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Has anyone bought security bond for court of protection recently.

J W

Registered User
Apr 19, 2013
126
What type of level is it charged at, and who supplies it, if the amount of assets are small it could become expensive if its paid each year for a few years.
 

Saffie

Registered User
Mar 26, 2011
22,506
Near Southampton
The level depends on the size of the estate as does the level of supervision. Mine, for my husband, was £80 and it was only paid once. If you read the Deputyship information, you will see that not all levels demand an annual premium. The Bond we had was provided by Aviva via the CoP/OPG.
 

J W

Registered User
Apr 19, 2013
126
I have looked at the supervision aspect and it would be the lowest type3 , not found the info yet whether the bond would be every year or just one payment.
 

Saffie

Registered User
Mar 26, 2011
22,506
Near Southampton
Probably a once only payment as we are level 2A and I have only paid once. I am just about to complete my second year of Deputyship.
 

J W

Registered User
Apr 19, 2013
126
Ok thanks i will keep reading as much as possible and may get in touch with OPG helpline after mondays holiday.
 

J W

Registered User
Apr 19, 2013
126
Reading the notes about fee remission for the application, it says interest from capital investments are taken into account, do normal saving account fall under this?.
 

Gill1961

Registered User
May 22, 2013
42
Essex
Hi,

I have Deputyship for my Mum, it has been in place since February last year.

My co-deputy and myself have had to renew the security bond for another year so, certainly in our case, it is not a one-off payment.
 

wazzer

Registered User
Jun 4, 2008
112
North west England.
Hi
I have been my mother's Deputy since January 2010 and I have to pay a Security Bond of £200.00 every year to Aviva Insurance (who I think are the COP's preferred insurer). This payment though is allowable by the OPG as it is paid from mum's Bank Account.
Although my mother has very little liquid assets I think the reason mine is quite high is because I am on a Deferred Payment Scheme with my local LA until mum's house is sold (nearly 4 years now). I think I am still on Level 2A as the Office of the Public Guardian has not told me otherwise and I still have to complete a annual report every year.
Kind regards
Ken.
 

Saffie

Registered User
Mar 26, 2011
22,506
Near Southampton
I have to pay a Security Bond of £200.00 every year
That's high for a bond for a level2A. As I have said, my husband is a 2A and our initial - and I stress, our only payment, was £80. It must be something to do with your deferred payment being a higher risk.
I'd wait to find out JW - you will, soon enough. Incidentally,all savings are relevant.
 

Saffie

Registered User
Mar 26, 2011
22,506
Near Southampton
Just in case you - or anyone else, thinks I am imagining things, the following is taken from my actual 'OPG Basic Bond Confirmation Certificate':-

"It is agreed - Items 1, 2, then -

3: The single premium due pursuant to clause 1 above is payable by ME in full and I shall not be entitiled to any refund in the event of early termination of this Bond or because of any reduction in the amount of Security."
There, in black and white!
 
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wazzer

Registered User
Jun 4, 2008
112
North west England.
Saffie,
I pay £200.00 per year for £80000 of cover. I am sure you are right about the Deferred Payment Scheme but when mum's house sells and by the time I have paid back my mum's Equity Release and her Care home Fees I am hoping to be put on Level 3 immediately.
Ken.
 

Saffie

Registered User
Mar 26, 2011
22,506
Near Southampton
I am hoping to be put on Level 3 immediately.
Well, don't hold your breath! Your amount is double what my husband had to start with and, thanks to his self-funding of nursing home fees, he was already down to LA assistance level by the time of the first annual report. Yet he was still on Level2A. He still is - even though he is now down to the lower LA funding level! I am about to complete his second annual report and with this, I will send an enclosed letter asking for his level to be reduced. Even though he doesn't pay an annual Bond premium, he still pays the usual OPG annual overseeing fee. I think this is waived at level3.
 

J W

Registered User
Apr 19, 2013
126
That's high for a bond for a level2A. As I have said, my husband is a 2A and our initial - and I stress, our only payment, was £80. It must be something to do with your deferred payment being a higher risk.
I'd wait to find out JW - you will, soon enough. Incidentally,all savings are relevant.

Been told it will be £97 for security bond for level3,never said 1 year or every year.

Also only interest from savings, not the amount of savings is relevant towards a remission fee for the application costs? ie if your income is £10,000 per year and savings interest is £1000 per year its below the£12,000 threshold and should mean a remission for application fee.
 
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Saffie

Registered User
Mar 26, 2011
22,506
Near Southampton
Sorry, JW, I meant that all savings are relevant for the level of supervision rather than remission of fees which is based on income.

The reference to the Bond being a single payment is actually on the Bond Certificate itself. It's the only place I've seen any reference to it at all.
 

geum123

Registered User
May 20, 2009
4,604
It's about 8 months since I've had anything to do with the COP,
but while I was acting deputy for my Dad, the bond fee was an annual payment.

http://www.justice.gov.uk/downloads/forms/opg/fs01-getting-started.pdf

Security Bond
A security bond is a financial arrangement where
you pay a yearly sum dependent on the level of
security set by the Court. This will protect the client
from any financial loss that may occur due to your
handling of their finances. The Judge will set the
level of security depending on the circumstances
of the case. If the client’s assets significantly
change at any point you must make an application
to the Court to change the level of security.
 

Saffie

Registered User
Mar 26, 2011
22,506
Near Southampton
Geum - we have already had this discussion before and I think you said that you had a higher level of supervision as a far higher amount of capital was involved.

If you look back over this thread, you will see that I have quoted from the actual Bond document - as follows:-

Just in case you - or anyone else, thinks I am imagining things, the following is taken from my actual 'OPG Basic Bond Confirmation Certificate':-

"It is agreed - Items 1, 2, then -

3: The single premium due pursuant to clause 1 above is payable by me in full and I shall not be entitiled to any refund in the event of early termination of this Bond or because of any reduction in the amount of Security."
There, in black and white!
p.s. I have only paid one premium which was at the time the Deputyship was granted - 2 years ago.
 

J W

Registered User
Apr 19, 2013
126
The reference to the Bond being a single payment is actually on the Bond Certificate itself. It's the only place I've seen any reference to it at all.

I read they did change some rules in 2011 so as you say its 2 years since your security bond that does tally.
 

geum123

Registered User
May 20, 2009
4,604
I was in fact hoping to supply some useful information Saffie,
and was reiterating my experience to others....
others who may not have viewed the previous discussion.

I had light supervision.
 

Saffie

Registered User
Mar 26, 2011
22,506
Near Southampton
I read they did change some rules in 2011 so as you say its 2 years since your security bond that does tally.
Within the last couple of years, they changed the annual supervision fee from a staggered one to a flat rate for all except, I believe, Level 3. I really don't know if the bond was altered in any way at the same time or not.

Geum, I don't dispute at all in any way, that the Bond invokes an annual premium. Just that it doesn't always do so - and I presented what was written on my husband's bond as proof of this to reassure the OP. The heading of my husband's bond is that it is a Basic Bond - maybe that is the difference.

The reference to the Bond being a single payment is actually on the Bond Certificate itself. It's the only place I've seen any reference to it at all.
Just to clarify that - I meant any reference to the 'single payment' part - not to reference of the bond in general!
 
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