What is a Florida Leased Nursing Facility Bond?
Know the how-to of this important surety bond today!
Overpayment and underpayment of Medicaid are one of the problems when a nursing facility’s ownership is transferred or sold.
These liabilities are detected only after a formal field audit has been made in a nursing facility that has been leased by the transferor.
To secure the proper payment of Medicaid funds, the transferee – or to whom the nursing facility was sold or transferred – is obligated to obtain a surety bond before a license is issued by the Agency for Health Care Administration.
The surety bond will financially compensate the Medicaid program in case of any financial losses that occurred during the transferor’s period of operation. It includes the following:
- Any changes or adjustments in the Medicaid rates
- Recapture of fair rental value system indexing
- Depreciation recapture
- Completed audits by the agency
This requirement is in line with Section 400.179 of the Florida Statutes.
What is the Leased Nursing Facility Bond amount?
New Nursing Facility Transferee – the bond amount should be equal to the estimated Medicaid payments for a 3-month period, which is computed based on the previous 12-month average Medicaid payments.
Renewals – the bond amount should be equal to the Medicaid payments within a 3-month period, which is computed based on the previous 12-month average Medicaid payments.
Once you have determined your bond amount, you may check your bond premium by getting your FREE QUOTE HERE from us!
How can I get a Leased Nursing Facility Bond?
We have made the surety bond procedure easier for you! Just follow these simple steps:
STEP 1: You must first apply for this type of surety bond. If you are ready to do that now, you may APPLY HERE!
Once we have received your application, we will immediately start the bonding process. We will inform you about the important documents that you need to submit for the next step, which is the underwriting process.
STEP 2: An underwriter will take a thorough look at the following:
- Your financial strength
- Your job performance history
- Your credit score
STEP 3: After the underwriting process has been fulfilled, we will issue your surety bond and send it to you immediately!
What are the surety bond conditions?
- The surety who will execute the bond should be authorized to do business in the State of Florida
- The Agency for Health Care Administration of the State of Florida should be named as the Obligee
- The nursing facility should perform the required services in line with the provisions of Title XXIX, Chapter 400 of the Florida Statutes, as well as the rules and regulations of the Agency for Health Care Administration of the State of Florida
- If the nursing facility commits a violation, the Obligee will be able to file a claim against the surety bond
- The surety bond should have a 30-month term period
Get bonded immediately! APPLY HERE!