It is the Louisiana Department of Health and Hospitals which requires nursing home facilities to acquire a patient trust fund surety bond.
Our agency helps you to meet the surety bond requirement in an amount mandated by the Department.
Amount of the Surety Bond Required
According to regulations, no specific surety bond amount is mandated; however, if you are required to purchase a bond the amount will be given to you by the Department.
Our agency will need the amount of surety required; we cannot determine that amount for you.
As a broad rule, the amount will at least be in an amount to cover the balances of all of your patients’ deposits and other valuable items. Therefore, the amount will likely vary from year to year and bond renewal to bond renewal.
Qualifying for the Louisiana nursing home / patient trust fund bond will be by completion of an application, much of which can be taken over the phone with an agent. There will also be a credit inquiry.
Applicants who qualify for this bond will pay premium that is 1%, with a $100 minimum of the surety bond amount required.
If the bond is particularly large (i.e. over $100,000), you may be requested to supply a business financial statement to assist in the underwriting of your surety bond. In all cases, however, the bond’s premium should be 1% annually.
The term of the bond, once issued will be 1 year. There are options to prepay the bond which offers you a savings over year to year renewal of your premium. However, before considering that option, you may wish to factor in that the amount you require will likely vary from one year to the next.
As a nursing home provider or business, you hold the funds of your clients in a fiduciary capacity. The surety bond is for the benefit of your patients, alone.
Essentially, this surety bond protects your patients against acts of fraud, embezzlement or malfeasance in management and allotment of funds and other valuable items received from your patients.
AmeriPro Surety Bonds is a surety bonds-only agency. We provide license and permit surety bonds throughout Louisiana. Our agency also provides surety bonds nationwide.
Please call our agency today at:
Or, you may fill out the form below and an agent will contact you..