Every state requires a surety bond before you can sell used cars. Search below for your state's bond amount, license renewal date, renewal cycle, and the obligee (the state agency that holds the bond).
Type a state name or pick from the dropdown. Information current as of 2026.
A used auto dealer bond is a license requirement, not insurance for you. It protects your customers and the state if you fail to follow dealer laws.
You pay a small premium (usually 1% to 5% of the bond amount) for one or two years of coverage. The full bond amount is the coverage limit, not what you pay.
You submit the bond as part of your dealer license application or renewal. The state agency (your DMV or motor vehicle department) keeps it on file.
If you fail to deliver title, commit fraud, or break dealer laws, a harmed customer can file a claim. The surety pays valid claims and you reimburse the surety.
Most states have a 1 or 2 year bond term tied to your license renewal. We notify you well before expiration so your license stays active.