Expansion of FDIC insurance 1989
Until 1989, banks with national charters (national banks) were required to participate in the FDIC, while State Banks either were required to obtain FDIC insurance by state law or they could voluntarily join it (usually in an attempt to bolster their appearance of solvency). After enactment of the Federal Deposit Insurance Corporation Improvement Act of 1989 ("FDICIA"), all commercial banks that accepted deposits were required to obtain FDIC insurance and to have a primary federal regulator (the Fed for state banks that are members of the Federal Reserve System, the FDIC for "nonmember" state banks, and the Office of the Comptroller of the Currency for all National Banks).
Note: Federal Credit Unions are regulated by National Credit Union Administration (NCUA). Savings & Loan Associations (S&L) and Federal Savings Banks (FSB) are regulated by the Office of Thrift Supervision (OTS)
Temporary expansion of FDIC insurance - 2008
In 2008, due to the financial crisis, and to encourage businesses and high-net-worth individuals to keep their cash in the largest banks (rather than spreading it out), Congress temporarily increased the insurance limit to $250,000.