NCUA and ESI Insurance
In the history of the United States, no person has ever lost money on insured credit union deposits that are less than $250,000 per account.
The National Credit Union Administration
The National Credit Union Share Insurance Fund (NCUSIF) is the federal fund created by Congress in 1970 to insure member's deposits in federally insured credit unions. On July 22, 2010, the Dodd-Frank Wall Street Reform and Consumer Protection Act was signed into law and included permanently establishing NCUA’s standard maximum share insurance amount at $250,000. All deposit insurance resources reflect this higher level of coverage.
Administered by the National Credit Union Administration, the NCUSIF is backed by the full faith and credit of the U.S. Government.
The NCUSIF maintains at or near 1.30 percent of federally insured credit union deposits. By law, federally insured credit unions maintain one percent of their deposits in the NCUSIF and the NCUA Board can levy a premium if necessary. Credit unions voluntarily capitalized the Fund in 1985 by depositing one percent of their deposits into the Fund.
No federal tax dollars have ever been placed in the Fund, and no member has ever lost money insured by the NCUSIF.
Excess Share Insurance – Additional coverage and convenience
Excess share (deposit) insurance provides up to $250,000 of additional share insurance for credit union members’ accounts when their balances exceed the maximum level of coverage provided by their credit union's primary share insurer.
Primary share insurance for credit unions is provided by either ESI’s parent company American Share Insurance (ASI), the nation’s largest private share insurance fund, or the National Credit Union Administration (NCUA), the administrator of the federal credit union deposit insurance program.
ESI has demonstrated financial stability and support of the credit union industry since 1993. The company provides share insurance solely to credit unions.