But if you put in $250k because you're responsibly splitting things across banks, and the interest you've made on it raised you to $252k, you're counted amongst the 97.3% and it's not a big deal.
I'm sure some people are out meaningful amounts of money, but I'm not sure what a typical account looks like.
As a whole it's like <30% FDIC insured in the whole US banking industry.
> they’ll probably get all their money but it will still be bad
They may not. Even for banks where most assets are FDIC insured, you'll see that not 100% of deposits are returned. Selecting a random recent one:
https://closedbanks.fdic.gov/dividends/bankfind/Dividendinde...
~95%.