is an indemnity for losses that may arise due to abnormal weather conditions. These
abnormal weather conditions can be events such as excess of rainfall, shortfall
in rainfall or variations in temperature, wind speeds and humidity. Weather Insurance
is based on the fact that weather conditions affect crop production even when a
cultivator has taken all the care to ensure good harvest.
Coverage in Weather insurance Policy is provided for :-
(1)Weather Insurance uses weather parameters as ‘proxy’ for crop yields in compensating
the cultivators for deemed crop losses.
(2) Weather Insurance has been piloted in the country since kharif 2003 season.
(3) States where it was piloted are Andhra Pradesh, Chhattisgarh, Gujarat, Haryana,
Karnataka, Madhya Pradesh, Maharastra, Punjab, Rajasthan.