DEPOSIT INSURANCE COVERAGE UP TO 5 LAKHS THROUGH DEPOSIT INSURANCE AND CREDIT GUARANTEE CORPORATION (DICGC).
DICGC was founded in 1978 after the Parliament passed the Deposit Insurance and Credit Guarantee Corporation Act, 1961, that merged the Deposit Insurance Corporation (DIC) and the Credit Guarantee Corporation of India Ltd. (CGCI).
Deposit Insurance and Credit Guarantee Corporation (DICGC) is a fully-owned subsidiary of Reserve Bank of India and provides deposit insurance. It protects deposit accounts up to a ceiling of INR 5 lakh per Bank account holder.
Deposit insurance coverage with the DICGC is mandatory for all Banks, including local banks, cooperative banks, regional rural banks, foreign banks residing in India.
The DICGC guarantees all bank deposits, including saving, fixed, current, and recurring deposits. Deposits in Kerala Bank are covered by Deposit Insurance and Credit Guarantee Corporation up to Rs.5 lakh.