Prime Minister Narendra Modi had started to show his mark on all the fields. And now he had showered his first boon to the crucial agriculture sector. The government had decided to increase the share of governments in the premiums of Crop insurances. Central Government and State governments pay 5% each of the total premiums of crop insurances to shield farmers from natural disasters.
Government has decided that the Center will now bear 25% and state governments will bear 25%. Like this 50% of the premiums will be borne by government and the rest has to be paid by the farmers. This will be only applicable with farmers who own lands less than or equal to two hectares. This decision will be announced in Union budget and the center will intimate the state governments to allocate funds accordingly in their budgets.