Administration Bond

Dictionary Says

Definition of 'Administration Bond'

A bond that is posted on behalf of an administrator of an estate to assure that he or she conducts their duties according to the provisions of the will and/or the legal requirements of the jurisdiction. The bond covers any financial losses to the estate due to dishonest or improper acts by the administrator.
Investopedia Says

Investopedia explains 'Administration Bond'

An administrator is appointed to handle the estates of individuals who died without a will, had a will but not an executor, or in cases when the executor has died, been removed from the case or has declined to serve. 

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