The Federal Deposit Insurance Corporation (FDIC) is an independent agency of the federal government responsible for insuring deposits made by individuals and companies in banks and other thrift institutions.The FDIC insures deposits up to $250,000.he Federal Deposit Insurance Company (FDIC) was created in 1933 as a way to mitigate the damage caused by thousands of bank failures stemming from the stock market crash of 1929 and other risky investments.