Utah Motor Vehicle Dealer Bond
Overview
Utah carries one of the higher dealer bond amounts in the country, set directly in the Motor Vehicle Business Regulation Act. Utah Code section 41-3-205 requires motor vehicle dealer license applicants to file a corporate surety bond of $75,000 — a figure in place since July 1, 2006 — with the bond conditioned on the applicant's conduct of business under the license. Licensing is administered by the Motor Vehicle Enforcement Division (MVED) within the Utah State Tax Commission, and the license does not issue without the bond.
Who Needs This Bond?
Applicants for a Utah motor vehicle dealer license through the Motor Vehicle Enforcement Division file this bond — new car dealers and used car dealers alike, since MVED's own guidance applies the $75,000 requirement to both. If MVED's dealer licensing checklist lists a surety bond, this is the filing, executed with the dealer as principal and conditioned as section 41-3-205 requires.
What is this Bond For?
The statute conditions the bond on the dealer's conduct of business under the license: it protects parties who suffer losses from the dealer's fraud, fraudulent representations, or violations of Utah's motor vehicle business laws. A harmed party can recover against the bond up to its $75,000 amount, and the dealer remains liable to reimburse the surety for any valid claim paid — the bond enforces accountability rather than absorbing the dealer's losses.
When is it Required?
The executed bond must be filed as part of your license application — MVED will not issue the dealer license without it — and coverage must remain continuous through every renewal. Because the amount is fixed by statute, there is no discretionary figure to confirm: every standard Utah dealer bond is written at $75,000, the level the legislature set effective July 1, 2006.
Where Does it Apply?
This is a statewide Utah requirement administered by the Motor Vehicle Enforcement Division within the Utah State Tax Commission, which licenses dealers under the Motor Vehicle Business Regulation Act (Utah Code Title 41, Chapter 3). It applies to licensed dealers in every Utah county, because the obligation comes from state statute rather than any local rule.
How to Buy Online
Click 'Buy This Bond Online' on this page and the secure surety portal opens in a new tab. Complete the short application, review your bond documents, and pay securely in one session. Your executed Utah dealer bond is ready to file with MVED as soon as you finish.
Why Bond Titan?
Bond Titan is powered by The Southern Agency, a licensed surety agency, and every requirement on this page is cited to the Utah Code and MVED's official guidance in the Official Sources section below — verify the rules yourself before you buy. The online flow gets your executed bond to you in time for your MVED filing.
Official Sources
The requirements described on this page are verified against the official sources below.
- $75,000 corporate surety bond required for motor vehicle dealer licensure (amount effective July 1, 2006), conditioned on conduct of business under the license: Utah Code §41-3-205 (verified July 16, 2026)
- MVED guidance applying the $75,000 bond to new and used dealer licenses: Utah DMV / MVED — Dealer Bonds (verified July 16, 2026)
