Livestock Insurance under the National Livestock Mission
Funded in the 2026-27 Union Budget: Union Expenditure Budget 2026-27 (Feb 2026, Demand No. 44 (Department of Animal Husbandry and Dairying), item 19.02 National Livestock Mission, BE 2026-27 ₹808.00 crore; Notes items 19 and 19.02)
Insurance for cows, buffaloes, sheep, goats, pigs and other livestock against death, where you pay 15% of the premium and the government pays 85%.
- Lead benefit
- 85% of premiumpaid by government; you pay 15%
- Components
- 1each read from the document
- Who can apply
- 7kinds of applicant
- Closing date
- Noneapply any time
What it pays
The government pays 85% of the premium to insure your animals for their market value against death; you pay 15%. The subsidy covers up to 10 cattle units per household (5 for pigs and rabbits; 10 sheep, goats, pigs or rabbits = 1 cattle unit).
What the document says, word for word
Covers indigenous and crossbred milch animals, pack animals (horses, donkeys, mules, camels, ponies, male cattle/buffalo) and goats, sheep, pigs, rabbits, yak and mithun (item 2). Two-year and three-year policies cost at most 8% and 11% of value (9% and 11.5% in NE and Himalayan states). You may insure more animals by paying the full premium yourself. The minimum value of a cow is ₹3,000, and of a buffalo ₹4,000, per litre of daily milk yield, or the local market price declared by government (Appendix VI, para 2). The guidelines print both 21–25 days and 15 days as the time to pay a claim, with 12% compound interest a year if the insurer is late (Appendix VI, para 3).
“Rate of premium: One year (Normal area) 4.5% NER/Himalayan States 5.5% Two year (Normal area) 8% NER/Himalayan States 9% Three year (Normal area) 11% NER/Himalayan States 11.5% Share of premium: Beneficiary 15% Central and state share 85%”How much can I claim?
85% of the livestock insurance premium paid by the Centre and State; the premium itself is capped at 4.5% of the animal’s value for one year (5.5% in NE and Himalayan states)
Covers indigenous and crossbred milch animals, pack animals (horses, donkeys, mules, camels, ponies, male cattle/buffalo) and goats, sheep, pigs, rabbits, yak and mithun (item 2). Two-year and three-year policies cost at most 8% and 11% of value (9% and 11.5% in NE and Himalayan states). You may insure more animals by paying the full premium yourself. The minimum value of a cow is ₹3,000, and of a buffalo ₹4,000, per litre of daily milk yield, or the local market price declared by government (Appendix VI, para 2). The guidelines print both 21–25 days and 15 days as the time to pay a claim, with 12% compound interest a year if the insurer is late (Appendix VI, para 3).
Who can apply
- Other farmer
- Small or marginal farmer
- SC farmer
- ST farmer
- Woman farmer
- Tenant or sharecropper
- Landless
Papers you need
- Two photographs: the animal with you, and the animal with its ear tag clearly visible
- For a claim: intimation to the insurance company, the policy paper, the claim form and the post-mortem report
How to apply
- Contact your State Animal Husbandry Department or veterinary hospital — they run the scheme; milk societies may insure members’ animals as a group (Activity III, items 4–5).
- A registered veterinarian examines the animal, and its market value is fixed jointly by you and the insurance company in the vet’s presence (Appendix VI, para 2).
- The animal gets a 12-digit ear tag (or its existing tag is used); pay your 15% share of the premium and the policy starts (Appendix VI, para 2).
- If the animal dies, claim with four papers: intimation to the insurer, the policy, the claim form and the post-mortem report. No claim is considered in the first 21 days of the policy (Appendix VI, para 3).
Applying is free. Never pay anyone to apply for you.
When to apply
The guidelines set no closing date.
Combining with other schemes
The documents do not say whether this can be combined with other schemes. Ask the implementing office before you count on both.