- Livestock purchased from the loan advanced by the member institutions up to the maximum limit of Rs. 1,50,000 is guaranteed by DCGF.
- The premium rate is fixed at 6% per annum out of which only 25% of premium amount (i.e 1.5% of the guaranteed amount) should be paid by concerned loanee. Remaining 75% of premium amount (i.e 4.5% of the guaranteed amount) will be received as subsidy from the Government of Nepal.
- In case of death of livestock within the policy period, DCGF pays compensation to the farmer through the member institutions at the rate of 90% of the guaranteed amount.
- In case the livestock turns out to be unproductive within the policy period, the farmers are compensated up to 50% of the guaranteed amount through the concerned bank and financial institutions.
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