How exactly is my PMFBY claim amount calculated from crop cutting experiments?

The yield-based claim uses a clear formula. First, crop-cutting experiments in your notified area give the Actual Yield for the crop that season. Second, you already have a Threshold Yield, which is the past average yield times the indemnity level. Third, the claim per hectare equals (Threshold Yield minus Actual Yield) divided by Threshold Yield, multiplied by the Sum Insured per hectare. In words, you take the shortfall below the threshold, express it as a fraction of the threshold, and apply that fraction to your sum insured. So if the area yield fell 30 percent below the threshold, you get 30 percent of your sum insured per hectare, times your area. If the actual yield is at or above the threshold, the fraction is zero and no yield claim arises. This is why two things drive your payout, how far the area yield fell and how big your sum insured is. The threshold and sum insured for your crop and district are notified each season, so confirm them on the PMFBY portal before estimating your figure.