California Health Facility Verification Bond Guide
In California, most health facilities must file a verification surety bond to register with the Department of Public Health.
Bond Overview
- Purpose: To ensure health facilities handle patient funds properly
- Who Needs It: Licensed health facilities handling funds over $25 per patient or $500 in total monthly
- Regulating Body: The California Department of Public Health
- Required Coverage: $1,000–$22,000, based on funds handled
- Premium Rate: $10/$1k with a $50 minimum
Keep scrolling to learn more about the bonding process.
What Is a California Health Facility Verification Bond?
A California health facility verification bond, also known as a patient trust fund bond, protects clients from the mismanagement of patient funds.
The Department of Public Health (CDHP) requires this type of license and permit bond for facility licensing.
How Much Bond Coverage Do I Need?
The CDPH will calculate your bond amount based on the average amount of funds your facility handles per month as outlined below.
| Funds Handled | Bond Amount |
|---|---|
| ≤$750 | $1,000 |
| $751–$1,500 | $2,000 |
| $1,501–$2,500 | $3,000 |
| $2,501–$3,500 | $4,000 |
| $3,501—$4,500 | $5,000 |
Your bond amount will continue to increase by $1,000 for every additional $1,000 handled.
If you operate a residential care facility, please visit our California Residential Care Facility Bond page instead.
How Much Do Patient Trust Fund Bonds Cost in California?
California patient trust fund bonds cost a flat rate of $10 per $1,000 of coverage, with a $50 minimum.
You can also select a multi-year term at checkout to save up to 25%, making your premium as low as $42 per year.
Enter your amount below to purchase your bond instantly.
SuretyBonds.com offers the lowest available rates from our nationwide provider network with no added fees.
How Does a California Health Facility Verification Bond Work?
A California health facility verification bond is a legal contract between three parties:
- Principal: The health facility purchasing the bond
- Obligee: The California Department of Public Health requiring the bond
- Surety: The provider issuing the bond
Under this contract, you, as the principal, promise to uphold the provisions of the CA Health and Safety Code Division 2, Chapter 2.
If you break the bond terms, harmed parties can file claims. The surety will validate and pay claims up to the full bond amount. However, you are ultimately responsible for refunding the surety.
Who Needs a Skilled Care Facility Bond?
In California, most facilities that admit patients for 24 hours or longer to provide medical or health services must be licensed by the Department of Public Health.
However, some types of facilities are exempt under CA Code of Regulations, Title 22, Section 81007.
Health facilities handling funds over $25 per patient or $500 for all patients in a month must also file a surety bond for licensing.
How Do I Get a Patient Trust Fund Bond in California?
SuretyBonds.com provides the fastest and easiest way to get a patient trust fund bond. Follow these simple steps to purchase your bond instantly:
- Enter Information: Fill out the quick request form on this page — no credit check required!
- Pay Invoice: Complete your purchase online or over the phone.
- Receive Bond: Select your FedEx shipping option to receive your official bond form.
Upon receipt, sign and file the bond documentation with the CDHP.
How Fast Can I Get My Bond?
If you’re in a rush, SuretyBonds.com offers overnight FedEx delivery. Purchase now to receive your original bond form the next day.
Can I Get Bonded With Bad Credit?
Yes, this bond does not require a credit check! All applicants are automatically approved at the same price, regardless of credit score.
How Do I Renew My Health Facility Verification Bond?
California health facility verification bonds expire annually. When you work with SuretyBonds.com, we’ll send you reminders and a renewal invoice before your bond expires.
All you need to do is pay the renewal premium — we’ll do the rest!
How to Register a Health Facility in California
The California Department of Public Health’s Centralized Applications Branch (CAB) processes all health facility licenses.
General acute care hospitals and acute psychiatric hospitals must apply via the online portal. All others must submit a paper application packet based on your facility type.
Mail your application, licensing fee payment and surety bond form to the address below:
California Department of Public Health
Center for Health Care Quality
Licensing and Certification
Centralized Applications Branch
P.O. Box 997377, MS 3207
Sacramento, CA 95899-7377
The CAB will notify you once your application is under review. You can check your application status by emailing [email protected].
How to Renew Your License
The CAB will send you a renewal application and invoice 120 days before your license expiration date. To renew, mail your renewal application and fee payment to the CAB.
The following license changes require you to complete a Report of Change through a new application packet:
- Ownership
- Location
- Beds
- Service
- Name
