The Illinois Designated Agents Bond for Vehicle Dealers is required by the Office of the Secretary of State, Vehicle Services Department. The required bond amount recently increased from $20,000 to $50,000. The bond has a mandatory expiration date each year of 12/31. The surety bond states that the agent must collect and remit the required title and registration fees. This bond is required for all who wish to be vehicle dealers.
Vehicle dealers are any persons engaged in selling at least 5 motor vehicles in one year; those who work as an agent, broker, or intermediary for any licensed dealer or people who represent or advertise that they are engaged in or intend to engage in such business.
How do you get an Illinois Designated Agents Bond for Vehicle Dealer?
The following documents must be submitted to the Secretary of State, Vehicle Services Department along with the completed Dealer License Application form.
- Certificate of Insurance in the business name and location. The minimum amounts of coverage are
* $100,000 for bodily injury,
* $300,000 for each accident,
* $50,000 for property damage. The insurance must not expire before December 31.
- If the property is leased, a copy of the lease that cannot expire before the term of the license for which you are applying.
- Notice of proper zoning form (if you are in the city of Chicago, a copy of your city business license is acceptable).
- If selling new vehicles, a copy of your franchise agreement from the manufacturer.
- If you have a repair shop, proof you obtained or applied for a hazardous waste generator number issued by Illinois Environmental Protection Agency.
- Correct fee. You may check the application form for the fees that need to be paid.
- Receipt from an Illinois State Police-approved vendor verifying a criminal background check was done.
- Receipt showing completion of the Secretary of State training program.
- Original $50,000 Illinois vehicle dealer’s bond or certificate of deposit in the business name and the Secretary of State’s name (the original CD must be submitted).
Where can I get the Illinois Designated Agents Bond for Vehicle Dealer?
It does not take long to process an Illinois Designated Agents Bond for Vehicle Dealer. We offer a simple online application that can be completed in a matter of minutes. After applying, you will be contacted by one of our licensed agents with a free quote. You just need to complete some paperwork and pay the bond premium, and your surety bond will be mailed to you via USPS priority mail.
Surety1 is licensed in all 50 states and is rated A+ by the Better Business Bureau. Surety1 has been writing surety bonds in Illinois since 2003.