Crop loss has been one of the biggest set back for the farmers.The agriculture sector has been suffering to the decline of crop production. Therefore to help as an aid the country’s insurance regulator IRDA have approached to set up satellite technology.
The satellite remote sensing technology will act as a mapping tool for agricultural yield estimation and crop losses in a bad monsoon year. The move, aimed at ensuring faster settlement of crop insurance losses, comes at a time when the country has experienced back-to-back monsoon failures — the first since 1986-87.
IRDA has concluded a series of discussions with stakeholders in this regard, officials indicated. A number of research studies and experiments are also being undertaken by institutions associated with agriculture and rural development throughout the country, they said, adding that the use of this technology should mark a move towards speedy assessment and settlement of crop losses.
The just-ended south-west monsoon season had registered an overall rainfall deficit of 14.3 per cent relative to the ‘normal’ long period average for June-September, making it a deficient monsoon. The monsoon was also deficient by 11.9 per cent in 2014 as well.
At present, about 50 crop insurance products are being marketed by the Agriculture Insurance Company of India Ltd (AICIL) and other general Insurance Companies. One of the main reasons for low levels of insurance penetration in crop insurance is the lack of awareness about the insurance products and the benefits of various policies. AICIL, at present, transacts only in crop insurance business while other policies covering various risks pertaining to farmers such as agriculture implements, personal accident and livestock are extended by other general insurance companies.