Senators Angela Alsobrooks (D-Md.) and Bill Hagerty (R-Tenn.) introduced the Main Street Depositor Protection Act, bipartisan legislation aimed at increasing deposit insurance coverage levels for business checking accounts at most banks and credit unions.
Increase deposit insurance coverage levels for business checking accounts at most banks and credit unions.
Occurrences
Alsobrooks ... noted working with Sen. Bill Hagerty on a proposal to raise Federal Deposit Insurance Corporation coverage limits on business accounts.
“This bipartisan legislation would require a data-driven process to increase deposit insurance coverage levels for business checking accounts at most banks and credit unions,” Alsobrooks said.
The Main Street Depositor Protection Act would raise the deposit insurance coverage limits for noninterest-bearing transaction accounts from $250,000 to $5 million for certain banks and credit unions. The legislation was reintroduced in the Senate by Sens. Angela Alsobrooks (D-Md.), Bill Hagerty (R-Tenn.) and others...
The Main Street Depositor Protection Act, reintroduced by Senators Hagerty and Alsobrooks, aims to enhance financial stability by expanding deposit insurance coverage for noninterest-bearing transaction accounts. The bill directs the FDIC to set a new cap between $250,000 and $5 million for these accounts at eligible banks and credit unions.
Evidence
On March 25, 2026, Senators Angela Alsobrooks (D-Md.) and Bill Hagerty (R-Tenn.), along with other bipartisan colleagues, introduced the Main Street Depositor Protection Act. This legislation directs the Federal Deposit Insurance Corporation (FDIC) to set a new cap between $250,000 and $5 million of additional deposit insurance coverage for noninterest-bearing transaction accounts at eligible banks and credit unions.
The Main Street Depositor Protection Act, reintroduced by Senators Hagerty and Alsobrooks, aims to enhance financial stability by expanding deposit insurance coverage for noninterest-bearing transaction accounts. The bill directs the FDIC to set a new cap between $250,000 and $5 million for these accounts at eligible banks and credit unions.
Lawmakers in the House and Senate announced the introduction of four bills to revise the deposit insurance framework, focusing on noninterest-bearing transaction accounts. The Main Street Depositor Protection Act, reintroduced by Senators Alsobrooks and Hagerty, proposes raising the deposit insurance coverage limits for these accounts from $250,000 to $5 million for certain banks and credit unions.
A bipartisan pair of senators, including Angela Alsobrooks, introduced legislation that would give the FDIC six months to decide whether to raise its cap on deposit insurance as high as $5 million for some accounts. This bill is a narrower version of their earlier proposal to guarantee non-interest-bearing transaction accounts up to $10 million.
Sen. Alsobrooks said the bipartisan Main Street Depositor Protection Act would require a data-driven process to increase deposit insurance coverage levels for business checking accounts at most banks and credit unions.
The bill text states it was introduced by Hagerty for himself and Alsobrooks, read twice, and referred to the Senate Committee on Banking, Housing, and Urban Affairs; it would direct the FDIC and NCUA to extend coverage for noninterest-bearing transaction accounts up to a rule-based cap not above $5 million.
The official legislation page updated June 4, 2026 shows recent sponsored items and amendments, with the latest visible sponsored bill entry being S.4450 and a latest action of 'Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.'
Assessments
Alsobrooks materially advanced the promise by co-introducing the Main Street Depositor Protection Act in March 2026 to raise insurance coverage for noninterest-bearing business transaction accounts at banks and credit unions. But the available evidence shows the bill was only introduced and referred to committee, with no enactment or implemented increase in deposit insurance coverage. Under the stated rule, a serious legislative attempt that did not deliver the promised outcome counts as never, with effort credit.
Senator Alsobrooks introduced and reintroduced bipartisan legislation to increase deposit insurance coverage for business checking accounts, clearly demonstrating substantial effort. However, based on the evidence provided, the legislation has not been enacted and thus the promise to deliver increased deposit insurance has not been fulfilled during the same term. The effort meets the threshold for the effort badge, but the outcome itself is not delivered.