Utah Auto Dealer Bond

Utah Auto Dealer Bond

To be licensed as a motor vehicle dealer in Utah, you’ll need to file a surety bond with the Motor Vehicle Enforcement Division. Body shops, crushers, special equipment dealers, and dealers of motorcycles, off-highway vehicles, and small trailers must also hold a surety bond.

Click the quote button to get your bond in minutes.

QUOTE

By cutting out the middleman, Jet is able to provide a convenient monthly payment option in addition to discounted annual and multi-year rates.

What Is the Best Price for the Utah Motor Vehicle Business Bonds?

For the $75,000 Auto Dealer Bond, for new and used dealers, the price starts at $28 monthly or $281 for a one-year term. Preferred applicant pricing can be found in the table below. Rates are dependent on years in business and credit score of the ownership.

Bond TermBond LimitMonthly Cost1 Year Cost
Motor Vehicle Dealer$75,000$28$281
Special Equipment Dealer$75,000$28$281
Body Shop$20,000$10$100
Crusher$10,000$10$100
Motorcycle/Off-Highway Vehicle/Small Trailer Dealer$10,000$10$100
Utah Motor Vehicle Business Bond Prices

License Classification Details

Motor Vehicle Dealers sell vehicles, new or used. Dealers also have the authority to dismantle vehicles and operate as body shops.

Body Shops repair, rebuild, restore, paint—may also dismantle vehicles.

Crushers shred or crush vehicles to reduce materials and metals for recycling purposes.

Special Equipment Dealers buy incomplete new vehicles weighing 12,000 pounds or more and sell the vehicles with special equipment installed without a franchise. With this license, you may also operate as a body shop and dismantle vehicles.

Motorcycle, Off-Highway Vehicle, or Small Trailer Dealers sell or dismantle any of the aforementioned items. *Small trailers weigh between 750-1,999 pounds.

More details can be found in Utah Code, 41-3-202.

Why Does Utah Require Surety Bonds for Certain Motor Vehicle Businesses?

The Utah Motor Vehicle Enforcement Division is tasked with enforcing the rules and regulations defined in Utah Code, Chapter 3, Title 41 upon motor vehicle businesses. One requirement to be a licensed vehicle dealer, body shop, crusher, or special equipment dealer is a surety bond. Along with the other 49 states, Utah utilizes Motor Vehicle Dealer Bonds as a form of financial protection for the state and its citizens. 

Say a used vehicle dealer rolls back the odometer to sell the car at a cheaper price; this would be a fraudulent action. The customer can file a complaint with the Motor Vehicle Enforcement Division, which can turn into a bond claim. Even though Jet is the financial guarantor on the surety bond, providing payment in cases of valid bond claims, the dealer would be responsible for paying the claim amount back to Jet to restore the bond to its original limit—more details on this below.

Get Your Utah Vehicle Dealer Bond With Jet

The first step to obtaining your bond is filling in the necessary information. Get started here:

QUOTE

Once that’s complete, you’ll be shown approved rates and given the opportunity to pay for your bond and download the bond form and receipt.

The next step is filing your bond at the following address:

Motor Vehicle Enforcement Division
210 N 1950 W
Salt Lake City, UT 84134

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.

Utah Bond of Motor Vehicle Dealer, Crusher or Body Shop Example

Utah 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: