If you have been appointed by a court to handle the affairs of a person not able to do it themselves, you are technically known as a fiduciary. And as such, you may be required by statute, a court or a will, to be bonded. Statutes describe how a fiduciary should handle the other person’s affairs. The bonding company (surety) often helps in keeping a fiduciary within the law. Supervision by the bonding company helps prevent problems and secures the assets entrusted to the fiduciary. With careful underwriting practices, the bonding company also attempts to minimize financial losses.
In addition to the loss prevention services performed by the bonding company, a fiduciary bond creates protection. If there should be a loss, the bonding company pays heirs, wards, creditors and beneficiaries.
If you are a guardian, executor or conservator handling the affairs of a person who is unable to do it themselves, you may need a fiduciary bond. Please give E. R. Munro and Company a call at 1-877-376-8676 to learn more.
