Why in News?  

The Union Cabinet, led by Prime Minister Shri Narendra Modi, has approved the extension of the Pradhan Mantri Fasal Bima Yojana and the Restructured Weather-Based Crop Insurance Scheme until 2025-26. 

 Pradhan Mantri Fasal Bima Yojana (PMFBY) 

• It was launched in 2016 under the Ministry of Agriculture and Farmers Welfare.  
• PMFBY offers comprehensive insurance to safeguard farmers' incomes against crop failures. 
•  Coverage: Includes all food, oilseed, and annual commercial/horticultural crops with available past yield data. 
• Premium Rates 
  • 2% for Kharif crops. 
  • 1.5% for Rabi crops. 
  • 5% for annual commercial and horticultural crops. 
• Implementation: Managed by empanelled general insurance companies, with selection done by State Governments through bidding. 

 Restructured Weather-Based Crop Insurance Scheme (RWBCIS) 

• It was launched in 2016 and overseen by the Ministry of Agriculture and Farmers Welfare.  
• RWBCIS aims to mitigate financial losses due to adverse weather conditions, such as rainfall, temperature, wind, and humidity. 
•  Approach: Utilizes weather parameters as proxies for crop yields, compensating farmers for estimated crop losses.