AI-Agri shield: Blockchain-Based Crop Index Insurance for Transparent and Trustworthy Protection of Indian Farmers

DOI

https://www.doi.org/10.59256/ijsreat.20260602017

Published In

Volume 6, Issue 2 (2026)

Published Online

March-April 2026

Pages

118-122

Article Type

Original Article

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Agriculture remains a critical sector in India, supporting the livelihoods of millions of farmers. However, crop losses due to unpredictable weather conditions, natural disasters, and pest infestations pose significant financial risks. Traditional crop insurance systems often suffer from delayed claim settlements, lack of transparency, and susceptibility to fraud, which reduces farmer trust and participation. This paper proposes AI-AgriShield, a blockchain-based crop index insurance framework designed to provide transparent, secure, and efficient insurance services for Indian farmers. The system leverages blockchain technology to maintain tamper-proof records of insurance policies, weather data, and claim transactions. Smart contracts are utilized to automate claim processing based on predefined conditions such as rainfall levels, temperature variations, or yield indices.In addition, Artificial Intelligence (AI) techniques are incorporated to analyze environmental data, predict crop risks, and enhance decision-making. The integration of AI with blockchain ensures accurate risk assessment, minimizes fraudulent claims, and accelerates claim settlements. The proposed system eliminates intermediaries, reduces operational delays, and ensures fair compensation to farmers. The results demonstrate that AI-AgriShield improves transparency, efficiency, and trust in crop insurance systems, thereby promoting wider adoption among farmers. The framework has the potential to strengthen agricultural resilience and contribute to sustainable rural development