FDIC Insurance Rules

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FDIC Insurance Rules

In 2010, the Dodds-Frank Wall Street Reform and Consumer Protection Act permanently increased the insurance coverage on all deposit ownership categories up to $250,000 for each “ownership”. It is important to remember that the amount of deposit insurance a depositor has with each institution is determined by “ownership”. Each “ownership” is insured separately, so individuals who have deposit accounts with different “ownership” can multiply coverage many times.

For more information about temporary FDIC insurance coverage accounts, visit www.fdic.gov

FDIC Guarantee
The Federal Deposit Insurance Corporation (FDIC) is an independent agency of the United States government that protects the funds depositors place in FDIC-insured institutions. FDIC deposit insurance is backed by the full faith and credit of the United States government. Since the FDIC was established in 1933, no depositor has ever lost a single penny of FDIC-insured funds.

There is no need for depositors to apply for FDIC insurance or even to request it; coverage is automatic. FDIC insurance covers funds in deposit accounts, including checking and savings accounts, money market deposit accounts and certificates of deposit. FDIC insurance does not cover other financial products that insured banks may offer, such as stocks, bonds, mutual fund shares, life insurance policies, annuities or municipal securities.

To ensure funds are fully protected, depositors should understand their coverage limits. The FDIC provides separate coverage for deposits held in different account ownership categories. The coverage limits shown in the chart below refer to the total of all deposits that an account holder has in the same ownership categories at each FDIC-insured institution. The chart below assumes that all FDIC requirements are met (for details on the requirements, go to www.fdic.gov/deposit/deposits.

FDIC Deposit Insurance Coverage Limits

Single Accounts (owned by one person)
$250,000 per owner

Joint Accounts (two or more persons)
$250,000 per co-owner

IRAs and other Certain Retirement Accounts
$250,000 per owner

Revocable Trust Accounts
$250,000 per owner per beneficiary up to 5 beneficiaries (more coverage is available with 6 or more beneficiaries subject to specific limitations and requirements)

Corporation, Partnership and Unincorporated Association Accounts
$250,000 per corporation, partnership or unincorporated association

Irrevocable Trust Accounts
$250,000 for the non-contingent, ascertainable interest of each beneficiary

Employee Benefit Plan Accounts
$250,000 for the non-contingent, ascertainable interest of each plan participant

Government Accounts
$250,000 per official custodian

You can calculate your insurance coverage using the FDIC’s Electronic Deposit Insurance Estimator. For questions about FDIC coverage, call toll-free 1-877-ASK-FDIC or ask a representative at your bank.