South Dakota Auto Dealer Bond

South Dakota Auto Dealer Bond

Along with auto dealers, several vehicle-related businesses need surety bonds filed with the South Dakota Department of Revenue to be licensed. Fill out the application to get your bond in minutes!

QUOTE

Have questions? Give us a call at 855-296-2663 and we will be happy to assist.

How Much Does a South Dakota Auto Dealer Bond Cost?

The cost of the bond is dependent on a few primary factors: the bond limit, years of experience, and the personal credit of the applicant. For the $25,000 Vehicle Dealer Bond, the prices start at $15 a month or $150 for one year. Additional bond types and limits are shown in the chart below with the lowest rate available.

Bond TypeBond LimitMonthly1 Year
Motor Vehicle Dealer Bond$25,000$15$150
Boat Dealer Bond$20,000$12$120
Trailer Dealer Bond$10,000$10$100
Motorcycle Dealer Bond$5,000$10$100
Snowmobile Dealer Bond$5,000$10$100
Dealer Car Auction Agency Bond$50,000$30$300
Final Stage Manufacturer Bond$25,000$15$150
Emergency Vehicle Dealer Bond$10,000$10$100
Manufactured Home Dealer Bond$25,000$25$250
South Dakota Auto Dealer Bond Prices

If you have great credit as a new vehicle dealer applicant, your bond cost will go down the longer you’re in business as long as your credit remains in good standing.

Along with Jet’s convenient monthly payments or discounted annual rates, multi-year rates are available. 

License regulations and classification details can be found on the Dealer Vehicle Licenses webpage.

What Is the Purpose of Motor Vehicle Dealer Bonds?

South Dakota isn’t alone in its surety bond requirement for vehicle dealers—every single state across the U.S. has a similar requirement for auto dealers and several other vehicle-related businesses, such as trailer dealers, motorcycle/off-road dealers, etc. There is an inherent risk to the public when they are purchasing vehicles from a dealership, and the state that regulates the dealer has the responsibility of protecting its citizens.  

This is where the South Dakota Department of Revenue (DOR) comes in for motor vehicle dealers operating in the state. The DOR ensures dealers, manufacturers, and auctions are in compliance with South Dakota Codified Laws Title 32

The surety bond is just one tool used to protect the public by guaranteeing reimbursement when a dealer has caused monetary loss through misrepresentation or misconduct, such as failing to provide a vehicle’s title. The State can also receive compensation from a bond if a dealer fails to remit fees, taxes, etc.

The Surety Bond Process With Jet

No need to wait for a quote—after you’ve filled in the necessary information, Jet’s system delivers several price options and allows you to pay for the bond right there. Your bond form is ready for download immediately after.

QUOTE

Jet can file the bond for you! But if you prefer to file it alongside other paperwork, you can do so at the following address:

South Dakota Department of Revenue
445 East Capitol Avenue
Pierre, SD 57501

Read More About Dealer Bond Claims and Bond Handling With Jet

How to Renew My Bond

See the in and outs surrounding renewing with Jet—it’s quick.

How to Cancel My Bond

Looking to cancel? This article has all the details you need.

Bond Claim Process

Read more about claim causes and the claim process for dealers.

South Dakota Motor Vehicle Dealer Bond Form Example

South Dakota Auto Dealer Bond Form

Notary Bond Application:

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:

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:

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: