Dairy Farm Insurance In India | Companies | Policy | Premium 2022

Introduction to Dairy Farm Insurance in India: Dairy is a business established for processing animal milk. It is mostly done with cows or goats, but also with buffaloes, sheep, horses, or camels for human consumption. Dairy farm insurance policies cover a wide range of deaths due to fire, road accidents, electric shock, drowning, snake bites, strangulation, poisoning, and accidents from outside sources.

Many small and medium-sized farms and ranches ensure that their animals are covered under the farm policy. Dairy insurance is coverage that protects your animals from the unexpected. Whether on the farm or in transportation, your animals are considered your personal property. If something happens to them because of the covered damage, we’ll help cover the cost to fix the problem. Dairy insurance protects the rural people of India from financial loss due to the death of their cattle.

Dairy Farm Insurance In India

The cost of dairy farms is high and their loss can force farmers into debt. Dairy insurance will provide comprehensive protection to the farmers from the loss of dairy farms. A dairy is usually located on a dedicated dairy farm or part of a mixed farm involved in milking. The Government of India is working to strengthen the infrastructure for production, processing, and marketing of quality milk, milk, and milk products through the following dairy development schemes.

  • National Dairy Development Program (NPDD)
  • National Dairy Scheme
  • Dairy Entrepreneurship Development Scheme (DEDS)
  • Support Dairy Cooperatives
  • Dairy Processing and Infrastructure Development Fund (DIDF)

Dairy Farm Insurance

Dairy Farm Insurance | Schemes To Cover Dairy Farmers

Dairy farmers become beneficiaries of the Ksheera Santanam scheme, which is jointly offered by the Kerala State Dairy Farmers Welfare Fund Board and Dairy Cooperative. There will be four insurance plans. These are health insurance, accident insurance, life insurance, and ‘gau’ protection policy (livestock protection scheme).

Dairy farmers who provide milk to the cooperative will benefit their husbands, two children below the age of 25 years, their parents, and the cooperative’s workers. Under this scheme, every dairy farmer can cover his livestock.

Health Insurance

A dairy worker/farmer can cover his/her spouse, two children, and parents in the health insurance plan. Beneficiaries up to the age of 80 years will get Rs. 100,000 as coverage under this scheme. The age limit will not apply to the beneficiary parent. Children will be covered till the age of 25 or till they get married. A dairy farmer can add more children as beneficiaries by paying an additional premium.

Accidental Insurance

This is a scheme that can be availed by only a dairy farmer. There will be coverage of Rs. 7 lakh and an education grant of Rs. 50,000 period is one year. Beneficiaries will be benefited if the policyholder dies in an accident or the disability or disability persists. 100% cover in case of accidental death.


The age of the beneficiaries should be between 18 to 60 years. The cover of Rs 1 lakh will be for one year. This policy will be effective 45 days after the beneficiary joins. (except if it is an accidental death). The policy will not cover suicide.

Dairy Revenue Protection Program

The Dairy Revenue Protection Program insures against unexpected declines in the quarterly revenue of each participating operation from the sale of milk relative to the level of guaranteed coverage. Expected income is based on the future prices of milk or dairy products (depending on the option chosen by the dairy producer) and the amount of milk produced by the dairy producer.

Agri Choice policy for dairy farm

There are inherent risks involved in working with livestock. Therefore, Nationwide’s Agri Choice policy covers several reasons for the loss of dairy farms, such as;

  • Casual shooting
  • Attacks by dogs or wild animals
  • Lightning
  • Flood damage
  • Loading and Unloading accidents

Agri Choice Policy Coverage

Preservation of basic policy requires most dairy operations, which include;
Farmhouses and materials, detached garages and other buildings, farm and farm structures, personal property, agricultural machinery and equipment, milk and pasteurization equipment, refrigeration units, equipment malfunction, general liability protection

Next, offer a variety of alternative coverages to help you tailor your policy to the exact needs of your dairy farm, without paying for coverage you don’t need.

Alternative Farm-Option Coverage For Dairy Farms.

  • Coverage for your herd – The insured dairy cow can be covered against several additional categories of damages. If you choose not to insure your cows, Agri Choice offers you coverage even if they are hit by a motor vehicle, train, or accidentally shot. Higher limits are also available.
  • Coverage for your hay – This also includes the required cost of hay or hay for dairy animals.
  • Protection of Liability for Unnecessary Animal Cruelty Fees – Legal defense against allegations of animal cruelty can result in large attorney fees. AgriChoice offers policy coverage for payment of attorney fees for cases in which you are found not guilty. (Not available in all states.)
  • Disruption of Farming Operations – Provides coverage for loss of earnings and additional costs incurred due to disruption in farming due to the covered cause of loss.
  • Temperature Sensitive Feature – This provides coverage when a malfunction occurs due to an electrical interruption or a refrigeration system failure.

Top Dairy Companies In India

  • Amul – Anand Milk Union Limited, Gujarat
  • Nandini Milk – Karnataka Co-Operative Milk Producers Federation Limited
  • Mother Dairy
  • Kwality Limited
  • Avina
  • Creamline Dairy Products Limited (Jersey Dairy)
  • KSE Limited
  • Parag Milk Foods Limited
  • Mother Dairy Fruit And Vegetable Private Limited
  • Schreiber Dynamics Dairy Limited
  • Orissa State Co-operative Milk Producers Union
  • Andhra Pradesh Dairy Development Cooperative Federation Limited
  • Karnataka Co-operative Milk Union
  • Dynamics Dairy
  • Tamil Nadu Co-operative Milk Producers Union Ltd.
  • Kerala Co-operative Milk Marketing Federation Limited (Milma)

Cattle Insurance (Coverage, Claims, and Exclusions)

Cattle Insurance (Coverage, Claims, and Exclusions):- Cattle are considered as one of the most valuable assets of the rural community. Ordinary, small, and medium-scale farmers get most of their income from animal husbandry. Cattle Insurance is another initiative of the Government of India to protect the agricultural economy of the country.

What is Cattle Insurance?

What is cattle insurance? Cattle insurance protects the rural people of India from financial loss due to the death of their cattle. The cost of livestock is high and their loss can force farmers into debt. With livestock insurance, farmers will get comprehensive protection against livestock damage.

Types Of Animal Insurance

Death of cattle – This covers loss of life due to accident or injury and disease caused due to surgical infection.
Permanent Disability Coverage – It covers the risk of permanent and complete disability.

Permanent Disability Coverage – It covers the risk of permanent and complete disability.

What Does Cattle Insurance Cover?

In addition to death or disability due to fire, road accident, drowning, electric shock, snake bite, or poison, livestock insurance provides coverage for other issues. This includes; Dairy Farm Insurance India.

Deaths Due To Natural Calamities ( Hurricanes And Earthquakes )

For lactating cows, permanent disability means pregnancy and milking due to illness, infection or calf death during surgery. This refers to the inability of the bulls to breed.


  • This policy covers all indigenous, crossbred and exotic animals.
  • Animals include milch cows, buffaloes, calves, stud bulls and bullocks. This policy provides for compensation for the death of animals (animals).
  • Accidents include fire, lightning, flood, flood, flood, cyclone, tornado, hurricane, typhoon, tornado, earthquake, strike and civil commotion.
  • Surgical operation
  • Diseases covered during this policy term

Animal Age Group To Be Covered

  • Milk cows for 2 years or first child till 9 years
  • Milk buffalo from 1 calf at the age of 3 years to 9 years
  • Stud Bull 3 Years Or Before Age At Maturity 8 Years
  • Bull Buffalo 3 years to 9 years
  • Calf or heifer 4 months from the date of first calf


Animal death covers the insured cattle within the geographical area specified in the policy schedule, in case of life accident, infection or surgical operation. This policy also covers the death of animals that are covered by insurance outside the said geographical area in case of drought, epidemic diseases and other natural calamities.

Optional Benefits

Optional benefits:- Permanent disability coverage covers the risk of permanent and complete disability of cattle. A policy will be issued in the name of the group called “Insured Cattle” with the names of the members or customers along with the details of their cattle which is part of the policy. The age of the calf (cow/buffalo) should be more than 90 days and the age of lactating animals (cow/buffalo) should be till the fourth lactation.

Valuation and sum insured

The market value of sheep and goats varies from region to region depending on the breed. and from time to time. Veterinarians will have recommendations from the vet as well as accept insurance, this is considered a suitable guide for claim settlement
The sum insured should not exceed 100% of the market value.

Veterinary examination

  • For each suggestion, an indication of the age of the veterinarian, identification mark, health report of the animal and completion of vaccination should be obtained.
  • Wherever Veterinary Surgeons are not available, companies may do so at their discretion. Accept health certificates issued by livestock inspectors or supervisors who are diplomas. Only the holders of such certificates will be eligible for approval of the proposals.
  • A fresh veterinary examination is not necessary if the renewal is done in a timely manner.
  • Insurers may pay a fee of Rs. 1/- per animal as examination fee to the Veterinarian. Documents required for the claim process at the time of approval of the proposal.

Documents Required For Claim Process

  • Proposal form
  • Medical certificate from Veterinarian
  • At least 4 photographs of the insured animal
  • Duly filled in claim form
  • Receipt of payment at the time of purchase of animals
  • Insured cattle identification Tag
  • Cattle insurance is an important aspect of livestock management in rural areas. Let us understand how this insurance works.

How Does Cattle Insurance Work?

  • Cattle insurance is an important aspect of livestock management in rural areas. Let us understand how this insurance works.
  • The first step is to identify the cattle and determine the value of the livestock before finalizing the sum insured. The diagnosis is made jointly by the beneficiary and an authorized veterinarian.
  • The beneficiary has to pay premiums on a monthly or annual basis as per the policy. In the event of death or disability of the animal, the beneficiary immediately informs the bank about the accident.
  • The insurance company has to submit all the required documents.
  • A representative of the insurance company will verify all the documents and settle the claim.

Important Aspects

  • This policy is available to almost all livestock owners in rural India. However, it is important to keep the following facts in mind before buying insurance.
  • Cattle should be properly vaccinated and given nutritious diet. If willful negligence is found to be the cause of death or disability, the claim can be dismissed.
  • For the claim to be approved, the bank must be informed immediately after the accident.
  • A skilled and certified veterinarian should be involved in the treatment of cattle; Otherwise, the claim can be rejected.

Benefits Of Buying Animal Insurance

Cattle insurance aims to benefit as many people as possible in rural India. The insurance policy provides coverage against the risks of death and permanent disability due to famines, accidents, earthquakes, riots or strikes. In addition, surgical operations, fire, explosion, explosion, and damage to electric aircraft or missile testing activities, diseases and infections that occurred during the policy period. Natural calamities such as hurricanes, tornadoes, typhoons, floods, hurricanes and floods.

Major Exclusions

Malicious process, transport by air or sea before the onset of the risk of accident/disease. Intentional slaughter, theft or covert sale, loss of insured animals, war and related dangers, nuclear emissions vol.

The Company Will Not Be Liable For Compensation Under This Policy
  • Malicious or willful injury or neglect, overloading, unskilled treatment, or use of animals without the written consent of the Company.
  • Prior to the onset of danger other than for the purpose described in the accident.
  • The intentional slaughter of animals is a direct result of war, invasion, foreign enemy action, hostilities, civil war, rebellion, revolution, rebellion, rebellion, commotion, military or attempt to usurp power, or any result or threat of threat.
  • Weather insurance has a knock-on effect on the economy as it enables access to factors of production. The proper protection offered by the seasonal insurance product enhances the risk appetite of the farmers, banks, micro finance lenders and agro based industries.
  • As a result, the entire rural economy will flourish.

Cattle Insurance Companies In India

Some of the insurance companies offering this plan in India are;

  • HDFC Ergo
  • Reliance General
  • ICICI Lombard
  • Tata AIG
  • Oriental Insurance
  • SBI General

What Is The Premium Amount For Insurance?

The amount of premium depends on the insurance company which varies depending on the product.

Importance And Eligibility

Dairy Loan is a special loan from Karur Vysya Bank, designed to finance the setting up of dairy units for milk production. Credits to individuals and farmer groups for the purchase of facilities and benefits;

High Yielding Milch Animals.
  • Cattle: Indigenous breeds like Gir, Tharparkar, etc., and foreign breeds like Jersey, Holstein Friesian, etc., and in case of buffaloes: Mehsana, Jafrabadi, etc.
  • Construction of cowshed.
  • Purchase of dairy equipment, sawdust cutter, etc.,


Individuals, farmers, farmer groups, firms, companies, societies, NGOs, etc.

Also Read: Insurance Policy For Bike 3rd Party

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