What is Deposit Insurance for Trading?

deposit insurance, special type of insurance, under which depositors are guaranteed against loss in the event of a bank failure.

How much bank deposit is insured?

$250,000

The standard insurance amount is $250,000 per depositor, per insured bank, for each account ownership category.

Who provides deposit insurance?

The Federal Deposit Insurance Corporation

Key Takeaways. The Federal Deposit Insurance Corporation is an independent federal agency insuring deposits in U.S. banks and thrifts in the event of bank failures. As of 2020, the FDIC insures deposits up to $250,000 per depositor as long as the institution is a member firm.