Who needs an Administrator Surety Bond?
An Administrator Surety Bond is a type of court bond that is required for individuals who have been appointed to act on behalf of others. This type of bond is typically required by a probate court when appointing an administrator to handle the estate of a deceased individual.
What is the purpose of an Administrator Surety Bond?
These bonds guarantee the principal (appointed individual) will comply with the court’s requirements and instructions, as well as any state or local statutes regulating administrators. They also guarantee the principal will perform their duties in an honest and faithful manner.
If the principal causes any financial loss or damages due to dishonest practices, such as fraud or embezzlement, a claim can be filed against the bond. If the claim is validated, the surety will pay out up to the penal sum of the bond to resolve the claim. Once a claim has been resolved, any monies paid out by the surety must be reimbursed by the principal, including attorney’s fees.
What are the differences between Administrator Surety Bonds and Court Bonds?
Administrator Surety Bonds are very similar to the following court bonds, with these key differences:
- Administrator: Principal has been appointed by the court to handle the estate of the deceased
- Executor: Principal has been appointed through a will to handle the estate of the deceased
- Conservatorship: Principal has been appointed by the court to handle the assets of a person who has been declared unable to handle his or her own affairs
- Guardianship: Principal as been appointed by the court to handle the assets of a minor until they reach adulthood
- Trustee: Principal has been appointed through a trust to handle the estate of the deceased
How much is an Administrator Surety Bond written for, and what is the cost?
The penalty amount for an Administrator Surety Bond will vary depending on the value of the estate and the amount of coverage required by the court. Pricing will also vary, and your premium will be based on the following factors:
- Size of the bond required
- The state it is required in
- Personal credit of the appointed individual
Individuals with good credit can expect to pay 1%-5% of the bond amount. This means qualified applicants could pay as little as $500 annually for a $50,000 Administrator Surety Bond. To find out how much your Administrator Surety Bond is going to cost, please complete our online application for your free, no obligation price quote.
Can I get an Administrator Surety Bond with bad credit?
Pacific Surety offers a wide range of approvals, regardless of credit, for Administrator Surety Bonds. With our strong surety relationships, we have the ability to approve 99% of applicants, regardless of how bad their credit is, and our knowledgeable underwriting staff will work with you to ensure you receive the lowest possible pricing for your bond. To see what rate you will qualify for, please complete our online application for your free, no obligation price quote.
How do I obtain an Administrator Surety Bond?
The first step is to complete our quick online application for your free, no obligation bond quote. Submission takes only five minutes, and our underwriting staff will be in contact with you within a couple of hours with pricing. If you prefer to speak with our knowledgeable staff, please call 1-866-722-7873 and one of our Underwriters will assist you in applying for your bond.
After you receive approval, you must sign an indemnity agreement with the surety and provide payment for your bond premium. In most cases, we can issue bonds the same day we receive your signed documents and payment.