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MGA for Federally Authorized Surety Companies — Texas Practice

The Texas probate bond. Executor and administrator.

A Texas probate court has appointed someone to administer a decedent's estate. The probate bond is the financial guarantee — that the fiduciary will inventory, value, manage, account, and distribute the estate faithfully under Tex. Estates Code §305.001 et seq.. We write Texas probate bonds in every statutory probate court / constitutional county court in the state, on standard and non-standard underwriting terms, including the family-member fiduciary placements that other carriers decline.

Bond Penalty
Estate value + 1 year income
Multiplier Type
Tex. Estates Code §305.001 et seq.
Filing
Statutory Probate Court / Constitutional County Court
Turnaround
Same-day issuance

What a Texas probate bond actually does.

Texas operates under its own probate code, distinct from the Uniform Probate Code. Executors and administrators bond under Tex. Estates Code §305.001 et seq.. The general rule is that bond is required for administrators (intestate) and for executors unless the will waives the bond requirement.

Executor or administrator bond unless will provides for independent administration without bond; Texas has 18 statutory probate courts in major counties.

The fiduciary in Texas — call them executor, administrator, or personal representative depending on the source of authority — holds the entire estate in trust for the heirs and creditors. They are obligated to inventory the estate, value it accurately, pay valid creditor claims, account periodically to the Statutory Probate Court / Constitutional County Court, and distribute the remainder according to the will or the Texas intestacy statute. The duty is the highest known to Texas law.

The bond is the financial guarantee. If the fiduciary defaults — misappropriates, mismanages, fails to account, distributes improperly — the bond pays the heirs and creditors up to the bond limit. The fiduciary owes the surety reimbursement under indemnity. The bond does not insure ordinary investment loss; a prudent fiduciary who loses money in a market downturn has not breached duty.

The rules we underwrite to.

Texas probate practice is governed by Tex. Estates Code §305.001 et seq.. Bond requirements, the procedure for furnishing surety, the bond's term and conditions, and the consequences of fiduciary breach are all codified.

Controlling Authorities
Tex.
Tex. Estates Code §305.001 et seq. — Texas probate code — primary authority
UPC
UPC §3-603 — Uniform Probate Code §3-603 — bond requirement (general framework)
UPC
UPC §3-604 — Uniform Probate Code §3-604 — bond amount and conditions
26
26 U.S.C. §6018 — Federal estate tax filing requirement (timing implications)

How a Texas probate bond gets issued.

Texas probate bond underwriting follows our three-tier program.

Standard placement: corporate fiduciaries, professional fiduciaries (attorneys and CPAs serving as executors), and individual fiduciaries with strong credit and conventional financial position. Uncollateralized, low premium, same-day to next-business-day issuance.

Tier-two: individual family-member fiduciaries with thin credit, estates with material real estate or business interests requiring careful valuation, larger estates over $5M. Premium adjusted; possibly partial collateral; one to three business day turnaround.

Non-standard: credit-challenged fiduciaries, prior bond defaults, contested family situations. Placeable in our non-standard fiduciary program. We write the placements other carriers decline.

Three documents start the file: the appointing letters from Statutory Probate Court / Constitutional County Court, an inventory of estate assets, and a personal financial statement for the fiduciary. Premium is reimbursable from estate funds as a recognized administration expense.

Texas-specific questions.

Is a probate bond always required in Texas?
Not always. Under Tex. Estates Code §305.001 et seq., bond is required for administrators (intestate appointments) virtually without exception, and for executors named in a will unless the will expressly waives the bond requirement. Most Texas courts honor a 'no bond required' clause in the will, though the court retains discretion to require bond despite waiver if interested parties object or cause is shown.
How is the Texas probate bond amount set?
By the appointing statutory probate court / constitutional county court. The bond typically equals the value of the estate's personal property plus one year of projected income. Real property is generally not included in the bond calculation because it cannot be readily misappropriated. Some Texas formulations include a multiplier (e.g., 1.25× or 1.5× estate value); see Tex. Estates Code §305.001 et seq. for the specific formula.
Can the bond premium be paid from the estate?
Yes. Texas treats the fiduciary's bond premium as a recognized administration expense, reimbursable from estate funds. The fiduciary advances the first year's premium and is reimbursed after court approval of qualification.
How long does the bond stay in place?
For the duration of the administration — typically 6 to 24 months for routine Texas estates, longer for complex estates involving contested claims, federal estate tax matters, or business interests requiring valuation. The bond renews annually with premium paid from estate funds. The bond terminates on final accounting and discharge by the Statutory Probate Court / Constitutional County Court.
Where is the bond filed in Texas?
With the Statutory Probate Court / Constitutional County Court, which has jurisdiction over probate matters in Texas. The bond is filed at the time of qualification, before the fiduciary takes possession of estate assets.
Can a family-member executor with imperfect credit be bonded?
Yes, in most cases. Our non-standard fiduciary program specifically handles family-member placements where credit, financial stress, or other factors prevent standard underwriting. We have written Texas probate bonds in this category routinely — sometimes with collateral, sometimes with co-indemnitor support, sometimes with restricted-account arrangements.
Does the Texas bond cover federal estate tax obligations?
The bond covers the fiduciary's duty to file federal estate tax returns where required (estates over the federal exemption — $13.99M for 2025 deaths). It does not extend to the tax liability itself, which is a debt of the estate paid from estate funds. The bond protects against fiduciary breach in tax compliance, not against the tax itself.
How fast can a Texas probate bond be issued?
Standard placements: same-day to next-business-day. Non-standard placements: typically one to three business days for the underwriting review. Time-sensitive matters (contested administrations, court-ordered tight deadlines) can be expedited through our priority underwriting queue.

Related probate practice.

Neighboring states
Adjacent probate practice.
Arkansas Louisiana New Mexico Oklahoma

Further reading on the Surety One blog

↗ suretyone.com/blog

Appointed by a Texas probate court?

Send the appointing letters and an inventory of estate assets. Our underwriters open the file the same business day.