Is Life Insurance Federally Insured? 
That is an excellent question ! The answer is technically no , but kindof yes . The funds for your policies death benefit are not insured or backed in any way by the Governments money . What the Government did do though , is ensure that the insurance companies have to have a cash fund available to cover the death benefits for the policies they write . And to doubly cover you , the States themselves have a fund set aside to cover some or all of your policy , should your insurance company go belly up . Thanks for asking ! 