Oregon Motor Vehicle Inspection Bond
The Department of Environmental Quality (DEQ) requires all motor vehicle and fleet inspection businesses in Oregon to secure a $1,000 surety bond as a prerequisite to becoming licensed. The bond ensures inspection stations abide by the Oregon Revised Statutes (ORS) sections 468A.350 to 468A.400. If you are an inspector in Oregon, or looking to become a vehicle inspector, you can secure a low-cost bond with Jet today by clicking below.
The Legislative Assembly has found that the emission of motor vehicle pollutants is one of the leading causes of air pollution in Oregon and that intervention by means of vehicle inspections is a critical step to protect the public’s health and safety. Through the Vehicle Inspection Program, the DEQ inspects 4,000 air quality complaints annually.
What Is the Price of a Vehicle Inspection Bond?
The Motor Vehicle Inspection Bond is $100 for one year in full, or $10 monthly with Jet. The chart below shows the available bond terms and rates offered through Jet.
| BOND Term | COST |
|---|---|
| Monthly | $10 |
| 1 Year | $100 |
| 2 Years | $175 |
| 3 Years | $250 |
The bond application allows you to pay for and receive the bond online in moments. No matter which payment option you choose, Jet Insurance Company is able to provide the lowest rates in the market by cutting out brokers and agents acting as middlemen.
What Is the Bond Filing Process With the Department of Environmental Quality?
Jet takes care of the bond filing for you! An original surety bond must be on file with the Department of Environmental Quality to become and remain a licensed Vehicle Inspector. Once you submit the required information through Jet’s license bond application, our office will file the bond to the DEQ on your behalf.
If you are a new vehicle inspector applicant sending in additional paperwork and prefer to send the bond in yourself, Jet will give you the option to have the original bond sent to you. The original bond and licensing paperwork can be mailed to the following address:
Department of Environmental Quality
Vehicle Inspection Program
1240 SE 12th Ave.
Portland, OR 97214
How To Cancel the Vehicle Inspection Program Bond and Get a Refund
Jet Insurance Company allows cancellation at any time throughout the bond term. Unlike other surety companies, Jet does not charge cancellation fees and will refund any unused portion of the bond premium. Upon receiving a written cancellation request, Jet will give you a prorated refund based on how much time is left on the bond.
If you opt for monthly payments when purchasing the bond, the cancellation process will be even easier, as no refund needs to be calculated. Since the DEQ holds the bond in active status for 30 days after the notice of cancellation is received, you may be charged an additional payment for the remaining time the bond is in effect.
Reasons a Motor Vehicle Inspector Bond Claim May Arise
Claims can be easily avoided by following the regulations put in place by the DEQ. Some reasons a claim would be filed on the Motor Vehicle Inspector Bond by the Department include:
- Mandatory pollution control equipment is not obtained/maintained
- Failure to provide the required proof of compliance
- Falsely issuing a certificate of compliance
- Unjustly requesting repair of vehicle to comply with pollution control
If the DEQ finds you liable for any violations in accordance with ORS 468A.395, they will first contact you to address the matter before going after the surety bond. It is in the inspector’s best interest to correct the violation(s) immediately to avoid a bond payout and possible suspension or cancellation of the license.
How To Handle a Motor Vehicle Inspector Bond Claim
As soon as Jet receives notification of a claim on your bond from the Department of Environmental Quality, we will send notice to you. It is important for you to provide all information you have relating to the incident(s), as Jet will only have 45 days to investigate the validity of the claim.
If the claim proves to be legitimate, Jet will pay the claimant (DEQ) up to the full bond limit of $1,000. Surety bonds are not like insurance as they protect the public and governing entity rather than the coverage holder. Inspectors are responsible for the actions they take relating to their business and must reimburse any amount paid out by the surety company.
Jet’s goal is to help you resolve the bond claim as efficiently as possible, unlike other carriers who seek to avoid legal fees by stretching out the duration of the bond claim investigation.
There are no guidelines from the DEQ on the speed at which bond claims are handled so Jet Insurance Company refers to the Oregon Insurance Regulations. Jet acknowledges the receipt of the bond claim to the claimant (DEQ) within 30 days of receipt, and then contacts the claimant and vehicle inspector with the necessary forms and information related to the bond claim. If the claim is proved valid, there will be a payout on Jet’s part to the claimant, then putting the inspector’s license under suspension until the full bond claim is paid back. The inspector’s full payment of a bond claim in a timely manner can rectify the issue, and Jet will reinstate the bond at that time.
Why Does the DEQ Require a Bond for Vehicle Inspectors?
Per ORS 468A.355, the Legislative Assembly has found that regulation is a crucial way of protecting the State of Oregon’s residents from air pollutants caused by vehicle emissions. The Department of Environmental Quality is charged with protecting the public by enforcing legislative statutes. The Motor Vehicle Inspector Bond is needed to activate and maintain certification for inspectors that perform vehicle emissions tests, validating that cars emissions meet the standards of the DEQ. The bond offers coverage for the DEQ from financial damage or loss incurred by the inspector (ORS 468A.380).
The DEQ or public may fall victim to fraudulent activity from a motor vehicle inspection station. For example, if an inspector issues a certificate of compliance fraudulently, the DEQ would be able to take disciplinary action against the inspector’s certification. If the inspector does not comply with the disciplinary action, the DEQ may file a bond claim. Jet Insurance Company would pay the DEQ the amount of the claim, up to the bond limit of $1,000.
State employees working for the DEQ Vehicle Inspection Program are exempt from the bond requirement. All other municipalities and fleets conducting inspections are required to secure the $1,000 bond.
Applying for the Vehicle Inspection Program Bond
Jet’s bond process is quick! You are able to submit the necessary information and purchase your bond online within minutes. Jet will send the bond form to the DEQ within one business day. If you need the original bond to be filed with licensing paperwork, you can choose that option prior to checkout. Select Purchase Now below to get your license bond requirement taken care of.
PURCHASE MOTOR VEHICLE INSPECTION BOND
What Is the Bond Renewal Process?
Renewing the bond with Jet is simple. The bond will remain on file with the DEQ as long as payments are made in a timely manner. If payment is not received prior to the renewal date, Jet will request cancellation with the DEQ.
If a 1-, 2-, or 3-year surety bond is paid for upfront, Jet will send you a renewal notice via mail and email well before the renewal date, so you will have plenty of time to take care of payment.
If you decide to go with the monthly payment option, payments will continue to come out of your preferred bank account as long as funds are available. When you no longer need the bond, you can contact Jet to request cancellation.
When Is a Bond Rider Necessary?
Changes are bound to happen through the duration of being in business. Any changes made to your license will need to be reflected on the bond. In most cases, a bond rider will be accepted by the DEQ to update the bond. Riders can adjust business names and addresses as needed.
Some changes require a whole new bond to be issued. Usually, this is seen when the ownership or entity type changes. Since the bond requires owner information and signatures, any differentiation in ownership will negate the liability from the bond. If you are unsure whether your changes will need a rider or a completely new bond, the DEQ will help you understand how to proceed. Regardless of which option you need, contact our team to register the changes for your bond.
