Crop insurance business, driven by the government-backed Pradhan Mantri Fasal Bima Yojana (PMFBY) saw a 288% growth in premiums for the financial year ended March 2017 (FY17).
The segment saw premiums of INR20,611 crore (US$3.2 billion) in FY17 as compared to INR5,310 crore collected In FY16, reported Moneycontrol.
Data from the General Insurance Council showed that farm insurance had a market share of 5.5% in FY16, that grew to 16.1% in FY17.
Privately held insurers collected premiums of INR9,865 crore in the crop segment while public-sector general insurers collected INR3,683 crore. Agriculture Insurance Corporation of India (AIC) collected INR7,064 crore in FY17.
The PMFBY scheme will see further growth this year as the government has announced a higher Budget allocation of INR9,000 crore for the scheme. For FY17, the allocation was INR5,500 crore.