ReferIndia News Finance ministry to take a relook at crop insurance plan

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Finance ministry to take a relook at crop insurance plan

Published on: Dec. 29, 2025, 12:19 a.m. | Source: The Economic Times

The finance ministry is reviewing the Pradhan Mantri Fasal Bima Yojana's cup-and-cap model. This comes as crop insurance business declines, with premium collections expected to fall significantly. Large states are shifting to the cup-and-cap model, which limits insurer risk and profitability. The review aims to ensure the scheme's long-term sustainability and effective farmer coverage.

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