Canada Deposit Insurance Corporation (CDIC)

Overview

Federal Crown Corporation | Deposit Insurance Authority | Member Institution Supervisor

The Canada Deposit Insurance Corporation (CDIC) is a federal Crown corporation established by Parliament in 1967 to provide deposit insurance protection for depositors in Canadian member institutions. As the primary deposit insurer in Canada, CDIC operates as the "lender of last resort" and resolution authority for all its member institutions, from the smallest to Canada's largest systemically important banks (D-SIBs).

Key Facts:

• Established: 1967 by federal legislation

• Coverage: Automatic deposit insurance up to CAD 100,000 per depositor per member institution

• Historical Performance: Resolved 43 member failures affecting ~2 million depositors with zero losses to insured depositors

• Members: ~100 Canadian commercial banks, trust companies, and savings institutions

• Annual Premiums: Funded through member institution insurance premiums; no cost to depositors

CDIC serves as a critical pillar of Canada's financial system safety net, working alongside the Office of the Superintendent of Financial Institutions (OSFI) and the Bank of Canada to maintain system stability.

Basic Identity

• Entity ID: A101-CA-FED-CDIC

• File Version: 1.0

• Created: 2026-04-05

• Regulatory Scope: Deposit insurance, member institution supervision, resolution authority

• Regulatory Authority Status: Layer 1 (Binding Authority)

• Geographic Jurisdiction: Canada (National)

• Entity Classification: Federal Crown Corporation

Classification

Inclusion Justification

What This Entity Oversees

Deposit Insurance Framework

Coverage Scope

Protected Deposits:

• Deposits at member institutions

• Coverage limit: CAD 100,000 per depositor per member institution

• Free and automatic protection (no application required)

• Covers deposits in domestic currency and Foreign currency deposits held in Canada

Coverage Categories:

• Deposits in your name alone

• Joint deposits

• Deposits held in trust for another person

• TFSA (Tax-Free Savings Account) deposits

• RRSP (Registered Retirement Savings Plan) deposits

• Deposits by a partnership

Exclusions:

• Deposits held outside Canada

• Shares and equity investments

• GICs denominated in foreign currency (with exceptions)

• Insurance products

• Requires verification from official sources Cryptocurrency and digital assets

Insurance Premium Structure

Member institutions pay risk-based insurance premiums calculated based on:

• Balance of insured deposits

• Risk profile and regulatory capital ratios

• Institution-specific factors and supervisory ratings

Premium rates are reviewed and adjusted regularly to maintain adequate insurance reserve levels.

Member Institution Requirements

Eligibility Criteria

To qualify for CDIC membership, institutions must:

• Be federally or provincially chartered as a bank, trust company, or savings institution

• Be authorized to accept deposits

• Meet CDIC's eligibility requirements and membership agreement terms

• Be subject to OSFI supervision (for federally-regulated institutions)

Ongoing Compliance Obligations

Data and System Requirements (DSR):

• Member institutions must maintain and report standardized data on deposit accounts

• CDIC Data and System Requirements

• Reports required for CDIC assessment of potential losses in failure scenarios

• Compliance with CDIC member information standards and IT system specifications

Annual Reporting:

• Deposit account information

• Insured and uninsured deposit balances by category

• Member institution financial statements

• Changes to member institution ownership or governance

Compliance Standards:

• Member institutions must comply with CDIC standards and requirements

• Failure to comply may result in enforcement action

• Increased monitoring and potential special examinations for non-compliant institutions

Supervisory Framework

Shared Responsibility Model:

• OSFI: Primary federal supervisor of federally-regulated deposit-taking institutions (conduct comprehensive examinations)

• CDIC: Secondary supervisor with specific focus on deposit insurance risk assessment and resolution preparedness

CDIC's Supervisory Role

Ongoing Monitoring:

• Review of regulatory and public information

• Continuous assessment of member institution risk profiles

• Communication with OSFI supervision teams and specialist groups

• Enhanced monitoring of higher-risk institutions

Special Examinations:

• CDIC may request data from member institutions during special examinations

• Requires verification from official sources Conducted when CDIC has concerns about a specific member's financial condition or deposit insurance risk

• Can be initiated independently or in coordination with OSFI

Crisis Preparedness Activities:

• Higher-risk institutions subject to enhanced CDIC monitoring

• Resolution planning and scenario analysis

• Data quality assessments

• Crisis management testing and coordination

Resolution Powers

Authority and Scope

CDIC Resolution Authority applies to all member institutions regardless of size or systemic importance.

Available Resolution Tools

For Small and Medium-Size Banks:

• Resolution of Small and Medium-Size Banks

• Deposit transfer arrangements to other member institutions

• Purchase and assumption (P&A) transactions

• Liquidation and reimbursement of insured depositors

• Bridge bank creation (temporary institution to absorb operations)

For Systemically Important Banks (D-SIBs):

• Resolution of Large Banks

• Enhanced Financial Institution Restructuring Powers (E-FIRP)

• Authority to stabilize and restructure operations

• Requires verification from official sources Bail-in authority (conversion of debt to equity)

• Bridge bank creation with recapitalization features

• Debt-to-equity conversion to restore capital levels while maintaining public confidence

Resolution Coordination

CDIC Resolution Coordination:

• Works with safety net partners (OSFI, Bank of Canada, Department of Finance)

• Coordinates with provincial regulators for member institutions with provincial charters

• Maintains Requires verification from official sources cooperation arrangements with international resolution authorities

• Develops resolution plans for all D-SIB members (resolution planning and scenario testing)

Deposit Insurance Guarantee

• No depositor losses under CDIC coverage (historical record: 43 resolutions, zero losses)

• Coverage applies automatically at member institutions

• No depositor action required to activate protection

• Protected coverage communicated through member institution materials

Depositor Communication

• Member institutions must clearly inform depositors of CDIC coverage

• Coverage calculators available at cdic.ca

• Regular updates on coverage limits and categories

• Requires verification from official sources Annual member notification requirements

Consumer Education

• Coverage guides and fact sheets

• Coverage calculator tools

• FAQs addressing common depositor questions

• Multilingual resources available

Regulatory Powers

This entity exercises integrated regulatory powers across multiple financial sectors:

Regulatory Role and Function

Legal Foundation

Statutory Foundation

CDIC Act (RSC, 1985, c. C-3)

• Primary enabling legislation establishing CDIC as a federal Crown corporation

• Official citation: Canada Deposit Insurance Corporation Act (RSC, 1985, c. C-3)

• Source: Department of Justice Canada Legislation Database

• Also available through CanLII

Regulatory Framework

Financial Administration Act (FAA)

• CDIC is an agent of Her Majesty in right of Canada

• Named in Part I of Schedule III of the FAA as a Crown corporation

• Subject to federal Treasury Board oversight and parliamentary accountability

By-Laws and Regulations

• CDIC Legislation and By-Laws

• CDIC may issue binding standards to member institutions

• Regulatory power derived from CDIC Act Section 17 (authority to make by-laws)

Powers Granted

The CDIC Act grants CDIC extensive powers including:

• Authority to establish and administer deposit insurance programs

• Power to conduct examinations and inspections of member institutions

• Resolution authority and intervention powers for failing institutions

• Authority to establish member institution data and system requirements

• Power to set premium rates and insurance terms

Licensing and Authorization Relevance

Current CDIC Approach

Requires verification from official sources CDIC's regulatory framework addresses digital banking and technology innovations through:

Digital Banking Services:

• Member institutions offering online banking, mobile apps, and digital payments fall under standard CDIC deposit insurance coverage

• Coverage applies to deposits held through digital channels

• Technology risk assessments conducted as part of member institution examinations

Emerging Technologies:

• Requires verification from official sources CDIC monitoring of blockchain and distributed ledger technologies used by member institutions

• Assessment of cybersecurity risks associated with fintech partnerships

• Requires verification from official sources Framework for third-party technology service providers

Cryptocurrency and Digital Assets:

Requires verification from official sources CDIC's position on cryptocurrency deposits:

• Cryptocurrencies and digital assets held by member institutions are not covered by deposit insurance

• Stablecoins issued by member institutions subject to regulatory assessment

• Requires verification from official sources No current formal regulatory framework for crypto deposit protection

• Member institutions offering crypto services must maintain segregated accounting

Innovation Policy Considerations

• CDIC participates in regulatory discussions on fintech and payments innovation

• Works with OSFI on oversight of technology-driven banking services

• Requires verification from official sources Ongoing assessment of whether coverage framework should be updated for emerging financial products

Payments and Money Movement Relevance

The Canada Deposit Insurance Corporation (CDIC) has the following relevance to payments and money movement in Canada:

Payment Systems Governed or Overseen

The Canada Deposit Insurance Corporation (CDIC) does not directly operate payment systems. Its indirect relationship to payments includes:

The entity's primary mandate is insurance sector regulation rather than payment system operation or oversight.

Relationship to Other Regulators

IADI Membership and Leadership

International Association of Deposit Insurers (IADI):

• CDIC is a founding member of IADI (established 2002)

• IADI represents 107 deposit insurers globally

• CDIC helped develop IADI's Core Principles for Effective Deposit Insurance Systems (2009)

Leadership Role:

• CDIC's David Walker appointed Secretary General of IADI (recent appointment)

• Contributes expertise to international deposit insurance standards development

• Participates in IADI annual meetings and regional conferences

Cross-Border Crisis Management

Safety Net Coordination:

• Works with Financial Stability Board (FSB) as lead advisor

• Participates in Bank for International Settlements (BIS) working groups

• Member of FSB Resolution Steering Group

• Member of FSB Cross-border Crisis Management Group

International Cooperation:

• CDIC International Cooperation

• Federal-Provincial Deposit Insurance Forum coordination

• Requires verification from official sources Bilateral cooperation arrangements with deposit insurers in other jurisdictions

• Resolution authority coordination for cross-border member institution failures

Standards Development

• CDIC contributes to international deposit insurance best practices through IADI

• Participates in standard-setting for resolution authority frameworks

• Requires verification from official sources Influence on global regulatory approaches to systemic bank resolution

Geography and Jurisdiction Notes

Important Departments and Divisions

Key Public Resources

Headquarters

Canada Deposit Insurance Corporation (CDIC)

50 O'Connor Street, 17th Floor

Ottawa, Ontario K1P 6L2

Canada

Phone:

• General Inquiries: 1-800-461-2342

• TTY Service (Deaf/Hard of Hearing): 1-800-465-7735

• Media Inquiries: 1-613-943-4395

Toronto Office:

1200–79 Wellington Street West, P.O. Box 156

Toronto, Ontario M5K 1H1

Leadership

President and Chief Executive Officer:

• Gina Byrne (appointed 2025)

• 18+ years tenure at CDIC

• Background in Member Risk, Resolution Planning, Enterprise Risk and Resiliency

• Developed CDIC's resolution planning framework for Canada's largest banks

Chief Operating Officer:

• Requires verification from official sources Appointed to support CEO

Chief Risk Officer:

• Nadine Saryeddine (appointed 2025)

Vice President, Corporate Affairs, General Counsel and Corporate Secretary:

• Christa Walker (appointed 2025)

Vice-President, Technology and Data:

• Samantha Zahra Rahim (appointed 2025)

Board of Directors

Management Team

Official Resources

Website: www.cdic.ca

Key Pages:

• About CDIC

• Coverage Calculator

• For Member Institutions

• Contact Us

• Compliance Resources

Publications:

• Annual Reports

• Corporate Plans and Summaries

• CDIC 2024 Annual Report

• Member Institution Handbooks

• Resolution Planning Guidance

Data Access:

• InfoSource (Disclosure)

• Member Institution ID Codes

Notes on Naming and Language