The Federal Deposit Insurance Reform Conforming Amendments Act of 2005 required the FDIC to study the feasibility of increasing the limit on deposit insurance coverage for municipalities and other units of general government. The study results were delivered to Congress in February 2007. This article examines the arguments for and against additional coverage for municipal deposits and considers whether private sector options provide a viable alternative to traditional public deposit collateralization programs.
Last Updated: November 19, 2025
