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Issues trusting people?
You’re not alone…

Are you concerned with an executor or trustee absconding with your estate? Misappropriating your hard earned nest-egg? Squandering your lifelong savings? It can happen with estates small and large. Even close family, trusted friends and licensed professionals sometimes lose their mind and get caught stealing. What will your executor or trustee do? Who knows!

What is a probate bond

One method to protect the estate assets is using a probate court bond, sometimes called a fiduciary bond, trustee bond, executors bond, trustee bond, administrator bond, or surety bond.

A probate court bond protects the estate from failure of the fiduciary to follow applicable laws and requirements. If the executor or trustee fails to follow requirements, court can order payment on the bond. The surety company will pay the court, then take action to collect those payments from the bond principal. A surety bond could be thought of as the surety company co-signing on behalf of fiduciary’s ability to pay.

Courts require estate bonds for a reason

It’s important to note many jurisdictions require bonds by default, unless specifically waived in your will or trust.  There’s good reason it’s a requirement, it comes from a long history of inappropriate estate handling.

From an insurance agents prospective, it seems the trend is to waive bond requirements. In fact, we regularly suggest waving bonds are a good way to save money on the front end.  But at what cost?

Should I require a probate bond or waive bond requirement?

Aspects of requiring a probate bond

Aspects of waiving bond requirement

Conclusion

Waiving or requiring a probate court bond is one of the most overlooked aspects of an estate plan. It’s not as cut and dry as some make it out. While you can designate executors, personal representatives, trustees, and their successors, it’s important to consider someone you never intended or designated might end up in the role.  Be sure to discuss all of these aspect with your estate planning attorney.

How to get an estate bond or trustee bond

Our agency issues more probate court bonds in a week than most agents in a year. We offer online applications, quick response time and the best pricing available.  Apply Online for a Probate Court Bond or Download PDF Probate Court Bond Application.