Opponents of Alberta independence warn that leaving Canada would mean losing federal deposit insurance and putting Albertans’ savings at risk.

That claim ignores an awkward fact: Alberta already operates deposit-protection systems of its own, and some provide broader coverage than Ottawa’s.

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Deposits held at Alberta credit unions are guaranteed through the Credit Union Deposit Guarantee Corporation. The guarantee covers 100% of eligible deposits, including accrued interest, without CDIC’s $100,000 ceiling. Provincial law also requires the Alberta government to ensure the corporation’s obligations are carried out. 

ATB Financial deposits are likewise fully guaranteed by the Province of Alberta. That protection covers deposited money and the interest payable on it.

By comparison, the federal Canada Deposit Insurance Corporation protects eligible deposits at member institutions up to $100,000 in each insured category, including principal and interest. Customers can receive more total protection by holding money in several qualifying categories, but each category remains subject to that limit.

Independence would not mean every federally regulated bank automatically shifted into Alberta’s existing system overnight.

Alberta would need to establish successor coverage for those institutions, transfer or recognize existing protections during the transition and ensure that the new system had adequate reserves and a credible government backstop.

But that is an expansion of an existing system, not the invention of one from scratch.

Alberta already regulates financial institutions, oversees credit unions and guarantees tens of billions of dollars deposited with ATB. The institutional foundation, legislation and experience already exist.