US Weighs More Business Deposit Insurance After Banks Fail
- FDIC announces several options for deposit insurance fund
- Agency says increasing coverage for businesses is good option
A top US regulator wants a sweeping overhaul of deposit insurance after recent bank failures partly drained a pool of money the government uses to protect lenders’ clients.
The Federal Deposit Insurance Corp. on Monday laid out three options for the bedrock fund, which currently covers up to $250,000 on most accounts. The regulator highlighted the impact of technological changes and high concentrations of uninsured depositors in pockets of the banking system as reasons for a possible overhaul.