So, I rest my case. Deposit insurance prevents runs on banks' retail deposits.
What we have had is a series of "bank runs' on the capital markets side of banking institutions. Which is why Glass-Steagall was such a great idea and why it took about 10 years since it was repealed for a new Great Crash complete with its own Bank Panic and Long, Deep Recession. The brainless should not be in banking. — Willem Buitler
