What is a probate bond vs a fiduciary bond?
Probate bond and fiduciary bond are interchangeable umbrella terms that encompass the many court bond types required when individuals are appointed to act on behalf of others.
For a better understanding, here are the definitions of Probate and Fiduciary.
A Fiduciary is a person that is given power over someone else’s interests and assets. Bonds required of fiduciaries include Executor Bond, administrators, Guardianship Bond, trustees and conservators.
A Probate is the legal procedure in which the assets and wishes of a deceased individual are carried out.
In the case of fiduciary and probate bonds, a fiduciary might be appointed by a court to care for another individual or manage another’s finances through the probate process.
SuretyBonds.com is legally licensed to sell probate bonds in every state. For more information about your probate bond, call 1 (800) 308-4358 to speak with a surety expert.
How much does a probate bond cost?
Probate bond costs vary depending on the amount of coverage needed. The amount is typically based on the total estate value the fiduciary will be responsible for. Probate bond premiums are typically calculated at just .5%, or $5/thousand for the first $250,000 of coverage. This means $100,000 of coverage would cost just $500. The best way to determine your exact surety bond cost is to request a free probate bond quote now!
How do I get a probate bond?
When applying for a probate bond, court documents from the client and fiduciary related to the case are required. Depending on the risk associated with the request, a review of the client’s financial credentials, such as a credit report or personal financial statement, might also be required. If you’re ready to apply, call 1 (800) 308-4358 to speak with a probate bond expert who can walk you through the application process.
What do probate bonds do?
These bonds help protect estates and beneficiaries from fraud, embezzlement, and other illicit acts. Depending on the situation, a fiduciary could be responsible for:
- inventorying and protecting the assets of an estate
- contacting beneficiaries and potential heirs
- having an estate appraised
- paying off debts
- ensuring taxes are correctly calculated and paid
- disbursing assets
- making personal care decisions for another person
With a surety bond in place, family members, heirs, and other stakeholders have an avenue of recourse in in case the fiduciary were to take advantage of their appointment.