The standard deposit insurance coverage limit is $250,000 per depositor, per FDIC-insured bank, per ownership category. Deposits held in different ownership categories are separately insured, up to at least $250,000, even if held at the same bank
Do we need deposit insurance?
No, assuming a sound banking structure.
In response to Just in Time Stimulus: Fed Proposes Looser Rules for Large U.S. Banks a reader asked: "If we got rid of deposit insurance, what protection would savers have?"
That's a good question.
The answer is none. But with 100% reserve requirements there would not need to be any, except to protect against theft and fraud. Banks would not be able to lend checking deposits. Savers take a risk on interest-bearing deposits, as they should.