Estate & Fiduciary Bonds
Ensure that a fiduciary fulfils his/her obligations as specified in the will or in the court order. This bond guarantees that the fiduciary is honest, financially stable, and capable of completing the duties as prescribed by the courts.
Fiduciary Bond Products
A fiduciary is an individual who occupies a position of trust, particularly one who manages the affairs or funds of another. A fiduciary bond is required of administrators, committees, executors, guardians or trustees, to guarantee their faithful performance of duties in accordance with relevant laws.
Fiduciary bonds ensure that the fiduciary fulfils his/her obligations as specified in the will or in the court order. This bond guarantees that the fiduciary is honest, financially stable, and capable of completing the duties as prescribed by the courts
Administration Bond (without a will)
This bond is needed when someone dies leaving no will. The court must appoint as estate trustee who will collect and distribute the assets of the deceased person to the rightful beneficiaries.
Executor Bond (with a will)
This bond is required when a person dies leaving a will, but:
- Does not name an executor of the will
- The named executor does not agree to the appointment
- The named executor has passed away or is incompetent
- The named executor has been removed by the court
Guardianship Bond
This bond is required when a person has been declared incapable of managing his or her own affairs either due to age, illness or accident. There are two main types of guardianship bonds - those that handle the matters of an incompetent, and those handling the matters of a minor.
Committee Bond
The bond is required when a persona has been declared incompetent and this incapable of managing his or her own affairs. In turn, the committee manages the estate for the incompetent individual.
Person Deemed Incompetent
The courts, or other legal authorities, appoint a guardian who handles and preserves the assets of an incompetent until the incompetent becomes better, or passes away.
Trustee in Bankruptcy
When dealing with any form of bankruptcy, whether it is corporate or personal, a bond is required to protect the creditors from dishonest or improper acts of the trustee who has control of the assets in a bankruptcy situation.
Person is a Minor
The court appoints a guardian who handles and preserves the assets of a minor until the minor reaches the age of majority.
Foreign Executor Bond
A foreign executor bond is required when a fiduciary resides outside of the jurisdiction of the court overseeing the estate.
Customized Facility
At Edwards Insurance, we take a unique approach in servicing law firms and their clients, by arranging a bonding facility with customized terms and conditions.
Advantages for the law firm include:
- Reduces time & administrative costs associated with sourcing a bond.
- Streamlined application process
- Pre-approved limits ensure accessibility to bonds when they are required
- Immediate procurement of bonds
Bonding Facility Process
If your firm is interested in setting up a facility for fiduciary bond products, the process consists of:
- Identifying the most commonly required classes of bonds.
- Determining single & aggregate limits required by your firm.
- Determining rates and fees, subject to volume and underwriting criteria.
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Edwards Insurance took the time to understand our industry and business model. They continue to bring forward strategies to address our concerns regarding exposure to risk. Brian and his team demonstrate the true meaning of customer service and have the qualities I look for in a business relationship, trust, integrity and a timely response to insurance queries.
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