New Delhi, March 31 -- We look at banks as safekeepers of our money, which they are. The banking system in India is generally robust. As long as you keep your money with a leading bank, your money is safe. However, on paper, your money is safe up to Rs.5 lakh per bank, which is known as deposit insurance. This insurance is taken care of by Deposit Insurance and Credit Guarantee Corporation (DICGC). With the latest cooperative bank failure, there are talks of increasing the coverage from Rs.5 lakh to, say, Rs.10 lakh.

Coverage scenario

In 1962, the deposit insurance limit was Rs.1,500. It went up in stages and, in 1993, it was increased to Rs.1 lakh. In February 2020, it was raised to Rs.5 lakh, where it stands currently. The insurance p...