Cal. Code Regs. Tit. 22, § 82025 - Bonding

(a) The licensee shall submit an affidavit, on form LIC 400 provided by the licensing agency, stating whether there are or will be safeguards for cash resources of clients and the maximum amount of cash resources to be safeguarded for all clients or each client in any month.

(b) All licensees, other than governmental entities, who are entrusted to care for and control clients' cash resources, shall file or have on file with the licensing agency, a bond issued by a surety company to the State of California as principal.

(c) The amount of the bond shall be according to the following schedule:

	Amount Safeguarded Per Month		Bond Required
		$750 or less	$1,000
		$751 to $1,500	$2,000
		$1,501 to $2,500	$3,000

Every further increment of $1,000 or fraction thereof shall require an additional $1,000 on the bond.

(d) The licensee shall submit a new affidavit on form LIC 400 and a new bond to the licensing agency prior to the licensee safeguarding amounts of clients' cash resources in excess of the current bond.

(e) Whenever the licensing agency determines that the amount of the bond is insufficient to provide necessary protection of clients' cash resources, or whenever the amount of any bond is impaired by any recovery against the bond, the licensing agency shall have the authority to require the licensee to file an additional bond in such amount as the licensing agency determines to be necessary to protect the clients' cash resources.

Notes

Cal. Code Regs. Tit. 22, § 82025

1. New section filed 12-13-2006; operative 1-12-2007 (Register 2006, No. 50).

Note: Authority cited: Section 1530, Health and Safety Code. Reference: Sections 1560 and 1561, Health and Safety Code.

1. New section filed 12-13-2006; operative 1-12-2007 (Register 2006, No. 50).