The Federal Deposit Insurance Company (FDIC) mitigates any potential damage to the United States economy by insuring deposits made to banks and other financial institutions. Savings, checking, individual retirement accounts (IRAs) and other deposit accounts (when combined) are insured up to $250,000 per depositor.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.