TX resident trust funds bonds.
From $100. Enter your amount.

A Texas nursing facility that holds residents’ personal money must safeguard it — and a surety bond is one accepted way. Filed with HHSC on Form 3698 under 26 TAC §554.405, the bond is sized to your resident trust account. Pricing is 1% of the bond amount, with a $100 minimum.

Required of Medicaid-certified facilities holding resident funds under 26 TAC §554.405 (HHSC)
Amount equals the average monthly balance of your resident trust account over the prior 12 months
From $100 — enter your required bond amount and your exact price appears at application
1% of amount$100 minimumFastinstant underwriting for mostNo credit reviewnot even a soft pull
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BDG
Capital
McKinney
Terra
JLL
Triple Five
Georgetown
How it works

Apply to filed in one sitting.

No underwriting queue for the standard resident trust bond — enter your amount, pay, and file with HHSC. Here is the whole thing:

TODAY · ONLINE

Apply online

Your facility details, the bond amount (your average monthly trust balance), and the effective date — that is the entire application.

INSTANTLY

Issued on the spot

No waiting — most applications approve instantly and the executed bond is generated as soon as you pay.

SAME DAY

File with HHSC

Submit the executed bond on Form 3698 to satisfy the resident-funds security requirement for your facility or Medicaid contract. Wet-ink originals mailed whenever the agency insists.

About this bond

What it is and who needs it.

What the resident trust bond actually covers

Many nursing-facility residents keep a small personal account at the facility — for haircuts, sundries, and pocket money — and the facility holds that money as a fiduciary. HHSC requires a Medicaid-certified facility to secure those funds, and a surety bond is one accepted form of security under 26 TAC §554.405.

The bond is filed with HHSC on Form 3698, and the amount is tied to the money actually at risk: generally the average monthly balance of the facility's resident trust fund account(s) over the 12 months before issuance or renewal. As your resident population and balances change, you update the bond at renewal.

It protects residents (and their families and the state) against loss of those personal funds if the facility fails to account for them. If the surety pays a valid claim, the facility repays the surety. We issue the amount your trust balance requires, priced from a $100 minimum with the application collecting no credit information.

Tex. Health & Safety Code ch. 242; 26 TAC §554.405Texas nursing facilities licensed under Health and Safety Code Chapter 242 must safeguard residents’ personal funds held in trust, keeping them separate from facility funds (26 TAC §554.405, Additional Requirements for Trust Funds in Medicaid-certified Facilities). Under §554.405(g) the facility must purchase a surety bond or otherwise provide assurance satisfactory to the Secretary of Health and Human Services; the bond is filed with HHSC on Form 3698, in an amount equal to the average monthly balance of the facility’s resident trust fund accounts for the 12-month period preceding issuance or renewal. Confirm your required amount with HHSC.

You need this bond if you are

A licensed nursing facility holding residents’ personal funds in trust
Contracted for Medicaid nursing services that conditions on the resident-funds security
Renewing your facility license and updating the bond to your current trust balance
Opening or acquiring a facility that will manage resident trust accounts

One application, issued on the spot.

Submit the application with your required bond amount — most applications approve instantly, and the executed bond is generated on Form 3698, ready to file with HHSC.

Start the application →
FAQ

Common questions.

How much is the Texas resident trust funds bond?Pricing is 1% of the bond amount, with a $100 minimum. The amount itself equals the average monthly balance of your resident trust fund account over the prior 12 months, so it scales with the money you actually hold. Enter that figure and your exact price appears at the application.
How do I figure out my bond amount?Take the average monthly balance of your facility’s resident trust fund account(s) over the 12 months leading up to issuance or renewal. That is the figure HHSC ties the bond to. If you are unsure, send us your trust balances and we will help you size it.
Do I have to use a surety bond?A surety bond is one accepted form of security for resident funds. It is usually the cheapest option — you pay a premium from $100 rather than tying up the full balance in cash or a bank instrument.
Is there a credit check?The application collects no credit information, so most applications approve instantly.
Which form do I file?HHSC Form 3698, the Resident Fund Surety Bond, filed with Texas Health and Human Services. We issue the executed bond on that form, ready to submit with your license or Medicaid contract.
Related bonds

Other Texas bonds.

Resident trust bond, issued today.

Pricing from $100. Enter your average monthly trust balance and file with HHSC the same day.

Your premiumfrom $100
Apply now →