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Get a quoteAuto Dealer Bond Cost by State: Volume-Tier vs Flat-Rate Pricing in 2026
Every U.S. dealer bond falls into one of two pricing logics. Knowing which one your state uses changes your premium math — and decides whether your bond grows with your dealership or stays put.
Bond scales with sales volume
Maryland’s bond runs from $5,000 to $300,000 depending on dealer type and sales volume. New York tiers at three breakpoints (under 50: $20K; 50–200: $50K; over 200: $100K). South Carolina ladders $30K → $50K. As you grow, your bond grows.
- In New York, the bond tier follows the prior 12 months of retail sales; in Maryland, it follows sales in the preceding license year.
- Volume-tier states tend to favor multi-lot operators — the per-car bond cost falls as you scale.
One bond amount, regardless of volume
Texas $50,000 (TxDMV, doubled in 2021). California $50,000 (CVC § 11710, retail). Florida $25,000 (DHSMV). Ohio $25,000 (BMV). Most states sit here — the bond amount is fixed by statute and doesn’t flex with how many cars cross your lot.
- Predictable premium math — the same dollar amount renews every year at your credit-based rate.
- The first-year dealer pays the same bond as the 30-year operator next door.
- Flat-rate states with high amounts (TX, CA, MN, RI — $50K) hit small dealers hardest as a percentage of overhead.
- Who requires it: State dealer regulators; Maryland, New York and South Carolina tier the bond amount itself by sales volume.
- Amount: Fixed by statute in most states (Texas $50,000, California $50,000, Florida $25,000, Ohio $25,000); volume-tiered in Maryland, New York and South Carolina.
- Typical cost (estimate): $250 to $3,000+ per year for the most common bond amounts; subprime credit pushes the rate to 3%-10%. The surety sets the final price.
Same dealer, two states — what the math actually produces
Hypothetical: a sole-proprietor used-car dealer with a 680 FICO (mid-credit, ~1.5% filed rate) selling 75 retail vehicles per year. Same operator, same credit, same volume — here’s the year-1 annual premium across two pricing models, derived from each state’s statute and a 1.5% applied rate:
Texas (flat)
$750/yr
$50,000 GDN bond × 1.5% = $750. Bond amount fixed by the Transportation Code; doesn’t flex with volume. The 75-cars-a-year dealer pays the same as the 5,000-cars-a-year dealer next door.
New York (tiered)
$300/yr
$20,000 VTL § 415 Tier-1 bond (under 50 sales) × 1.5% = $300. At 75 sales the dealer is technically in Tier 2 — the bond steps to $50,000 and the premium becomes $750 at the next renewal, not mid-term.
Math is illustrative: 1.5% is a plausible mid-credit rate inside the SFAA-filed band, not a carrier-specific quote. Statutes verified May 2026; bond amounts confirmed against the linked .gov source on each state’s page. Your actual premium depends on the underwriting carrier’s filed rate, your indemnitor structure, and any open claims on a prior bond.
All 50 states + DC
Every dealer-licensing jurisdiction
$10K – $100K+ range
MI/NJ low at $10K; AZ/NV at $100K
Prompt submission available
Standard credit, retail dealer license
$250 – $3,000 typical premium
Annual; varies by credit and bond amount
Auto dealer bond cost is a percentage of the state-required bond amount, not the bond amount itself. Standard-credit dealers pay 1.5% – 3% annually: a $50,000 Texas or California dealer bond runs $750 – $1,500 per year; a $25,000 Florida bond runs $375 – $750. With preferred credit (700+ FICO), the same bonds drop to 0.75% – 1.5%, putting most retail dealer bonds in the $200 – $750 annual range. Three states — Maryland, New York, and South Carolina — tier the bond amount itself by sales volume, so a high-volume dealer in those states will see the bond amount step up before the premium rate ever does.
Statutes verified May 2026 against state DMV / motor vehicle commission PDFs; rate bands reflect carrier filings with state insurance departments as of May 2026 — verify your state’s filed rate at your DOI before relying on these numbers for a budget.
Forty-seven dealer-bonding jurisdictions set one bond amount in statute and leave it alone: Texas $50,000 (Transportation Code), California $50K retail / $10K wholesale (CVC § 11710), Florida $25K (F.S. § 320.27), Ohio $25K (ORC § 4517.04). The premium scales linearly with that fixed amount — the auto dealer bond cost calculator renders the same number every renewal at the same rate.
Three states reject the flat-rate model. Maryland’s MVA sets a bond from $5,000 to $300,000 depending on dealer type and sales volume. New York’s DMV uses three breakpoints (under 50: $20K; 50–200: $50K; over 200: $100K). South Carolina ladders $30K up to $50K. Two states add to the bond for each additional site: North Carolina ($50K for the first established salesroom plus $25K for each additional salesroom, G.S. 20-288) and Illinois ($50K per location, 625 ILCS 5/5-101). The full statute-by-statute treatment lives in the 50-state table below; this page focuses on cost mechanics rather than restating every row, and the surety bond cost guide covers the rate-vs-amount distinction across all surety lines.
Auto Dealer Bond Amount by State (50 + DC)
Verified from state DMV / motor vehicle authority sources, May 2026
| State | Bond Amount | Term | Pricing Model | Source / Statute |
|---|---|---|---|---|
| Alabama | $50,000 | License year runs one year from October 1; renew each October 1; bond is continuous | Flat | Ala. Code § 40-12-398 as cited by ALDOR; Ala. Admin. Code ch. 810-5-12 |
| Alaska | $100,000 / $25K motorcycles | 2 yr license | Flat + motorcycle tier | AS 08.66.060 |
| Arizona | $100,000 | 1 yr | Flat | ADOT MVD — A.R.S. § 28-4365 |
| Arkansas | $50,000 | 1 yr | Flat | ASOMVC — Act 2019 |
| California | $50,000 | 1 yr | Flat (wholesale $10K) | CVC § 11710 — DMV |
| Colorado | $50,000 | 1 yr | Flat | C.R.S. § 44-20-108 |
| Connecticut | $50,000 | 1 yr | Flat | CT DMV — CGS § 14-52 |
| Delaware | $25,000 | 1 yr | Flat | DE Title 21 § 2502 |
| DC | $25,000 | 1 yr | Flat | DC DMV — DCMR Title 18 |
| Florida | $25,000 | 1 yr | Flat | F.S. § 320.27 — FLHSMV |
| Georgia | $35,000 | 2 yr | Flat | O.C.G.A. § 43-47-7 |
| Hawaii | $10K–$200K (bond option) | 2 yr license | Line of credit first; bond fallback | HAR 16-86-12 |
| Idaho | $20,000 | 1 yr | Flat | ITD — I.C. § 49-1608 |
| Illinois | $50,000 / location | 1 yr | Flat-plus-locations | SOS — 625 ILCS 5/5-101 |
| Indiana | $25,000 | License: annual, with expiry staggered by the first letter of the business name; bond term: not stated. | Flat | IC 9-32-11-2 (as cited on State Form 53966) |
| Iowa | $75,000 | — | Flat | Iowa Code § 322.4 |
| Kansas | $50,000 | — | Flat or Treasurer deposit | K.S.A. 8-2404 |
| Kentucky | Asset-based, no flat bond | License expires December 31; gap bond term not stated. | Asset-based | KRS 190.030(10); 605 KAR 1:030; KRS 190.033 |
| Louisiana | $20,000 | 1 yr | Flat | LMVC — La. R.S. § 32:1254 |
| Maine | $25K–$100K by sales | 1 yr license | Sales tiers | 29-A M.R.S. §901 |
| Maryland | $5,000–$300,000 by volume | 3-year license under COMAR; statute says annual fee | Volume tiers | Transportation Article §15-308 |
| Massachusetts | $25,000 | 1 yr | Flat | M.G.L. c. 140 § 58 |
| Michigan | $25,000 | 1 yr | Flat | MCL 257.248 |
| Minnesota | $50,000 | 1 yr | Flat | Minn. Stat. § 168.27 |
| Mississippi | MMVC $25,000; DOR $15,000 min | — | Two agencies | Miss. Code § 63-17-75; DOR rule |
| Missouri | $50,000 ($100,000 title tier) | Bond must run through December 31 of the licensure year or be non-expiring. | $100K title-delay option | RSMo 301.560; $100,000 tier under RSMo 301.210 |
| Montana | $50,000, $15,000 or $5,000 | 1 yr | License tiers | MCA 61-4-101 |
| Nebraska | $50,000 | 1 yr | Flat | Neb. Rev. Stat. § 60-1411.02 |
| Nevada | $100,000 | 1 yr | Flat | NRS § 482.345 — DMV |
| New Hampshire | $10,000-$25,000 (two statutes) | 2 yr license | Two statutes differ | RSA 261:98; RSA 261:100 |
| New Jersey | $10,000 | Bond must not expire until March 31 of the year the license is set to expire (MVC letter); license term not stated. | Flat | N.J.A.C. 13:45A-26F.5 (conditioned on N.J.S.A. 56:8-77 et seq.) |
| New Mexico | $50K / $12.5K motorcycle | Continuous | Flat + motorcycle tier | NMSA 66-4-7 |
| New York | $20K / $50K / $100K | 1 yr | 3-tier volume scale | NY DMV — VTL § 415 |
| North Carolina | $50K + $25K/extra salesroom | Two years (license term) | Per salesroom | G.S. 20-288 |
| North Dakota | $25K ($10K–$50K by type) | Continuous | License tiers | NDCC 39-22-05 |
| Ohio | $25,000 | 1 yr | Flat | ORC § 4517.04 — BMV |
| Oklahoma | $25,000 | 1 yr | Flat | 47 O.S. § 583 |
| Oregon | $50,000 | 3 yr certificate | Flat | ORS 822.030 (per DMV form) |
| Pennsylvania | $20,000 ($30K new car) | 1 yr | Flat by class | PennDOT — 75 Pa.C.S. § 8221 |
| Rhode Island | $50,000 | 1 yr | Flat | R.I. Gen. Laws § 31-5-1 |
| South Carolina | $30K – $50K | 1 yr | Volume tier | SCDMV — § 56-15-320 |
| South Dakota | $25,000 | 1 yr | Flat | SDCL § 32-6B-43 |
| Tennessee | $50,000 | Two years from the month of license issuance | Flat | T.C.A. § 55-17-111(g) |
| Texas | $50,000 | 1 yr | Flat (doubled 2021) | TxDMV — Transportation Code |
| Utah | $75K, $10K or $20K by type | 1 yr license | License tiers | Utah Code § 41-3-205 |
| Vermont | $35,000 | 1 yr | Flat | 23 V.S.A. § 466 |
| Virginia | $50,000 | 1 yr | Flat | MVDB — Va. Code § 46.2-1527.1 |
| Washington | $30,000 | 1 yr | Flat | RCW § 46.70.070 |
| West Virginia | $25,000 | 1 yr license | Flat | W. Va. Code §17A-6-4 |
| Wisconsin | $50,000 (tiered by license) | 2 yr license | License tiers | Wis. Stat. s. 218.0114 |
| Wyoming | $50,000 | 1 yr | Flat | Wyo. Stat. § 31-16-105 |
Amounts represent the standard retail used-vehicle dealer bond. Wholesale-only, motorcycle, recreational vehicle, and salvage classes vary downward. Several states (NV, AR) raised amounts in 2024–2025; verify on the linked .gov source before filing.
Sources: state DMV / motor vehicle commission websites and statute databases. Each row links to the originating .gov authority on our state pages.
- Texas $50,000 GDN bond: doubled from $25,000 effective September 1, 2021, under House Bill 3533 amending the Transportation Code. Premium roughly doubled in lock-step — the single largest dealer-bond increase any major state has implemented in the past decade, and the reason “Texas dealer bond cost” spiked in search volume through 2022–2023. Dealers who buy at or operate wholesale auctions can see how Texas treats them on our Texas car auction license page.
- California $50K retail / $10K wholesale: CVC § 11710 splits dealers by class. Wholesale-only / autobroker / motorcycle-dealer is a low-cost entry point into California licensing — roughly $100–$300 annual premium on the $10K bond.
- Florida $25,000: F.S. § 320.27 sets the dealer bond at $25,000 — a structural reason FL dealer-licensing premium-cost questions are simpler than Texas.
- New York $20K / $50K / $100K: VTL § 415 tiers the bond on the prior 12 months of retail sales. The bond steps up at the next renewal after the dealer crosses a tier — not mid-term — so a fast-growing dealer can finish the bond year on the original amount and re-quote at the higher tier.
- Illinois $50K per location: 625 ILCS 5/5-101 stacks: a single-lot dealer files one $50K bond; a three-lot operator files $150K. Build the per-location stack into any expansion pro forma before signing the lease. The Illinois auto dealer bond calculator estimates the premium by credit band.
- Maryland $5,000–$300,000 by volume: Transportation Article §15-308. The bond runs from $5,000 to $300,000 depending on dealer type and sales volume, with new applicants sized on estimated first-year sales.
- North Carolina $50K + $25K/extra salesroom: G.S. 20-288 sets $50,000 for the first established salesroom and $25,000 for each additional salesroom.
- Georgia $35K, 2-year term: O.C.G.A. § 43-47-7 puts the dealer on a 2-year cycle — the full multi-year premium is paid up front, not annually. Same structure in TN.
- Pennsylvania $20K used / $30K new: 75 Pa.C.S. § 8221 splits by license class. The $20K used-dealer bond is among the smaller full-retail amounts in the country.
Statutes verified May 2026 against state DMV / motor vehicle commission / secretary of state PDFs. Amounts can change by legislative action — verify on the linked .gov page on each state’s dedicated bond page before filing.
Auto Dealer Bond Premium by Credit Tier
Based on a $50,000 bond amount
- Excellent (740+)Rate: 0.75%$375 / yr
- Very Good (700–739)Rate: 1.0% – 1.25%$500 – $625 / yr
- Good (650–699)Rate: 1.5% – 2.0%$750 – $1,000 / yr
- Fair (600–649)Rate: 2.5% – 3.5%$1,250 – $1,750 / yr
- Poor (550–599)Rate: 4% – 7%$2,000 – $3,500 / yr
- Subprime (<550)Rate: 7% – 10%$3,500 – $5,000 / yr
Premiums shown are annual, on a $50,000 bond (the most common amount — TX, CA, MN, MO, NC, RI, VA, WI, WY). Scale proportionally for $25,000 bonds (FL, OH, MA — halve the figures) or $100,000 bonds (AZ, NV — double them). Carrier appetite varies; some carriers decline below 575 FICO without collateral.
The headline cost numbers above reflect the day-one rate on a clean application. The renewal surprises — premium increases that arrive 60% higher, declinations on files that looked preferred — trace to four pricing mechanics built into how surety carriers underwrite the dealer line. None of these are published on state DMV pages, because they sit on the carrier’s side of the transaction, not the state’s:
- Surety underwriting reads the principal’s personal credit, not the entity’s. The standard SFAA-aligned dealer-bond underwriting model requires personal indemnity from any owner at 25%+ ownership, and the carrier’s filed rate scheme keys off that individual’s FICO — not the dealership LLC’s D&B file or floor-plan history. The mechanical implication: a dealership with strong commercial trade lines and three years of clean operation can still quote at 7% if the principal owner’s personal FICO is 580 with recent collections. Second-generation dealers in particular run into this when the bond moves to the new owner before that individual’s credit has been re-baselined.
- Prior-bond claim history compounds at renewal. Carriers run a bonded-history check (SAA Surety Bond Index plus the prior surety’s loss runs) before quoting the renewal. The standard rate impact under most carriers’ filings: one paid claim within the last 24 months moves the file out of preferred and into standard or sub-standard tier. Numerically, that’s the difference between roughly 0.75% and 3% on the same $50K Texas bond — $375/yr vs $1,500/yr at the same bond amount. Two claims inside the look-back window and most carriers decline rather than re-rate. The state DMV doesn’t publish this because the claim filing sits with the surety, not the licensing agency.
- Volume-tier renewal mechanics in NY and SC. The renewal mechanic in New York and South Carolina compounds in two directions at once: when reported sales cross a tier boundary, the bond amount steps up at the next renewal AND the surety often tightens the rate, because the volume jump correlates in carrier loss data with higher claims frequency. The illustrative math on a New York dealer crossing from Tier 1 to Tier 2 at renewal: a $20,000 bond at 1.0% (\$200/yr) becomes a $50,000 bond at 1.5% (\$750/yr) — nearly 4× the year-1 premium, on the same dealership.
- Multi-state operators owe a separate bond per state, plus per-location stacking. A Texas dealer expanding into Illinois files an Illinois-specific $50K bond per Illinois lot in addition to the existing Texas bond. North Carolina adds $25K for each additional salesroom under G.S. 20-288, which stacks the same way. The operative point for cost planning: bonds don’t port across state lines, and per-location and per-salesroom additions in IL and NC need to be modeled into any expansion pro forma before signing the lease.
Worked example: New York Tier 1 → Tier 2. A New York dealer who quotes year 1 at 1.0% on the $20,000 VTL § 415 Tier-1 bond pays $200/yr. If reported sales cross 50 retail in year 1, the bond steps to the $50,000 Tier-2 amount at next renewal. Holding the rate flat, that produces a $500/yr premium — 2.5× year 1. If the surety also re-rates the renewal at 1.5% (a typical tier-jump rate adjustment under most carriers’ filed schemes), the renewal premium becomes $750 — 3.75× the year-1 number, on what looks superficially like the same bond. This is honest math from public bond rates and the published NY tier statute, not a projection.
Sources: SFAA-filed dealer-bond rate scheme (carrier filings with state insurance departments); NY VTL § 415; NCGS § 20-288. Mechanics described are general to the surety dealer-bond line and are not specific to any one carrier’s underwriting guidelines.
Estimates use carrier rate bands current as of May 2026. Final premium is set by the underwriting surety at application based on credit, dealer experience, and carrier appetite. Sources cited inline above.
Most state dealer bonds run on annual terms — one year of coverage, one premium payment, re-underwritten each renewal. Two jurisdictions structure the bond on multi-year terms, where the full premium is paid up front:
- Georgia — 2-year term, $35,000 bond. A 2.0% rate produces a $1,400 upfront premium covering both years.
- Tennessee — 2-year term, $50,000 Motor Vehicle Commission bond.
The cash-flow implication: in a 2-year-term state, the year-2 premium is locked at the year-1 rate even if your credit declines mid-cycle. That’s a cost benefit on declining credit and a cost penalty if your credit improves and you can’t shop the bond mid-term. The structural framing for dealers in 2-year states: the upfront premium functions as a hedge against rate volatility, not merely a cash outflow.
The other timing factor: continuous bonds vs term bonds. Most dealer bonds are "continuous form" — the bond stays in force until canceled, and the premium is paid annually for continuing coverage. A few states historically used "term bonds" with explicit start/end dates, but the continuous form is now near-universal. Cancellation typically requires 60–90 days’ written notice to the obligee state agency, so a dealer planning to surrender a license should start the bond cancellation paperwork early to avoid paying for an extra renewal year.
For more on how surety carriers price bonds across all surety lines, see our full surety bond cost guide and the surety bond basics primer.
- Pull your state DMV’s dealer-licensing PDF. Every state lists the current bond amount on its dealer-licensing application form or instruction sheet (TxDMV form VTR-301, FLHSMV HSMV 86056, NY DMV MV-50 series, etc.). Download the current-revision PDF directly from the state’s .gov domain — not a third-party copy. The bond amount printed on the official form supersedes any external citation, including this page. A starting directory is the AAMVA jurisdiction directory (lists every state DMV / motor vehicle agency with current contact links).
- Check your state insurance department’s surety rate filings. Surety carriers must file their dealer-bond rate scheme (the percentage applied to the bond amount, by credit tier) with the state insurance commissioner before writing business. Most state DOIs publish searchable rate-filing databases through SERFF (System for Electronic Rate and Form Filing). The NAIC SERFF directory links to each state’s public-access portal — search by line of business “Surety” and product subtype “License & Permit / Motor Vehicle Dealer” to see the actual filed rate bands.
- Call any U.S. Treasury-Listed surety for a fast quote. The Department of the Treasury Bureau of the Fiscal Service publishes Circular 570 — Companies Holding Certificates of Authority as Acceptable Sureties (the “T-Listed” carriers, ~245 active). Any carrier on the list can quote a dealer bond on the spot through any licensed agent — the rate filings cited above tell you what they’re permitted to charge.
- Compare against the calculator on this page. Run the same state, bond amount, and credit band through the inline auto dealer bond cost calculator. If the calculator’s premium range and the carrier’s actual quote are within the same band, the file is priced consistently with the SFAA-filed market. If the carrier’s number is materially higher, ask the agent which underwriting flag drove the surcharge and consider re-shopping with a second T-Listed carrier.
External links above are .gov / NAIC / AAMVA / SFAA primary sources. Bond statutes and carrier rate filings verified May 2026; verify the current bond amount at your state’s DMV before relying on any third-party cost guide for a budget number.
How much does an auto dealer bond cost?
Auto dealer bond premiums typically range from $250 to $3,000+ per year for the most common bond amounts. With preferred personal credit (700+ FICO), expect 0.75% – 1.5% of the bond amount: a $25,000 Florida bond runs about $190–$375; a $50,000 Texas or California bond runs about $375–$750. Subprime credit (under 650 FICO) pushes the rate to 3% – 10%, so the same $50,000 bond can cost $1,500–$5,000 a year. Cost is driven by the state-required bond amount and the owner’s personal credit — not by how many cars you sell or how long you’ve been in business (with the volume-tier exceptions noted below).
Which states have volume-tier auto dealer bonds vs flat-rate bonds?
Three states scale the bond with annual sales volume. Maryland runs from $5,000 to $300,000 depending on dealer type and sales volume. New York tiers at three breakpoints (under 50: $20K; 50–200: $50K; over 200: $100K). South Carolina ladders $30,000 (under 150 sales) up to $50,000. Two states add to the bond for each additional site: Illinois ($50,000 per location) and North Carolina ($50,000 for the first established salesroom plus $25,000 for each additional salesroom). The remaining 45+ states use a single flat bond amount that doesn’t flex with how many vehicles cross your lot.
Why did Texas double the auto dealer bond from $25,000 to $50,000?
Texas doubled the General Distinguishing Number (GDN) bond from $25,000 to $50,000 effective September 1, 2021, under House Bill 3533, which amended the Transportation Code. The increase was driven by consumer-protection claims data showing the prior $25,000 cap was insufficient to fully cover title-skipping, odometer fraud, and curbstoning claims at multi-claim dealers. Premium roughly doubled in lock-step — a dealer paying $250/year on the old $25,000 bond at 1% now pays $500/year on the new $50,000 bond at the same rate. This is the single largest dealer-bond increase any major state has implemented in the past decade and is the reason "Texas dealer bond cost" became one of the highest-volume dealer-bond search queries in 2022–2023.
Which states have the smallest auto dealer bond amounts?
On bond amount alone, New Jersey requires a $10,000 bond. California wholesale-only dealers are required to post just $10,000 (versus $50,000 retail), which is a low-cost entry point into California dealer licensing. On total cost-of-licensing, Florida ($25K bond) and Pennsylvania ($20K used) are cost-effective for full retail used-car dealers. Idaho ($20K) is also a low-amount state. Which state costs least depends on your dealer license class — wholesale-only and motorcycle-only licenses generally carry lower bond amounts than full retail across most jurisdictions.
Do I pay the auto dealer bond premium every year, or once?
The premium is paid for the term of the bond, not as a one-time fee. Most states issue annual bonds that renew each year — you pay the premium every 12 months. Two jurisdictions use 2-year terms (Georgia, Tennessee), where you pay the full multi-year premium upfront and re-shop at renewal. The bond itself is "continuous form" in most states — it stays in force until canceled with proper notice to the state DMV. Renewal premium is set by the surety at each renewal based on your updated credit, claims history on the bond, and dealer experience. Clean renewals frequently see the rate drop by 25–50 basis points after year 2 or 3.
Can I get an auto dealer bond with bad credit?
Yes — auto dealer bonds are available in all 50 states for applicants with FICO scores well below 600, but the premium scales with credit risk. Preferred-credit applicants pay 0.75% – 1.5% of the bond amount; standard credit pays 1.5% – 3%; subprime credit pays 3% – 10%, with the highest-risk applicants quoting at the upper end. A $50,000 Texas bond at 8% costs $4,000/year vs $500/year at 1%. Some carriers also require additional collateral (cash, irrevocable letter of credit, or co-indemnity from a higher-credit signer) on bonds above $50,000 with low credit. The bond is not denied — it just costs more, and a higher-credit co-indemnitor can cut the rate substantially. See our guide on avoiding bond claims for what carriers actually score on at renewal.
How much does an auction dealer license cost in Florida?
In Florida, the application fee for an auction dealer license is $300. Florida requires each motor vehicle dealer applicant, including auction, to carry a $25,000 surety bond (form 86020) or an irrevocable letter of credit, plus Garage Liability Insurance of $25,000 combined single-limit and $10,000 PIP; additional license locations are $50. Auction applicants may instead submit general liability coupled with a business automobile policy meeting the same limits. Your dealership location must be approved by a Regional Office. Once you have found a location, contact your local Regional Office to schedule an appointment to have the site inspected, and a Division of Motorist Services Compliance Examiner will inspect it. It is recommended that you not sign a lease until the Department has approved the site.
Sources: FLHSMV: Form 86056 · Florida HSMV: Motor vehicle, RV and mobile home dealer and broker licenses
Highest-volume state pages
Tiered & multi-location states
Methodology: Bond amounts and statutes verified May 2026 against the source state DMV, secretary of state, motor vehicle commission, or department of revenue website. Premium ranges reflect carrier rate filings with state insurance departments (filed under the SFAA dealer-bond product line) cross-referenced against publicly quoted bonds across the BuySuretyBonds.com network. State bond amounts are subject to legislative change — always verify the bond amount on the linked .gov source before filing your bond at license application.
YMYL disclaimer: This page is a research compilation, not legal or financial advice. Final bond requirements are set by the licensing state. Final premium is set by the underwriting surety at the time of application based on your credit, dealer experience, indemnitor structure, and the carrier’s appetite. Auto dealer bonds protect the consumer and the state, not the dealer.
Your State's DMV Sets the Bond Amount — We Shop the Premium
Every dealer bond amount on this page is fixed by the state DMV or MVD — you can't negotiate it down. What you can shop is the premium rate the surety charges against that amount. Pick your state from the dropdown and we'll pull the exact statutory bond amount and return a firm premium quote from carriers licensed in your state.
Compare costs across states on our all-50-state auto dealer bond hub or see how credit and bond amount interact in the full surety bond cost guide.
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