Overview of Indiana Medicaid Transportation Provider Bond Requirements
Medicaid bonds in Indiana serve to guarantee that Medicaid transportation providers will comply with the requirements of their license, as defined by the Code of Indiana, §12-15-11-2.5.
According to the Code, this bond is required of transportation providers which are defined as “common carriers”, including persons who provide transportation by taxi, who are enrolled or apply to be enrolled in the Medicaid program.
The bond is intended to protect against violations of the Code of Indiana and the misuse of the Medicaid program through fraud. According to the Code, such violations include overpayments and false, duplicate or erroneous Medicaid claims.
If a transportation provider violates the Code, a claim can be made against their bond to secure compensation for the OMPP as the bond obligee. Such compensation may be as high as the full bond amount which is $50,000 for this bond. Such violations may also lead to provider’s licenses being suspended or revoked.
If this is your first time getting bonded, read our ‘What is a surety bond’ guide for a detailed explanation of what bonds are and why they are necessary.
See the sections below for more information about this bond, its cost, what gives rise to a claim and how to get your bond.
To find out more about the bonding requirements and how to get bonded, call us at (866)-450-3412 anytime!
Cost of Your Bond
The cost of your bond is a fraction of the full bond amount. The amount of this bond in Indiana is $50,000 which means your bond cost will be a percentage of this amount.
The exact rate at which you can get bonded is determined by the surety you apply with. Sureties look at applicants’ personal credit score as a way of assessing how reliable and safe applicants are. The higher their credit score, the more reliable they are considered. In certain cases, sureties will also take into account other financial information to get a fuller picture.
Those applicants who have a high credit score, one of 700 FICO or above, are given the lowest rates. For this bond, high-credit applicants can get bonded at a rate between .75% and 3% of the full bond amount. So, if you are offered a 1% quote on your rate, you will need to pay $500 to get bonded.
To find out the exact cost of your bond, submit our surety bond application form and we will shortly contact you with a free quote on your bond!
Bad Credit Bond Program
Even if your credit score is far from perfect, you can still get bonded, thanks to our Bad Credit Program!
Through this program, all applicants who currently have a lower credit score can get bonded as easily and quickly as everyone else! Due to the perceived higher risk, applicants under this program must pay slightly higher rates on their bonds. Yet, even if you get bonded at a higher rate this time around, you can get a better rate next time if your credit score has improved!
See the program page for more information about getting bonded with low credit, and to request a quote!
Claims are filed against bonds when the conditions of the bond agreement have been breached by the bonded party. For example, if a bonded Indiana Medicaid transportation provider is found to have made false Medicaid claims, a claim can be filed against their bond to request compensation.
Such compensation is intended to cover any damages or losses that result out of a violation of the bond agreement. When a claim is filed, the surety will extend compensation to claimants, after which the bonded transportation provider must reimburse the surety. For this reason, it is always best to avoid giving rise to a claim.
Get Bonded Today!
To begin the bonding process, complete our bond application form and we will shortly contact you with a free quote. We will also provide you with further details on completing your application.
It will take about two working days for your bond to be issued, once you submit your final application. After that, we will send you a digital copy of the bond via e-mail, as well as an original by standard mail.
Call us at (866)-450-3412 if you want to consult one of our bond professionals on any bond-related matter!