Agriculture insurance in India: scope for participation of private insurers?
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Government-run crop yield insurance scheme, procurement at minimum support prices and calamity relief funds are the major instruments being used to protect the Indian farmer from agricultural variability. The proposed Farm Income Insurance Scheme is an attempt at integrating crop yield insurance and price support. Private insurers have been experimenting with rainfall insurance as a substitute for or complement to crop insurance. This paper reviews the development and performance of agriculture insurance and examines the scope for participation by private insurers.
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