KARNATAKA: Union Minister Pralhad Joshi has urged Chief Minister D.K. Shivakumar to intervene and ensure the immediate release of the state government’s pending Rs 1,680 crore share of crop insurance premiums for 2026. In a letter to the Chief Minister, Joshi said the delay was affecting the timely settlement of crop insurance claims for farmers who have suffered losses due to drought and other adverse weather conditions.

The minister said the pending amount had remained with the state Finance Department for around one-and-a-half months. He asked Shivakumar to personally intervene, clear the file and direct the release of the state’s share under the Pradhan Mantri Fasal Bima Yojana (PMFBY).

The demand comes as farmers across Karnataka face crop losses and await insurance relief. The issue has brought attention to the importance of timely premium payments by both the Union and state governments under the crop insurance scheme.

Centre has released Rs 1,342 crore

According to Joshi, the Union government has already released Rs 1,342 crore as its share of the crop insurance premium subsidy for the 2026 season. The payment was made in July and August, with the final instalment reportedly released on August 27.

The amount represents around 80% of the Centre’s total share for the season, according to a report by Kannada News Today. The remaining amount is expected to be released after farmers’ enrolment details are finalised and insurance companies submit the required claims for payment.

Joshi said the state government’s pending contribution was creating difficulties in completing the premium payment process and ensuring that eligible farmers receive their insurance benefits on time.

He urged the Chief Minister to ensure that the pending file was cleared without further delay.

Farmers await crop insurance relief

The Pradhan Mantri Fasal Bima Yojana is a central government-backed scheme designed to provide financial protection to farmers against crop losses caused by specified natural risks, including drought, excessive rainfall and other adverse weather events covered under the policy.

Under the scheme, eligible farmers pay a prescribed share of the premium, while the remaining subsidy is jointly funded by the Union and state governments.

Timely release of the respective government contributions is an important part of the insurance process. Delays in premium payments can affect the processing and settlement of claims, although individual claim payments also depend on policy conditions, crop-loss assessments and the procedures followed by insurance companies.

Joshi said Karnataka farmers who had experienced crop losses needed timely assistance and that the pending state contribution should be released promptly to avoid further difficulties.

Joshi seeks Chief Minister’s intervention

In his communication to Shivakumar, Joshi called for personal intervention to resolve the delay in the Finance Department. He asked the Chief Minister to direct the concerned officials to clear the pending file and release the Rs 1,680 crore contribution.

The Union minister also raised concern over the impact of the delay on farmers who depend on insurance compensation to manage financial losses after a failed crop season.

His demand follows growing concern over crop damage in Karnataka amid deficient rainfall and drought conditions. The state government has separately sought financial assistance from the Union government to address extensive agricultural losses.

Deputy Chief Minister and Revenue Minister G. Parameshwara recently sought central assistance, stating that crop losses had affected large areas of the state. The state estimated agricultural losses at more than Rs 62,000 crore and sought additional support for affected farmers and rural households.

Release of funds remains key issue

The immediate issue is the release of Karnataka’s pending crop insurance premium contribution. Joshi has called for the state government to act quickly so that the insurance process can move forward for eligible farmers.

The state government’s response to the letter and the timing of any release had not been confirmed in the reports available as of October 24.

The matter is significant for farmers awaiting financial relief, particularly those who have suffered crop losses because of drought and other weather-related challenges. The next steps will depend on the state government’s decision, the completion of premium payments and the subsequent processing of eligible claims by insurance companies.