Fidelity Investments FDIC & SIPC

Just checked their site and found this info:

Fidelity has both FDIC and SIPC insurance. The basic difference between the two organizations is that the FDIC deals mostly with your checking and saving bank account, whereas the SIPC deals with your investments through brokerage and retirement accounts. The FDIC is also an independent federal agency, whereas the SIPC is a nonprofit organization based on membership.

Fidelity FDIC Insurance
Fidelity provides FDIC insurance for certain types of deposit accounts. These include various IRAs offered through them (traditional, Roth and rollover IRA, etc.), cash management accounts, and Fidelity’s Health Savings Account.

FDIC generally protects up to $250,000 per account, and if you have on deposit more than that amount, then Fidelity will send you a notification reminding you of the max amount covered.

Fidelity SIPC Insurance
Fidelity is also one of the major brokers that is protected under SIPC as well. The SIPC is designed to safeguard investment brokerage accounts and protects stocks, bonds, ETFS, etc. If an investment bank like Fidelity goes bankrupt, it can cover up to $500,000 total for all of the accounts you have under Fidelity. This includes over $250k in cash held in the brokerage account as well. This includes both principal and accrued interest that grows over time. There is also an “excess of SIPC” coverage that covers up $1.9 million in coverage, but make sure to check with Fidelity about the additional coverage.