Tag Archives: guardian bonds

Guardianship Bonds & Guardian Bonds

guardianship

Bernard Fleischer & Sons Inc. can guide you through the process of obtaining the guardianship bond often required. We have extensive experience in placing probate / fiduciary bonds.

 

What is a Guardianship Bond?

A Guardian is a fiduciary appointed by the court to manage the estate of a minor or incompetent. Most bonds are written for multiple years, depending on the individual circumstances.

A guardianship bond is a type of fiduciary bond. Like all fiduciary bonds– a subcategory of court bonds– the guardianship bond is required by an assigned person who handles the property and monies of a minor or otherwise incompetent person. Subject to its specific terms, this bond guarantees honest accounting and faithful performance of duties. These bonds are customarily filed in a probate court.

 

What do Guardianship Bonds do?

Guardianship Bonds work similar to insurance. But instead of protecting you, they protect the person you are caring for. They protect against losses or damages should you (the guardian) behave improperly or unethically. This means if you steal money from a minor’s trust that you are caring for, a claim can be made against your bond, they guarantee you will not abuse or neglect the person you are caring for. And if you do, the minor or incapacitated individual is protected by the bond.

 

How to get a Guardianship Bond

Our Surety Bonding Agency is a full-service, national surety bonding agency, licensed in every U.S. state to serve all your needs. Our team is proud of our attentive service and quick turnaround times. We provide responsive, knowledgeable assistance to attorneys, fiduciary and other individuals in need of all types of probate bonds and other court bonds.

For further information about guardianship bonds see our article When is a Guardianship Bond Required for Minors and the Incapacitated?, email Jose Ward at jw@bfbond.com, call us at 800.921.1008 or fill out an application here.

What is an administration bond amount?

This is the amount of the administration bond fixed by statute, and is to be at least equal to the value of the personal property that comes into his hands. The law of many states require the administration bond to be twice the amount of the personal property. The reason for this seems to be that when individual surety is furnished, experience has shown that the suretyship often shrinks considerably in the event of a claim. Hence the lawmakers adopt what the engineers call a factor of safety, where corporate surety in amounts equal to double the value of the personal estate is furnished, a discount is allowed in the premium. Since the surety cannot lose more than the amount of the personal etate, the question is sometimes asked, “why not base the premium on the amount of the personalty?”

Who most often becomes the administrator?

While the statutes of some states prohibit the appointment as an Administrator of anyone who has been convicted of a felony or is an habitual drunkard, the court is usually even more circumspect. Often the eldest child, the closest relation, or the principal creditor is named to administer the estate. No one is appointed, however, until the heirs and other parties at interest have given consent, or have been given a chance to protest. Retrieve the online Adminstrator Bond Here.

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