A Comparative Study on the Loanee, Non-loanee and Non-insured Farmers of National Agricultural Insurance Scheme with respect to Adaptation of New Technology in Nagapattinam District of Tamil Nadu

Crop insurance is a means of protecting the cultivators against financial losses on account of anticipated crop-loss due to natural factors such as natural fire, weather, floods, pests, diseases, etc. In case of loanee farms, the number of seedlings and fertilizer was found to influence the production significantly at 1 per cent level. The regression co-efficient of number of seedlings and fertilizer indicated that the paddy yield would increase by 0.06 per cent and 0.01 per cent for every one per cent increase in the use of number of seedlings and fertilizer, respectively. Among the various inputs contributing to productivity difference between loanee farms and noninsured farms, the number of seedlings (0.001%), fertilizer (0.15%) plant protection chemicals (0.24%) and labour (0.34%) contributed positively, except farmyard manure (−0.01%). This implied that paddy farmers practising good agricultural practices obtained higher output by spending slightly more on these four positive inputs compared to non-insured farmers.