Various factors influence the cost of a Nevada car dealer bond. Your credit score is the most significant factor, but the cost can also be influenced by your years of experience and the surety company providing the bond. Our best rate for the $100,000 motor vehicle dealer bond is $400 for a one year bond. The exact cost ranges between 0.6% and 10% of the total bonded amount. The better your credit score, the better rate you will get on your bond.
We usually get a 15% annual discount if you buy a bond for more than 1 year. We can provide the most affordable prices due to our strong network of carriers, but if you receive a better rate, let us know, and we’ll do our best to beat it.
Nevada auto dealer bond is a three-party contract where the surety company (the surety) guarantees the Nevada auto dealer (principal of the bond) will comply with laws set by the Department of Motor Vehicle (the obligee). If the dealer fails to comply with the terms in Chapters 482 and 490 of the Nevada Revised Statutes, i.e., not remitting sales taxes to the government or committing title fraud. Then, a claim can be filed against the bond to provide financial compensation to the affected parties. The surety company will investigate if the claim is valid. The surety company will pay up to the maximum bond amount if the claim is valid. Then, the bond's principal (the dealer) must reimburse the surety for all the money paid out, including attorney fees.
Anyone who sells more than three new or used cars within Nevada needs an auto dealer bond. To legally conduct such operations, one must secure a license with the Department of Motor Vehicles. This is where the Nevada motor vehicle surety bond comes into play.
The most common bond is the $100,000 motor vehicle dealer bond. This bond requirement is intended to safeguard consumers' interests and maintain the integrity of the automotive sales industry. Starting at a reasonable $400 per year, the Nevada auto dealer bond is critical to your licensure process.
Simply start by filling out the form and provide the following information
Once you've submitted this information, our team will leverage it to seek the most favorable quotes from our extensive network of over 10 insurance partners. If you find a quote that’s favorable, we can move forward by sending you a payment link. Once your payment is processed, you'll receive your bond via email.
If your business is to change, it’s extremely important to ensure your bond is updated. When these changes happen, you would want to contact your Surety company and request a rider to modify the original bond to fit the changes to your business. This makes it easy to keep your bond updated, and unless there are any changes to the bond amount or the risk profile changes, the premium should not change.
Even if your credit isn't great, you can still get a Nevada Auto Dealer Bond. But the bond might cost you more if your credit isn't the best. Usually, people with bad credit have to pay between 2.5% and 15% of the bond amount. For example, if you need a $100,000 bond, it could cost you anywhere from $1,500 to $15,000.
Absolutely! If your business has been open for a minimum of five years and has consistently maintained a pristine license record with the Nevada Department of Motor Vehicles, you could help reduce the cost of your bond. You’ll just need to file a bond reduction request form with the Nevada Department of Motor Vehicles and await their approval. It's worth noting that this reduction is subject to certain constraints; it cannot exceed a 50% reduction of your existing bond amount.