Florida Auto Dealer Bond

Florida Auto Dealer Bond

The $25,000 Florida Motor Vehicle Dealer Bond is a licensing requirement for auto dealers operating in the state. The Florida Department of Highway Safety and Motor Vehicles (FLHSMV) utilizes the bond as a financial safeguard for the consumers' benefit from damages arising from misleading or criminal dealer activities.

Get your bond in minutes!



Jet Insurance Company has been writing auto dealers' surety bonds since our inception. By eliminating agents and brokers, Jet offers the best deal and service in the industry. Purchase the bond online or call (855) 427-9898 and get it done over the phone.

Florida Motor Vehicle Dealer Bond Cost

Jet's prices start at $140 annually or $14 monthly for the Used Auto Dealer Bond. Two- and three-year bond terms are also available. Below are Jet’s preferred prices (starting prices) for all motor vehicle dealer types. Rates will vary.

Bond TypeMonthlyAnnual
Used, Wholesale, Auction Dealer$14$140
Franchise Dealer$14$140
Salvage Dealer$14$140
Florida Auto Dealer Bond Cost

Our monthly offer gives dealers an option that no other surety provider has. Sure, some offer bond financing, but you know better than anyone who is making hay on that deal. Jet’s monthly offer is just as it sounds—make the monthly payment and cancel at any time. No fees or gimmicks.

Jet’s automatic payment process takes the hassle out of constantly having to renew your bond and provides a more affordable means of getting a bond started.

How Do I Get the Lowest Motor Vehicle Dealer Bond Rate?

Motor Vehicle Dealer Bonds have a fair level of risk in the surety industry (which is warranted, per Jet’s experience). Therefore, a dealer’s personal credit and years in business are utilized to determine the bond price. To receive Jet’s preferred rate, your dealership needs several years of experience and good credit history. Without any experience and with average credit history, Jet’s bond rates are higher. 

Franchise dealerships receive much lower rates than used dealers. This is due to the high level of underwriting scrutiny placed upon franchisees by vehicle manufacturers to become a dealer at the outset. The higher the level of entry, the lower the rate Jet can offer for the bond.

Florida Auto Dealer Bond

Why Does the State of Florida Require Auto Dealer Bonds?

It's not just Florida—all states require auto dealers to have a surety bond for licensing. Regulators believe there is enough inherent risk in this profession to the consumer to require a third-party financial safeguard. The bond is a promise from the surety carrier (Jet) to the Florida Department of Highway Safety and Motor Vehicles should the bonded dealer cause financial damage to their customers and also fail to pay restitution, Jet will make payment to the damaged customer via a bond claim.

Motor Vehicle Dealer Bonds are mandatory because they provide protection from the dealer and are not for the dealer’s benefit. The FLHSMV also receives financial assurance from a reputable source, in this case, Jet Insurance Company, that allows a person without any financial security to start a dealership business. Let’s face it, to start a business your money is needed in thousands of different ways and is not to be held as a security deposit by the government.

There is a case where used vehicle dealers receive protection from a license bond. Wholesale and vehicle auction operations are required to carry a surety bond as well. Used dealers are receiving that surety protection from licensed wholesalers and auction companies who might act in a fraudulent manner.

Jet encourages licensed dealers to know the laws that govern them which can all be found in Chapter 320 of the Florida Statutes.

Florida Motor Dealer Classifications

First, if you sell more than three vehicles a year in Florida, then you need to be licensed with the FLHSMV. Second, vehicle brokers do not need a license. Below is a chart of all the businesses that do need a license in Florida.

CodeClassRenewalLimitNote
VFFranchise Vehicle Dealer12/31$25,000
SFService Only Franchise Dealer12/31$25,000No vehicle sales allowed at service site
VIUsed/Independent Dealer4/30$25,000
VWWholesale Dealer4/30$25,000Can only sell to licensed dealers
VAMotor Vehicle Auction4/30$25,000Can only sell to dealers at auction
SDSalvage Dealer4/30$25,000Can only sell at salvage site, needs VI license to sell at other sites
DHMobile Home Dealer9/30$25,000$50k limit if 5+ supplemental locations
BHMobile Home Broker9/30$25,000Assists public in getting a mobile home
RVRV Dealer9/30$10,000Can't sell mobile homes. $20k limit if 5+ supplemental locations
RUUsed RV Dealer9/30$10,000$20k limit if 5+ supplemental locations
Florida Vehicle Dealer Classifications and Bond Information

Bond Process With Jet

(1) Obtaining the bond takes just a moment online. Only basic business information is needed, then you pick your bond term and make payment.

GET A QUOTE

(2) Following the purchase you will receive a bond copy and receipt. The original bond is mailed by Jet to the address you provide in the application.

(3) The original bond form needs to be delivered to your local Motor Vehicle Field Operation Regional Office. Below is a list of counties serviced according to the regional office, along with addresses. 

CountyAddress
Broward1135 Banks Road
Margate, Florida 33063
(954) 969-4216
Indian River, Okeechobee, Martin, Palm Beach, St. Lucie901 Northpoint Parkway, Suites 115 & 116
West Palm Beach, Florida 33407
(561) 640-6820
Alachua, Gilchrist, Lake, Levy, Marion, Putnam318 Southeast 25th Avenue
Ocala, Florida 34471
(352) 512-6782
Baker, Bradford, Clay, Columbia, Flagler, Duval, Nassau, St. Johns, Union9550 Regency Square Boulevard, Suite 100
Jacksonville, Florida 32225
(904) 365-2681
Brevard, Seminole, Volusia2575 South Volusia Avenue, Suite 300
Orange City, Florida 32763
(386) 736-5107
Orange, Osceola4101 Clarcona-Ocoee Road, Suite 160
Orlando, Florida 32810
(407) 445-7400
Citrus, Hernando, Hillsborough, Pasco, Pinellas, Polk, SumterNET PARK
Suite 2228 5701 East Hillsborough Avenue
Tampa, Florida 33610
Dixie, Franklin, Gadsden, Hamilton, Jefferson, Lafayette, Leon, Liberty, Madison, Suwanee, Taylor, Wakulla2900 Apalachee Parkway, Room B-142, MS-76
Tallahassee, Florida 32399
(850) 617-2999
Bay, Calhoun, Gulf, Jackson, Holmes, Walton, Washington6030 County Road 2321
Panama City, Florida 32404
(850) 767-3660
Escambia, Okaloosa, Santa Rosa100 Stumpfield Road
Pensacola, Florida 32503
(850) 475-5415
Charlotte, Collier, Desoto, Glades, Hardee, Hendry, Highlands, Lee, Manatee, Sarasota323 10th Avenue West, Suite 200
Palmetto, Florida 34221
(941) 723-4551
Dade, Monroe12601 NW 42nd Avenue
Opa Locka, Florida 33056
(786) 804-4180
Motor Vehicle Field Operation Office Information

The Bond is Filed, Now What?

In the bond life cycle, there is nothing to do after the bond is filed until the bond needs to be renewed. Should you need to cancel your bond, just email us at [email protected]. If there is any unearned premium left on the bond it will be sent back to you via check.

The Florida Auto Dealer Bond has a 30-day cancellation period. This means once Jet files a cancellation notice with the FLHSMV the bond will stay active for an additional 30 days. Thus giving dealers time to secure bonding and also giving the public extended coverage if there is an overlap of dealer service from the time the bond cancellation request was sent.

Prior to the bond expiration date on April 30th, you we receive a renewal notification from Jet. All you need to do is make payment via phone (855) 427-9898, online in a link we will send to your email, or via check in the mail.

Dealer Bond Claim Process

Dealers have strict licensing laws in each State. Florida is no exception but has its own variation of how a complaint is handled. 

Complaints from consumers are handled by the local Motor Vehicle Field Office of the Florida Department of Highway Safety and Motor Vehicles. The field staff will perform an investigation and will make a determination. Consumer protection is the emphasis of their department, so you best believe it is guilty until proven innocent for dealers. Luckily, Jet will defend the dealership if the complaint turns into a bond claim. 

Dealer Bond Claim Process

Read more about bond claims for dealerships.

What Other Bond Requirements Do Dealers Need?

RV and mobile home dealers need a $10,000 and $25,000 surety bond for licensing, respectively. Garagekeepers policies are also required by the State of Florida to hold a dealer license. Much like the bond, the intent of garagekeepers is to protect third parties from damages arising out of dealer operations. However, a garagekeeper policy is for accidents, while surety bonds are for more malicious activities.

Florida Motor Vehicle Dealer Bond Form Example

Florida Motor Vehicle Dealer Bond Form

Notary Bond Application:

X

Business Information:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Employee Dishonesty Bond Application:

Business Information:

Business Description:

Coverage Requirements:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Contract Bond Application:

X

Business Information:

Owner Information:

Job Details:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Worker's Compensation Application:

X

Business Information:

Business Description:

Coverage Requirements

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information: