Something that may be part of your estate plan is having a safeguard against damaging actions of your executor. A probate bond, according to Zack’s, is an amount of money paid to the estate to guarantee the executor will complete the duties of the position. It also assures that the executor will act in the proper way and misuse the authority of the position to bring any harm to the estate or its heirs.
The amount of the bond usually depends on the size of the estate. The amount an executor will pay is only a percentage of the full bond.
Protect against issues between heirs and the executor
While you will appoint the executor and it should be someone who you trust, you may still feel the need to use a bond. It could be a good option if you worry your heirs will try to start problems for the executor or if you have concerns about the general well-being of the relationship between your heirs and the executor. It may also be an option when you may not be completely satisfied with your choice, such as in the case where you have to appoint someone who is not your first choice.
Provide protection against actions
A bond can prevent issues with fraud or protect the estate against the incompetence of an executor. The position is not an easy one, and even if you completely trust someone and know they would never do anything to harm your estate, the duties may be too much for the person to handle, leading to mistakes. A bond will ensure that if this happens, your estate remains under protection.