Min warns insurance companies against harassing farmers | Bhubaneswar News

Bhubaneswar: State revenue and disaster management minister Suresh Pujari on Thursday warned insurance companies against harassing farmers who suffered severe crop loss due to the recent unseasonal rain in Odisha. The minister said that delays and unjustified rejections of claims would not be tolerated by the state govt. “Crop insurance is meant to aid farmers and provide them relief in times of distress. It is not ethical for insurance companies to profit from farmers. If the govt notices any insurer going against the laws, then they will be dealt with accordingly,” Pujari added. Over 20,000 farmers have applied for crop loss compensation with insurance companies till December 24, sources said.
The unseasonal rain reportedly caused extensive damage to harvested or harvest-ready paddy crops, leaving farmers in acute financial distress. Farmers also alleged that delays in the paddy procurement process added to their woes.
The minister assured farmers that the govt is closely monitoring the situation and will take stringent action against insurers found to be delaying claim settlements. “The govt will not allow any form of harassment to farmers who are already battling the devastating effects of unseasonal rain,” Pujari said, adding, “It has come to our notice that insurance companies are rejecting the premium from farmers in areas where there are chances of crop loss due to drought or other eventualities. At the same time, insurance companies are collecting premium amounts from properly irrigated areas.”
Farmers alleged that standing crops in the field come under insurance coverage but the companies are delaying in compensating the loss of crops already cut and damaged. “The crop loss due to rain is devastating. Farmers have sown crops by taking loans from banks and now the harassment of insurance companies is unbearable. The minister’s assurance gives us hope,” Ramesh Behera, a farmer in Khurda district, said.
Pujari said the govt is working on making required amendments in rules to insure crops starting from the field to standing crop till it is procured in the mandi. The govt has also asked district collectors to provide a crop cutting report and an assessment of crop damage so that compensation can be given to farmers for the loss.
“We request farmers to remain patient and assure them that the govt is fully committed to addressing their grievances,” Pujari added.
The unseasonal rain reportedly caused extensive damage to harvested or harvest-ready paddy crops, leaving farmers in acute financial distress. Farmers also alleged that delays in the paddy procurement process added to their woes.
The minister assured farmers that the govt is closely monitoring the situation and will take stringent action against insurers found to be delaying claim settlements. “The govt will not allow any form of harassment to farmers who are already battling the devastating effects of unseasonal rain,” Pujari said, adding, “It has come to our notice that insurance companies are rejecting the premium from farmers in areas where there are chances of crop loss due to drought or other eventualities. At the same time, insurance companies are collecting premium amounts from properly irrigated areas.”
Farmers alleged that standing crops in the field come under insurance coverage but the companies are delaying in compensating the loss of crops already cut and damaged. “The crop loss due to rain is devastating. Farmers have sown crops by taking loans from banks and now the harassment of insurance companies is unbearable. The minister’s assurance gives us hope,” Ramesh Behera, a farmer in Khurda district, said.
Pujari said the govt is working on making required amendments in rules to insure crops starting from the field to standing crop till it is procured in the mandi. The govt has also asked district collectors to provide a crop cutting report and an assessment of crop damage so that compensation can be given to farmers for the loss.
“We request farmers to remain patient and assure them that the govt is fully committed to addressing their grievances,” Pujari added.