Texas Resident Fund Bond Guide
If you’re opening for a Medicaid nursing facility in Texas, you’ll likely need this surety bond.
Bond Overview
- Purpose: To ensure proper handling of resident funds
- Who Needs It: Medicaid nursing facilities with custody of resident funds in Texas
- Regulating Body: The Texas Department of Health and Human Services
- Required Coverage: $1,000–$50,000
- Premium Rate: $10/$1,000 with a $100 minimum
Learn all about the bond requirements and process in this guide.
What Is a Texas Resident Fund Bond?
A Texas resident fund bond is a form of financial security to ensure proper management of nursing home patient trust funds.
How Much Do Resident Fund Bonds Cost?
A Texas resident fund bond costs a flat rate of $10 per $1,000 in coverage with a $100 minimum. Click below to buy your bond in minutes!
SuretyBonds.com offers the lowest available rates from our nationwide provider network with no added fees.
Who Needs a Resident Fund Bond?
The Texas Department of Health and Human Services requires this bond as part of the licensing process for nursing homes with custody over patient trust funds.
How Do I Get My Bond?
SuretyBonds.com provides the fastest and easiest way to get a Texas resident fund bond. Just follow these quick steps:
- Apply: Submit an online quote request form
- Quote: Receive your quote within one day
- Sign: Complete the indemnity agreement
- Buy: Purchase the bond online 24/7
We’ll mail you the bond via your preferred shipping method. Be sure to file it with the Department of Health and Human Services (DHHS) as instructed.
If you have any questions, call our friendly surety experts at 1 (800) 308-4358 for assistance.
How Does a Texas Resident Fund Bond Work?
A resident fund bond creates a legal contract between these three parties:
- Principal: You, the nursing home owner filing the bond
- Obligee: The Texas Department of Health and Human Services requiring the bond
- Surety: The provider issuing the bond
This holds you financially responsible for upholding the provisions of 40 TAC Chapter 19 and federal laws.
If you break the bond terms, harmed parties can file claims. The surety will pay valid claims up to the bond amount, but you must ultimately refund the surety.
How Do I Renew My Bond?
These bonds expire annually. To renew your resident fund bond, simply pay your renewal invoice when prompted.
We’ll begin contacting you by phone and email 90 days before the expiration date.
