What is a Wisconsin Resident Fund Bond?
The Wisconsin Department of Health and Social Services requires long-term care facilities that hold resident trusted fund accounts to post a surety bond.
The Resident Fund Bond also called a Patient Trust Bond gives financial protection to patients and their families by guaranteeing that the care facility complies with state laws, statutes, and regulations, and manages resident trust funds responsibly and lawfully.
The bond is also a condition of the licensing requirements for long-term care facilities.
What are the bond conditions?
- The bond must be issued by a Surety authorized to conduct business in the State of Wisconsin.
- The Obligee named in the contract must be the Wisconsin Department of Health Services.
- Per Section 483.10(c)(7) of the Code of Federal Regulations, this bond is required for operators of long-term care facilities to ensure faithful security for all personal funds of residents/patients deposited with the facility.
- The bond is conditioned upon lawful safekeeping, management, and accounting for all resident funds which are deposited with the Principal while this bond is in effect.
- If the Principal has faithfully fulfilled the obligations in faithfully accounting for such resident funds, then the obligation will be null and void; otherwise; it will remain in full force and effect.
- The bond will be continuous in form and may be canceled by the Surety upon giving 60 days’ written notice to the Department.
- The term “other responsible parties representing such residents” employed in the bond include the resident’s guardian, Legal Representative, the parent of a minor resident, or a member of the residents’ immediate family.
- Each facility must have a copy of their surety bond on file with the Department of Health Services, Division of Quality Assurance.
What is the bond amount?
The bond amount varies as specified by the Obligee (in this case, it is the State Department of Health and Social Services).
The cost of the bond is a percentage of the bond amount, which ranges from 1%-5%.
To determine your exact bond amount, you may get your FREE SURETY BOND QUOTE HERE to know your bond premium!
Pay as little as 1% of the bond amount! Find out now!
How can I obtain a Resident Fund Bond?
To secure this type of bond, you must seek the assistance of a surety bond company.
You will be asked to apply for this bond. If you’re ready to apply for one right now, you may easily do so HERE!
Once the application is received, the surety bond company will immediately process it. In our case, one of our expert surety bond agents will guide you through the whole process from the time you applied for the bond. We will make sure that you understand all the conditions before we issue the bond.
An underwriter will then evaluate the following:
- Your financial strength
- Your job/business performance history
- Your credit score
Once the prequalification process is fulfilled, we will execute the bond and send it to you!
Talk to us at 800-333-7800 today!