Missouri Auto Dealer Bond

Missouri Auto Dealer Bond

The Missouri Department of Revenue, Motor Vehicle Bureau requires motor vehicle dealers to hold a surety bond to be licensed. This includes trailer dealers, powersports vehicle dealers, and boat dealers.

QUOTE

Fleet companies and special event motor vehicle auctions also need a bond. Save with Jet today—your bond is ready for filing in minutes.

How Much Does a Missouri Motor Vehicle Dealer Bond Cost?

For Missouri car dealers, the lowest rate for the $50,000 bond is $28 monthly or $282 for one year.

The primary factor in the cost of any bond is the bond limit as seen with the increased prices for trailer, boat, powersport, lease/rental, and special event auction operations. The higher the bond limit, the more coverage is provided and thus the higher the price. In addition, the personal credit score of each applicant is evaluated, which is standard in the surety industry. Shown below are the rates for applicants with preferred credit

Bond LimitMonthly1 Year2 Year
$50,000$28$282$494
$100,000$56$564$987
Missouri Auto Dealer Bond Rates

Jet’s monthly option is convenient for those wishing to pay for the bond at a low monthly cost vs. fronting a lump sum. As long as Jet receives your automatic monthly payment, the bond stays on file until cancellation is sought.

License TypeLimitDescription
Motor Vehicle Dealer$50,000Those selling 8+ vehicles in a year
Trailer/Boat/Powersports$100,000Those selling 6+ trailers, boats, or powersports vehicles (ATVs, motorcycles, etc.) in a year
Delayed Delivery of Title$100,000Those selling vehicles without a title (in lieu of $50,000 Auto Dealer Bond)
Lease/Rental Company$100,000Bond required for fleet licenses only
Special Event Auctions$100,000When 90% of the vehicles are at least 10 years old and no more than 3% of the vehicles are owned/titled in the auctions or owners name. The auction should be three days or less and held no more than three times a year.
Missouri Vehicle Business Classifications and Bond Limits

Why Does Missouri Require Vehicle Dealers to Be Bonded?

In short, Auto Dealer Bonds financially protect the public and obligee from dealer misconduct.

The state of Missouri protects its citizens from fraudulent and negligent vehicle dealer behavior by putting certain laws into place (Revisor of Missouri, Chapter 301). The Missouri Department of Revenue, Motor Vehicle Bureau, Dealer Licensing is responsible for enforcing these laws, which is done through the license and surety bond requirement. 

The surety bond is provided by a third party (Jet Insurance Company) which guarantees recompense to the financially harmed person or entity should the dealer fail to comply with obligations. A claim payout on the bond is typically the last resort—dealers have a chance to rectify the situation before any further disciplinary action is taken. 

Tampering with odometer readings, failing to pay taxes, and failing to report vehicle sales are just a few examples of dealer fraud that could lead to a bond claim.

The Missouri Motor Vehicle Dealer Bond Process With Jet

At Jet, the bond process is simple:

  1. Go through the application (takes about two minutes)
  2. Receive your quote
  3. Select how you’d like to pay
  4. Purchase the Auto Dealer Bond
  5. Get your bond form and receipt
  6. Upload the bond form to your MyDMV account in the Missouri Business Licensing Portal
    1. If you’re a new dealer, you’ll need to Create a MyDMV Account

If you need to send things in via standard mail, do so to the following address:

Motor Vehicle Bureau, Dealer Licensing Section
PO Box 43
301 West High Street, Room 370
Jefferson City, MO 65105

Read More About Managing Your Surety Bond With Jet

How to Renew My Bond

Need to renew your bond? Read more on Jet’s process to renew your bond.

How to Cancel My Bond

See the details surrounding canceling your bond.

Bond Claim Process

Motor Vehicle Dealers should know what causes a claim and what to do if one is filed against them.

Missouri Motor Vehicle Dealer Bond Form Sample

Missouri Auto 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: