Overview
- Federal agencies including the National Disaster Management Authority, the finance ministry and GIC Re are discussing coverage options with top insurers.
- Premium funding being considered includes using existing disaster relief funds or adding small utility-bill charges.
- The exploratory plan centers on parametric triggers that release pre-set payouts after defined levels of heat, rain or wind are recorded.
- Recent state pilots include heat-linked payments to 50,000 self-employed women, a rainfall-triggered payout in Nagaland and livestock coverage in Kerala.
- No formal national proposal has been finalized, though India could become one of the first major economies to deploy such a scheme if it proceeds.