Any person or entity applying for a motor vehicle dealer license (including new, used, wholesale, motorcycle, leasing, and auction dealers) who the Commission determines lacks sufficient financial responsibility or assets. Required when: When the Commission has reasonable cause to doubt the financial responsibility or…
Overview
What it is.
Any person or entity applying for a motor vehicle dealer license (including new, used, wholesale, motorcycle, leasing, and auction dealers) who the Commission determines lacks sufficient financial responsibility or assets. Required when: When the Commission has reasonable cause to doubt the financial responsibility or…
Who usually needs it
Any person or entity applying for a motor vehicle dealer license (including new, used, wholesale, motorcycle, leasing, and auction dealers) who the Commission determines lacks sufficient financial responsibility or assets.
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.
StateKYBond amountThe Kentucky Motor Vehicle Commission determines the bond amount based on the a…Term lengthContinuousObligeeKentucky Motor Vehicle CommissionRenewalThe bond must be maintained as long as the license is active and the financial responsibility requirement is not otherwise met. Licenses are renewed annually, and the bond must remain in force.Bond classLicense BondCategoryMotor VehicleBondMotor Vehicle Dealer BondStatutory referenceKRS 190.030(9)JurisdictionState
