The Office of Health Care Quality (OHCQ) is the agency that licenses and certifies long-term care facilities in the State of Maryland. Facilities who elect to accept and manage funds of some or all of its residents are required to submit a surety bond to the OHCQ. The amount of this bond varies and must equal the average monthly balance of all funds held or managed by the facility. Maryland Patient Trust Surety Bonds ensures that the principal (care facility) protects and manages resident funds ethically and in compliance with all regulations in Section 10.07.14.38 of the Code of Maryland Regulations. These regulations include, but are not limited to the following:
- The facility shall deposit any residents’ personal funds in excess of $300 in an interest-bearing account that is separate from any of the facility’s operating accounts.
- The facility shall establish and maintain a system that ensures a full and complete and separate accounting of each resident’s personal funds.
- Provide a statement of the resident’s account for review
If the facility fails to fulfill the bond’s terms, a claim can be filed against the bond by the harmed party. If the claim is validated, the surety will reimburse the harmed party up to the penal sum of the bond to resolve the claim. The principal is then required to reimburse the surety for all amounts paid out, including any attorney fees.
Pacific Surety offers industry low rates and can obtain approvals for almost all credit situations. Once our simple application has been completed, we can have pricing to you within hours. If you have any specific questions, please contact our knowledgeable underwriting staff.