Motor Vehicle Inspectors In Arizona Now Subject to Bonding Requirements

Published: Jun 29, 2016
A motor vehicle inspection bond is now required in Arizona of companies performing level one motor vehicle inspections.

Motor vehicle towing or inspection companies in Arizona performing level one inspections are now required to obtain a motor vehicle inspection bond!

Recently Arizona State Legislature passed House Bill 2444 which amends section 28-5104 of the Arizona Revised Statutes. In subsection F of the revised section, a new motor vehicle inspection bond requirement for motor vehicle inspectors in Arizona is inserted.

If you are new to surety bonds, check out our ‘What is a Surety Bond‘ page. For more information on the bond requirement, see below!

Motor Vehicle Inspection Bond Requirement Details

As of now, towing or inspection companies whose employees conduct level one motor vehicle inspections in Arizona are obliged to post a $25,000 motor vehicle inspection bond. The bond must be submitted to the Arizona Department of Transportation upon licensure and once it is accepted effectively applies to every location of the towing company in the state of Arizona.

The differences between level one, two and three inspections are defined in Section 28-2011. A level one inspection consists in “matching the public vehicle identification number and a secondary vehicle identification number to the vehicle ownership documents to determine the identity of the vehicle.”

According to the Arizona Department of Transportation, this type of inspection is usually conducted on out-of-state vehicles which lack proof of title and/or registration as well as for bonded titles, and so only applies to a limited number of vehicles.

The surety bond requirement has been put in place so as to guarantee that towing companies whose employees perform level one inspection will comply with House Bill 2444 as well as the Arizona Revised Statutes relating to motor vehicle towing companies.

Motor Vehicle Inspection Bond Cost and Getting Bonded

The $25,000 requirement does not mean that to obtain the bond companies need to pay this amount. Bond cost is typically only a very small percentage of the full bonding amount. How much exactly you will have to pay is determined on a case-by-case basis.

To get a free bond quote on your Arizona motor vehicle inspection bond, submit your online application here. As soon as we process your application we will contact you with your very own and entirely free bond quote.

For more information on getting bonded, call Lance Surety Bonds’ professionals at (877) 514-5146 anytime!

 

The following two tabs change content below.
Victor Lance is the founder and president of Lance Surety Bond Associates, Inc. He began his career as an officer in the U.S. Marine Corps, serving two combat tours. As president of Lance Surety, he now focuses on educating and assisting small businesses throughout the country with various license and bond requirements. Victor graduated from Villanova University with a degree in Business Administration and holds a Masters in Business Administration (MBA) from the University of Michigan's Ross School of Business.