The new crop insurance scheme is to be implemented from the kharif season this year, said sources.
The government today approved a crop insurance scheme that would replace the existing ones to ensure that farmers pay less premium and get early claims for the full sum insured.
A decision on the much awaited scheme was taken at the Cabinet meeting, headed by Prime Minister Narendra Modi.
According to sources, "The cabinet has cleared the Agriculture Ministry's proposal on new crop insurance scheme."
The new crop insurance scheme, to be implemented from the kharif season this year, will replace the existing two schemes National Agricultural Insurance Scheme (NAIS) and Modified NAIS which have some inherent drawbacks.