Economics • Banking & FinanceEasy
What is the maximum deposit insurance coverage provided per depositor per bank by the Deposit Insurance and Credit Guarantee Corporation (DICGC) in India?
A. 1 Lakh Rupees
B. 2 Lakhs Rupees
C. 5 Lakhs Rupees✓ Correct Answer
D. 10 Lakhs Rupees
💡 Solution & Explanation
The Deposit Insurance and Credit Guarantee Corporation provides deposit insurance coverage up to five lakhs rupees per depositor for both principal and interest held in the same right and capacity across insured banks. Lower insurance limits from earlier decades were revised upward to enhance depositor confidence in the banking sector. DICGC functions as a wholly owned subsidiary of the Reserve Bank of India.
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