Guardianship Bonds

Protection for Those In Your Care

What Are Guardianship Bonds?

Also known by many other names–Probate Bonds, Conservator Bonds, Custodial Bonds, Estate Bonds, Trustee Bonds, and Executor Bonds–Guardianship Bonds are a form of surety bond. They come into play when a party is assuming responsibility for an individual who is unable to make sound decisions on their own. Those who require a legal guardian could include minors or disabled people and older adults who are cognitively-challenged and who may have significant assets in their name. Simply being a minor, physically disabled, or elderly is not reason enough for a Guardianship Bond; there must be assets that could be lost through mismanagement along with proof that the individual isn’t capable of managing their own affairs. A Guardianship Bond protects the individual from being preyed upon or taken advantage of.

Why Are Guardianship Bonds Necessary?

Guardianship Bonds can help to provide for an individual’s adequate physical, emotional and medical care as well as dictating responsibilities regarding financial and property management. A bond acts as a legally binding contract between the guardian (principal), the court (obligee), and the bond writing company (surety). It helps to ensure that a guardian will take their court-appointed obligations seriously and execute their role faithfully.

Guardianship Bonds protect the person under a guardianship from being taken advantage of by an unscrupulous individual. In general, Guardianship Bonds create a sense of trust and accountability between all parties involved in estate or probate proceedings: Conservator, Executor, Administrator, and Personal Representative. If at any time the court or another individual feels that the guardian has not met their obligations to the person in their care, that party has the right to file a claim against the Guardianship Bond to protect the person from loss.

Who Needs A Guardianship Bond?

Anyone who comes to have legal guardianship for a vulnerable individual with sizable assets should have–and may be required to post–a Guardianship Bond. This is generally the process when a court appoints an individual as the guardian over another person’s assets and affairs.

It can be a stressful process for a responsible party to establish and maintain legal guardianship over the minor or disabled adult in their care. The complexities and time expended can cause an already emotionally charged situation to be even more stressful. A Guardianship Bond helps to ensure that the guardian acts according to the court’s ruling, thanks to a financial guarantee of their legal and ethical duties to the person under their guardianship.

How Much Do Guardianship Bonds Cost?

Several factors will come into play when we determine a Guardianship Bond premium. These could include state guidelines, bond amount, covered assets, and the principal’s credit score and both personal and financial history. As with all other surety bonds, every case will differ. Length of bonds will vary as well, with some being terminated upon a minor reaching adulthood. Bond premiums are typically calculated to be around 0.5% up to 3% percent of the total bond amount, but this sum will vary on the above-listed factors. For example, a $300,000 Guardianship Bond might have a premium anywhere between $1,500 and $9,000. Premiums could drop toward the lower end of the spectrum for higher bond amounts.

If an underwriter is not needed, and bonds are instant-issue–like they are at BK Insurance & Financial Services, Inc.–then the rate is generally lower. The court will determine the total bond amount on a case-by-case basis, and our licensed surety bond agents can provide a free, personalized premium quote.

Get a Surety Bond in Minutes

• Choose from the widest selection of instant issue bonds
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Submit some basic information and just moments later you could have a bond approval–evaluation, qualification, and underwriting are all handled quickly and conveniently. Our rapid approval service is available in all 50 states for a wide variety of surety bonds. No matter where you do business–from Texas or Oklahoma to Vermont or New Hampshire–we can help. Use our easy search feature to sort available bonds by state or keyword, then select the specific bond that’s best for your business. If you’re having any trouble finding what you need, feel free to ask questions to our live team that’s ready to chat. These skilled surety bond experts can help you to meet all applicable requirements and get you back to handling your business.

 Propeller Bonds - is our partner who works directly with our customers to write guardianship bonds.