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Reliance General Insurance Company ‘s denial to pay crop claims to Maharashtra farmers

Legal correspondent: Soumya Kanti Mandal

1st December, 2021: Reliance General Insurance Company (RGICL) Has rejected the insurance claims to Maharashtra farmers under the central scheme. The central government scheme of crop Insurance scheme for kharif 2021 season. The act of refusal By the RGICL Has made an issue upon law and order. And as a result, state government prompting to write a letter to the centre By mentioning the insurance law.

State chief statistical agriculture officer had stated that the other five insurance companies have settled down about 90% claim of the mid season and localised disaster claims. On that scenario in terms of the claim calculation process, Reliance stands too far As for the. When I Kumar. About their state chief statistical officer.

Under the scheme of Pradhan Mantri Fasal Bima Yojana (PMFBY), the farmers get a insurance claiming during harvesting. As per the concern of the government scheme RGICL covers 10 districts of Maharashtra. According to the state agriculture Commissioner Reliance insurance company had made a clear restriction towards the payment of Cardiff 2021. Claims before the resolution of Kharif, 2020 and Ravi 2020 claims they agree. Culture Commissioner Dheeraj Kumar had also said that reliance companies only 25.55% for premium, which is lowest paid rescue among all the six insurance companies.

In a general comparison in terms of pay-out ratio, where the pay-out ratio of Oriental insurance is 163%, Bajaj Alliance general insurance at 148%, IFCO-tikoo at 39%, HDFC-Ergo at 42%, and Bharati AXA general insurance at 45%.

Dheeraj Kumar alleged in a letter dated November 1, that the Reliance General Insurance Company is deliberately avoiding payments to farmers on some excuse, the companies corrupt practises tarnish the name of PMFBY and denying to provide the benefits to farmers, He also added.

RGICL claimed that, as far as per the norms introduced with the central authority, the applicable premium subsidy needs to be disclosed to settle down the claims due to due to losses under the three year. Contract of implementing the PMFBY scheme. RGICL also replied the due to the payment method by none received their commitments and following settlements had been impacted. The company asked to release the long pending subsidies so that the process of settlement will be on its track.

Maharashtra State government claimed that the. RGICL had make a huge net profit of 2.2K crore under this scheme in the spell of last five years. Meanwhile, 2020 kharif and rabi season claims are unsettled. In reply, The insurance company said that they cancel settled to those who had approached to them with end a stipulated time frame. The state governments today said most farmers could not approach due to Covid issue and restriction.

In 2019 and 2021, the rain patterns stand similar and the number intimation during kharif season were 54,46,771 And 38,43,147 respectively, where in 2020 the numbers were only 512061.

The state government also alleged that the Reliance Insurance Company had not taken to brief on how to register Intimations, Lodge complaints, Percentage of laws and it has violated many operational guidelines by the by not installing offices block levels, Or generating awareness policy etc.


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