crore paid in 2023-24.
Maharashtra received the highest payout at Rs 5,774.8 crore, followed by Karnataka at Rs 2,809.1 crore and Rajasthan at Rs 1,899.1 crore. The schemes covered 622.5 lakh hectares of insured farmland across India in 2024-25, benefiting 2.79 crore farmer applications.
The government introduced alternate risk transfer mechanisms from the Kharif 2023 season to reduce premium rates. States can now choose between three models: Cup and Cap (60-130), Cup and Cap (80-110), or Profit and Loss sharing (0-350). These models have significantly reduced premium costs for both the central and state governments, Thakur said.
Top States by Claims Paid (2024-25)
| State | Claims Paid (Rs Crore) |
|---|---|
| Maharashtra | 5,774.8 |
| Karnataka | 2,809.1 |
| Rajasthan | 1,899.1 |
| Madhya Pradesh | 1,293.6 |
| Tamil Nadu | 765.3 |
Pending Claims Remain a Concern
However, pending claims remain a concern. As of December 31, 2025, Rs 1,425.7 crore in claims were still unpaid across states. Andhra Pradesh had the highest backlog at Rs 858.9 crore, followed by Maharashtra at Rs 179.1 crore and Rajasthan at Rs 158.5 crore.
The minister noted that disaster relief under the State Disaster Response Fund (SDRF) and National Disaster Response Fund (NDRF) is provided for immediate relief, not as compensation for claimed losses. During 2024-25, Rs 5,160.76 crore was released from NDRF across states, with Karnataka receiving the highest allocation at Rs 3,528.45 crore.
Drought-affected areas reported separately showed Karnataka was worst hit in 2023-24 with 45.56 lakh hectares of crops damaged, followed by Maharashtra at 24.76 lakh hectares and Andhra Pradesh at 8.89 lakh hectares.
The PMFBY scheme remains voluntary for both states and farmers. All willing farmers are eligible to enroll for coverage of notified crops in their areas.
Support Us To Sustain Independent Environmental Journalism In India.
Keep Reading
Highway Halt Puts Kashmirโs Fruit Economy at Risk
Railway line expansion plan put Kashmirโs apple orchards at risk
Warmer winters in Kashmir raise concerns over apple and crop yields
