Utah Auto Dealer Bonds
Auto dealer bonds protect consumers and the state. The bond amount and license type required depend on your state's DMV.
Fast approvals and straightforward guidance.
— Josh A., Los Angeles, CA via Google
Choose your bond
Simple, fast, and dealer-ready
Why Choose Us
Licensed Agents
Bond experts
US-Based Support
Real help, fast.
Fast Turnaround
Quotes in minutes.
Competitive Rates
Top carriers, low rates.
At a glance
Utah Auto Dealer Bond Key Facts
Governed by Utah Code § 41-3-205.
The basics
What Is an Auto Dealer Bond in Utah?
A Utah auto dealer bond is a surety bond you must file with the Motor Vehicle Enforcement Division (MVED) to get or renew a motor vehicle dealer license. For a new or used motor vehicle (auto) dealer, the bond is $75,000. Utah requires it under Utah Code section 41-3-205, and the amount depends on your license type: $75,000 for a motor vehicle dealer, $20,000 for a special equipment dealer, and $10,000 for a motorcycle, off-highway vehicle, or small trailer dealer.
Good to know - Required for every Utah dealer license; the amount is set by license type. A new or used motor vehicle (auto) dealer posts $75,000; a special equipment dealer posts $20,000; and a motorcycle, off-highway vehicle, or small trailer dealer or crusher posts $10,000. A body shop license also requires a $20,000 bond.
The bond is a promise that you will run your dealership honestly and follow Utah’s motor vehicle laws — for example, handling titles correctly and paying the taxes and fees you owe. The bond names the people of the State of Utah as the obligee, which is the party it protects.
If you break those rules and cause someone a financial loss, that person can file a claim against your bond, up to its full amount. The bond protects the public, not you: if the surety company pays a claim, you must pay the surety back. Total claims can never add up to more than the bond amount.
Utah dealer bonds must stay in effect the whole time you are in business, with no lapse. You keep the bond on file with MVED and renew it so your dealer license stays active.
Qualification
What You Need to Qualify for a Utah Auto Dealer Bond
Approval depends on your dealer license type, required coverage amount, and underwriting factors such as credit.
- You are applying for, or renewing, a Utah motor vehicle business license with the Motor Vehicle Enforcement Division (MVED), part of the Utah State Tax Commission.
- You know your license type — motor vehicle (auto) dealer, special equipment dealer, or motorcycle, off-highway vehicle, or small trailer dealer — because it sets your bond amount.
- Your bond is written by a surety company authorized in Utah with an A.M. Best rating of at least B+, naming the people of the State of Utah as the obligee.
- You have completed the required eight-hour dealer orientation course and kept your signed training certificate.
- You have an established Utah place of business zoned for vehicle sales, with a permanent sign of at least 24 square feet identifying the dealership.
- You hold a valid Utah sales tax license and can show plate (garage) insurance when you order dealer plates.
Step by step
How to Get an Auto Dealer Bond in Utah: Step by Step
Choose your Utah dealer license type
Decide which license you need. Your license type sets your bond amount: $75,000 for a motor vehicle (auto) dealer, $20,000 for a special equipment dealer, and $10,000 for a motorcycle, off-highway vehicle, or small trailer dealer or crusher.
Complete the required dealer orientation course
Every Utah dealer license applicant must attend an eight-hour dealer orientation course from a provider listed by MVED. Keep your signed training certificate — you submit it with your application.
Set up your Utah place of business
Have an established Utah location zoned for vehicle sales, post a permanent sign of at least 24 square feet showing your licensed dealership name, and get a valid Utah sales tax license (register with Form TC-69, Utah State Business and Tax Registration).
Complete your Bonded Motor Vehicle Business Application
Download and fill out the Bonded Motor Vehicle Business Application (TC-301). Use the Requirements for Obtaining a Motor Vehicle Dealer License (TC-300) checklist to gather everything MVED needs.
Bonded Motor Vehicle Business Application (TC-301)Get your Utah dealer bond
Buy your bond for the amount your license type requires and we handle the form. We issue your Utah dealer bond on the official TC-450 bond form and, in most cases, file it with MVED for you. There is no bond form for you to download, complete, or sign.
Submit your application and pass the on-site inspection
File your completed TC-301, your issued bond, your training certificate, a photo of your signed place of business, plate insurance, and your fees with MVED. Then allow about 5 to 10 working days for the required on-site inspection of your location.
Keep your bond and license active
Your Utah dealer bond must stay in effect for as long as you are in business, with no lapse. Renew your bond and license on time so your coverage never breaks — your dealer license cannot stay active without the bond on file.
Paperwork
Utah Dealer Bond Forms & Documents
The official dealer bond form. We issue this for you and, in most cases, file it with MVED — you do not download, complete, or sign it.
View formThe Utah dealer license application you complete and submit to MVED.
View formMVED’s official requirements checklist for the dealer license.
View formYou'll also need
Cost
How Utah Auto Dealer Bond Pricing Works
You do not pay the full bond amount. Utah sets the coverage by license type — $75,000 for a motor vehicle (auto) dealer, $20,000 for a special equipment dealer, and $10,000 for a motorcycle, off-highway vehicle, or small trailer dealer. That figure is the coverage, the most a claim can collect.
You pay a premium, which is a small percentage of your bond amount. Underwriting sets your rate, mostly from your personal credit. The premium is separate from MVED’s $127 license fee and other state charges.
Worked example
If you open a used car lot, your bond is $75,000. You do not pay $75,000 — you pay a premium on it, often a few hundred dollars a year for well-qualified applicants. A motorcycle or small trailer dealer’s bond is $10,000, so the premium is lower.
Filing
Filing Information
Utah State Tax Commission — Motor Vehicle Enforcement Division (MVED)
Filing notes
Utah names the people of the State of Utah as the obligee and requires the bond on the official Bond of Motor Vehicle Dealer, Special Equipment Dealer, Crusher or Body Shop (TC-450). We issue your bond on that form — there is nothing for you to fill out or sign on the bond itself.
The surety company must be authorized to do business in Utah and carry an A.M. Best rating of at least B+. The business and DBA name on the bond must match your Bonded Motor Vehicle Business Application (TC-301) exactly.
The bond must stay in effect the whole time you are licensed and in business, with no lapse. File the issued bond with your TC-301 application and fees at MVED; in most cases we file the bond with MVED for you.
FAQ
Utah Auto Dealer Bond FAQ
Yes. Every Utah motor vehicle dealer license requires a corporate surety bond, filed with the Motor Vehicle Enforcement Division (MVED) under Utah Code section 41-3-205. It is illegal to operate as a dealer without a current bond on file. The amount depends on your license type.
It is $75,000 for a motor vehicle (auto) dealer, $20,000 for a special equipment dealer, and $10,000 for a motorcycle, off-highway vehicle, or small trailer dealer or crusher. A body shop license also requires a $20,000 bond.
It depends on your license type. If you sell cars or large trailers, you are a motor vehicle dealer and need the $75,000 bond. A motorcycle, off-highway vehicle, or small trailer dealer needs $10,000, and a special equipment dealer needs $20,000.
The bond must stay in effect the whole time you are licensed and in business, with no lapse. You can buy a term of 1, 2, or 3 years (subject to approval) and renew it on time to keep your license active.
We issue your bond on the official TC-450 bond form, which names the people of the State of Utah as the obligee, and in most cases we file it with MVED for you. There is no bond form for you to complete or sign.
Yes. Utah requires all dealer license applicants to complete an eight-hour dealer orientation course from an MVED-approved provider, and you submit your signed training certificate with your application.
The Utah State Tax Commission, Motor Vehicle Enforcement Division (MVED). You can reach MVED at 801-297-2600 or 210 North 1950 West, Salt Lake City, UT 84134.
You pay a premium, not the full bond amount. The premium is a small percentage of your bond amount, based mainly on your credit. Start a quote to see your rate.
Sources
Last verified 2026-07-01. Requirements change - confirm current details with Utah State Tax Commission — Motor Vehicle Enforcement Division (MVED) before you file. This page is informational and not legal advice.
FAQ
Utah Auto Dealer Bond Questions
The cost of a Utah auto dealer bond is usually a small percentage of the state-required bond amount. Your exact premium depends on the bond amount, license type, business details, and underwriting factors such as credit.
Many auto dealer bonds can be issued the same day after you complete the application. Larger bond amounts or applications that need underwriting review may take longer.
Requirements vary by license type, but most Utah auto dealers need to complete a short application and purchase the bond amount required by the state before their license can be issued or renewed.
Often, yes. Many states have separate bond requirements for wholesale, retail, broker, or other dealer license types. Choose the bond that matches your Utah license instructions.
Ready to get started?
Have questions? Call or text +1 (888) 900-8038 to talk with a specialist or
Explore
Contact
Simple. Fast. Trusted
Shield Liability Insurance Agency
515 S Flower ST, Fl 18, Los Angeles, CA 90071
© 2026 Shield Liability Insurance Agency | Privacy Policy | Terms of Service | Contact
AutoDealersBond.com is operated by Shield Liability Insurance Agency, a California and Texas licensed insurance agency (CA License #6018195, TX License #3446536). Shield Liability Insurance Agency is not an insurance carrier and does not underwrite bonds or insurance policies. Bond and coverage availability, pricing, and issuance are subject to carrier underwriting approval, eligibility, applicable state requirements, and policy or bond terms. Availability varies by state.
