In­sur­ers get TS cau­tion

To black­list firms that do not pay farmers

Deccan Chronicle - - POLITICS - DC COR­RE­SPON­DENT

The gov­ern­ment has threat­ened to black­list in­sur­ance firms if they fail to com­pen­sate by Oc­to­ber 13, farmers who suf­fered crop loss dur­ing the kharif sea­son last year.

The firms owe over `154 crore but have paid `80 crore so far.

Prin­ci­pal sec­re­tary, agri­cul­ture, C. Parthasarathi met with of­fi­cials of in­sur­ance firms, and asked them to set­tle the claims and de­posit the amount in the bank ac­counts of farmers by Fri­day.

Mr Parthasarathi asked the firms to set­tle rabi crop loss claims of last year by Oc­to­ber 23.

In­sur­ers said the de­lay was on ac­count of merger of SBI and SBH, in which farmers hold large num­ber of ac­counts. They said there were also changes in IFSC codes of banks and other tech­ni­cal is­sues which re­sulted in de­lay in pay­ment of com­pen­sa­tion.

The firms have pock­eted the pre­mium paid by farmers, the Cen­tre and the state gov­ern­ment in kharif to­wards crop in­sur­ance un­der the PM Fasal Bima Yo­jana.

While the firms were paid a pre­mium of `233 crore, they sanc­tioned com­pen­sa­tion of `160 crore, though there was huge crop loss last year. Of this, the firms paid only half, cit­ing tech­ni­cal and pro­ce­dural is­sues.

Be­sides, the firms kept pay­ment of com­pen­sa­tion pend­ing on the ground that the state gov­ern­ment had paid its share of the pre­mium late.

The Cen­tre had paid its share of about `72 crore in time, but the state de­layed it.

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.