Agriculture Insurance Company of India Ltd

About Agriculture Insurance Company of India Ltd

The Agriculture Insurance Company of India Ltd has been formed under the aegis of the Government of India. As stated in the union budget speech for 2002-03 the main aim behind its establishment was to assist the farmers and create an actuarial regime that was sustainable.

At present the organization is responsible for implementing the National Agricultural Insurance Scheme, which, till its inception, was being handled by the General Insurance Corporation of India.

The company's paid-up share capital amounts to INR 200 crores and it has authorized share capital worth INR 1500 crores. Its shareholding pattern may be mentioned as below:

Promoters	Percentage of shares held
General Insurance Corporation of India	35%
New India Assurance Company Limited	8.75%
National Bank for Agriculture and Rural Development (NABARD)	30%
Oriental Insurance Company Limited	8.75%
National Insurance Company Limited	8.75%
United India Insurance Company Limited	8.75%

The organization was incorporated on December 20, 2002 and started operations on April 1, 2003.

Agriculture Insurance Company of India Ltd Business Profile

The following table lists various important business details of Agriculture Insurance Company:

State/union territory	Amount of farmers covered (in thousands)	Area under insurance (in thousand hectares)	Sum insured (in INR crores)	Gross premium (in INR crores)	Premium subsidy (in INR crores)	Claims (in INR crores)	Amount of farmers helped (in thousands)
Andhra Pradesh	26532	40899	48728`	1410	131	4106	5998
Maharashtra	30113	26118	17889	694	92	1898	9760
Assam	252	195	399	11	1	10	39
Manipur	14	15	40	1	0.08	3	14
Andaman and Nicobar Islands	2	3	3	0.07	0.03	0.033	0.11
Meghalaya	26	28	40	2	0.31	0.47	3
Bihar	6025	7359	11867	303	27	2318	2424
Mizoram	0.121	0.134	0.232	0.006	0.001	0.112	0.119
Chhattisgarh	8591	17540	8225	210	11	377	1647
Odisha	12857	12776	15960	400	47	681	1972
Goa	8	13	3	0.05	0.012	0.024	1
Puducherry	32	46	72	1	0.34	2	6
Gujarat	12089	27960	29152	1136	56	3918	3750
Rajasthan	15059	31380	16203	458	7	2622	5201
Haryana	598	695	681	21	0.63	35	119
Sikkim	2	1	2	0.025	0.004	0.013	0.086
Himachal Pradesh	262	197	322	7	3	17	104
Tamil Nadu	4391	5869	10948	266	127	1494	1634
Jammu and Kashmir	31	44	34	0.68	0.05	1	4
Tripura	18	11	25	0.72	0.08	0.013	0.086
Jharkhand	5616	3207	2772	70	4	511	2108
Uttar Pradesh	19782	26698	24902	514	42	983	4136
Karnataka	11490	18745	14038	429	23	1637	4421
Uttarakhand	330	314	690	16	1	41	116
Kerala	394	343	626	13	2	25	75
West Bengal	9861	5009	9646	414	140	897	2078
Madhya Pradesh	23238	58413	31413	927	31	1593	4474

Agriculture Insurance Company of India Ltd Balance Sheet

The following table represents various aspects of the balance sheet of Agriculture Insurance Company of India for the year that ended on March 31, 2012:

Areas	Figures in INR thousands
Gross premium written	25768510
Net premium income	13202136
Net income from investments	1488722
Total income	14690858
Commissions	2461463
Operating profit/loss	6482998
Net total income under shareholder's account	962448
Profit before tax	7445446
Profit after tax	5021287
Total funds in policyholders' account	18285876
Total investments in policyholders' account	17213977
Total funds in shareholders' account	13959013
Total investments in shareholders' account	15023513
Net worth	13959013
Total assets	38023578

Agriculture Insurance Company of India Ltd- Management Team

The Chairman-cum-Managing Director of Agriculture Insurance Company is Milind Anna Kharat. He is the chief member of the organization's board of directors that also comprises the following:

• RK Tiwari
• SK Mitra
• Mukesh Khullar
• Kuldip Singh
• Sheshank Saxena
• RK Deka
• KN Bhandari
• SK Chanana
• Gopal Naik
• PJ Joseph
• PK Bhagat

Agriculture Insurance Company of India Ltd- Products

Following are the present products of the Agriculture Insurance Company:

• National Agricultural Insurance Scheme
• Potato Crop Insurance
• WBCIS - Weather Based Crop Insurance Scheme
• PulpWood Tree Insurance Policy
• MNAIS - Modified National Agricultural Insurance Scheme
• RainFall Insurance Scheme For Coffee (RISC) - 2011
• Bio - Fuel Tree / Plant Insurance
• Rubber Plantation Insurance
• Cardamom Plant & Yield Insurance
• Varsha Bima / RainFall Insurance
• Coconut Palm Insurance Scheme (CPIS)
• Weather Insurance (RABI)

The organization is planning to bring out these products in the future:

• Sugarcane Insurance
• Aromatic and Medicinal Plants Insurance
• Tea Insurance
• Contract Farming Insurance
• Basmati Rice Insurance

Agriculture Insurance Company of India Ltd News

Of late the agricultural sector of Haryana has been facing critical problems like shortage in rainfall and so the state government has decided to avail the following insurance programs to safeguard the paddy farmers' interests:

• Modified National Agriculture Insurance Scheme (MNAIS)
• Weather Based Crop Insurance Scheme (WBCIS)

These insurance plans have been formulated by the national government and will be executed by various general insurers. The WBICS program will cover blocks of 12 districts each and the MNAIS plan will account for blocks of 4 districts each.

The premiums of these policies have already been subsidized by the national and state governments and the farmers will only need to pay some basic fees.

The Agriculture Insurance Company is one of the organizations who have been entrusted with the responsibility of executing the WBCIS plan in Haryana. The other companies are as following:

• ICICI Lombard
• HDFC Ergo
• IFFCO Tokio
• Cholamandalam MS

The following blocks and more will be covered under the program:

• Ambala II (Ambala)
• Bilaspur (Yamunanagar)
• Gohana (Sonepat)
• Beri (Kurukshetra)

The policies would cover critical risks such as continued drought and inadequate rainfall. The Agriculture Insurance Company will also be implementing the MNAIS program.

Senior officers in the organization have stated that when the two policies are executed the farmers would be in a better position to deal with the risks related to agricultural production.

They feel that with these programs their income will be consistent as well especially in times when crop fails due to natural disasters.

The policies will also cover crop failure due to diseases and pests.

Agriculture Insurance Company of India Contact Details

Following is the contact information of the insurer:

Agriculture Insurance Company of India Ltd
Registered Office - 13th Floor, Ambadeep Building, 14, Kasturba Gandhi Marg,
New Delhi - 110 001, INDIA

Landline Numbers - (+91 11) 46869800
Fax Number - (+91 11) 46869815
E-mail address - [email protected]

Appointed Actuary - Shri S. Chidambaram (e-mail address [email protected])

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