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Insurance Needs of California
Residents & Businesses Since 1986

Auto Dealer Bonds

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Dealer Bonds – 50K and 10K Dealer Bonds

Coffer Insurance Services has been specializing in Motor Vehicle Dealer Bonds for over 20 years
working hard to bring Dealer’s the lowest prices possible and best customer service available.
Motor Vehicle Dealer Bonds (50K or 10K) are required by the California Department of Motor
Vehicles to obtain a Dealer’s License. To maintain your dealer license you must renew your bond every year to keep your license active.

Most Common Motor Vehicle Dealer Bonds

$50,000(Retail) Motor Vehicle Dealer Bond- All Retail Dealer’s must purchase a $50,000 Motor
Vehicle Dealer Bond. Wholesale Dealer’s if working with 25 or more vehicles per year must have a $50,000 Motor Vehicle Dealer Bond even if you have a Wholesale-Only license.

$10,000 Wholesale-Only Dealer Bond– Wholesale-Only Dealer’s are required a $10,000 Bond
if they are working with under 25 vehicles per year.
*Rates are based on applicants credit score. Premiums will vary.
Other Dealer/Vehicle Bonds we offer:

  • $25,000 Registration Service Bond
  • $5,000 Vehicle Verifier Bond
  • Defective Title Bonds (Car Title Bond)
  • $50,000 Commercial Requester Account Bond

Why Is the Motor Vehicle Dealer Bond Required?

The motor vehicle bond is a requirement put in place by the California State Legislature and
enforced by the CA DMV Occupational Division to protect the public from auto dealers. Should an infraction occur the auto dealer bond covers the claimant up to the dollar limit of the bond.

Consumers are protected from any loss caused by fraud and failure to transfer registration. The bond is also security for a person who is not paid for a vehicle sold to a licensed dealer. Lastly, the state of California is guarded from fraud, registration, and tax and fee violations committed by the dealer. You can review  Section 11711 of the California Vehicle Code  to read more.

Go to the “FORMS” at the top of the page, choose which bond application you need,
fill it out and either email or fax it over to us to get a quote. If you need help filling it
out, give us a call (714) 237-0000 for assistance

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