This bond guarantees that auto repair shops will comply with local consumer protection and repair ordinances. Bond amounts typically range from $5,000 to $25,000 depending on the municipality. The bond protects consumers from fraudulent practices, incomplete repairs, or violations of repair shop regulations.
Overview
What it is.
This bond guarantees that auto repair shops will comply with local consumer protection and repair ordinances. Bond amounts typically range from $5,000 to $25,000 depending on the municipality. The bond protects consumers from fraudulent practices, incomplete repairs, or violations of repair shop regulations.
Who usually needs it
Auto repair shops, garages, and automotive service facilities that are required by their city or county to obtain a business license or repair shop permit. Requirements vary by municipality - some Indiana cities and counties mandate this bond as part of their local consumer protection ordinances, while others do not. Check with your local licensing authorit…
Pricing & timing
What to expect.
Generic pricing
License bonds are required by state and local governments to ensure compliance with industry regulations. Typical Pricing:. • Small bonds (under $25,000): Typically $100–$250 per year (flat fee). • Larger license bonds: Commonly around 1–5% of the bond amount annually. • Credit impact: Good credit: starting around 1–2% · Average credit: typically 2–4% · Credit challenges: often 4–5% or higher. Same-day approval is typical for many common license bonds. Some license bonds may price higher de…
Typical timeframe
Issuance timeframe varies by bond type and underwriting
Application
What to do next.
Tell us the bond name, state, and amount on your form.
Share business and applicant info so the team can quote it.
Sign and pay; we issue the bond and send you the documents.
Keep your effective date and renewal date on file with us.
Start the application.
You are on the exact bond page. The next step is to start the quick application.
StateINBond amount$5,000ObligeeCity or County Licensing AuthorityBond classLicense BondCategoryMotor VehicleBondIndiana Auto Repair Shop BondPlain descriptionThis bond guarantees that auto repair shops will comply with local consumer protection and repair ordinances. Bond amounts typically range from $5,000 to $25,000 depending on the municipality. The bond protects consumer…Who needs this bondAuto repair shops, garages, and automotive service facilities that are required by their city or county to obtain a business license or repair shop permit. Requirements vary by municipality - some Indiana cities and cou…
FAQ
Common questions.
Does Indiana require all auto repair shops to have a surety bond?
No, Indiana does not have a statewide requirement for auto repair shop bonds. Bond requirements are established at the local level by individual cities and counties. Some municipalities require auto repair shops to post a bond (typically $5,000 to $25,000) as part of their consumer protection ordinances, while others only require a general business license without a bond. You'll need to check with your specific city or county licensing authority to determine if a bond is required in your area.
What does the Indiana Auto Repair Shop Bond cover?
The Indiana Auto Repair Shop Bond protects consumers from fraudulent repair practices, violations of local consumer protection ordinances, incomplete or substandard repair work, and failure to honor warranties or guarantees. If a repair shop violates local regulations or fails to fulfill its obligations to customers, affected consumers can file a claim against the bond to recover financial damages up to the bond amount.
How much does the Indiana Auto Repair Shop Bond cost?
The cost of an Indiana Auto Repair Shop Bond typically ranges from $100 to $250 per year for a $5,000 bond with good credit. For bonds up to $25,000, premiums typically range from 1-5% of the bond amount annually depending on your credit score, business financials, and years in operation. Applicants with strong credit (700+) usually qualify for rates around 1-2%, while those with average credit may pay 2-4%. The exact cost depends on the bond amount required by your municipality and your individual risk factors.
