Ohio Guardian Bonds, as many other states, are typically issued on an annual basis. This means an initial premium is due when the bond is issued. If the guardianship extends beyond one year in length, a renewal premium is due when the guardian bond renews.
The premium for the first year of any guardianship bond is always non-refundable. However, subsequent years are pro-rated. This means even if you pay the full guardianship bond renewal premium on anniversary, and a final order is issued by the court ending the bond, you’ll get a pro-rated refund. For instance, a bond issued in January, but case is closed and bond discharged in June, you would get approximately 50% of the renewal premium returned. Whatever the pro-rate amount is calculated to be. Some carriers actually provide a full 100% refund if it’s closed out within 60 days of renewal date.
If the estate is expected to extend beyond one year, most carriers offer huge discounts for pre-paying for additional years in advance. Up to 30% or more discount on your multi-year guardianship bond. The amazing thing is that additional years after the first is still pro-rated. If you choose to purchase a two or three year guardianship bond, in advance, when initially applying for the bond, you’ll get the multi-year discount.
While this might be a seemingly insignificant consideration, it could result in big savings for the guardianship. Larger bonds costing hundreds or thousands of dollars a year in premium could see huge savings!
How to Apply for Guardianship Bond Now
PHIL PAVARINI JR INSURANCE AGENT
NAGASHIMA PAVARINI LTD
Call now, speak with Phil personally at +1 216-374-4500.