Motor vehicle dealers are required to post a Motor Vehicle Dealer Bond as part of the process to license the dealership. The amount of the bond depends on what type of vehicles are to be sold, the amount of vehicles you plan to sell, and other factors. Read our Car Dealer License Guide to learn more about how to get your dealership licensed and bonded.
Dealers that sell motorcycles, ATVs, or snowmobiles must file a $10,000 bond, while wholesale dealers must post a $40,000 bond. All other types of vehicles require a $20,000 bond. These bond amounts are required by the obligee, not the surety company.
This bond guarantees the principal will abide by all Idaho state laws and regulations along with the laws outlined in the Idaho Code. The rules enforced by the Idaho Transportation Department and federal motor vehicle safety standards are also guaranteed to be followed by the principal with the surety bond.
The price for the bond, also known as the bond premium, is only a small fraction of the bond amount.
The applicant should verify the bond amount with the obligee before applying for the bond to ensure the bond amount is correct.
Surety1 is not directly involved with the licensing process, but we’ve compiled this information which may helpful for you.
State licensing fees and requirements:
All licensing fees are required by the obligee, not the surety company.
For additional licensing information, visit Idaho’s official page.