Virginia Auto Dealer Bond

Virginia Auto Dealer Bond

In Virginia, independent and franchise motor vehicle dealers must file a $50,000 surety bond with the Motor Vehicle Board. The Board uses the surety bond to guarantee restitution to those harmed by a dealer’s fraudulent or negligent actions.

Click the Quote button to get your bond in minutes:

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Jet has prices that work for everyone—choose from our popular monthly payment plan or pay in full for a discounted rate.

How Much Does a Virginia Motor Vehicle Dealer Bond Cost?

The prices start at $250 for one year and $25 monthly. There are multi-year options available, too. The bond price you qualify for will depend on your credit standing and years in business.

Bond TermPrice
Monthly$25
1 Year$250
2 Years$438
3 Years$625
Virginia Auto Dealer Bond Prices

Because the bond is only required for the first three years of licensure (as long as there is no claims activity), Jet recommends choosing the three-year pay-in-full option for new licensees so it’s all taken care of until you no longer need the bond! If you are renewing the bond, Jet would recommend monthly payments or a 1-year term. However, you are free to pick the pricing option that works best for you!

What Purpose Do Motor Vehicle Dealer Bonds Serve?

The Virginia Motor Vehicle Board has the responsibility of enforcing regulations upon car dealers to ensure the public’s safety when purchasing a vehicle from a dealership. 

The bond is just one tool used to guarantee protection against dealer misconduct, such as failing to disclose important information about a vehicle or rolling back an odometer. Jet, as the surety company, provides this guarantee and will pay out valid claims on the dealer’s behalf. However, surety bonds are unlike insurance and only pay out for actions that can be avoided and/or fixed. Because of this, the dealer is liable to pay any claims back to the surety company.

To read more license-specific legislation, refer to the Code of Virginia, Chapter 15, Title 46.2

Getting Your Surety Bond With Jet

The bond process takes less than five minutes to complete.

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We collect your business information and social security number for the soft credit check. Then, you’ll be presented with a quote. Choose your preferred term and proceed with payment. Upon successful payment, you can download your bond form and receipt for your records.

It is important that the company and dealership name on the bond matches the application (MVDB 10) name and the State Corporation Commission filing name. The bond form will be filled out with the information provided in the bond application, so make sure you enter it correctly.

Once ready, you must file it to the Board at the following address:

Virginia Motor Vehicle Board
2201 West Broad Street, Suite 104
Richmond, VA 23220

Note: Those renewing their motor vehicle dealer license may opt to file a $100,000 surety bond in lieu of participating in the Motor Vehicle Transaction Recovery Fund, as long as no claims have been filed against them and there has never been a lapse in coverage. If this applies to you, please call Jet at (855) 296-2663 to get a quote.

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.

Virginia Motor Vehicle Dealer Bond Form Example

Virginia 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: