Louisiana Auto Dealer Bond

1. Apply for Your Bond Online

We proudly provide our valued customers with a hassle-free, fast bonding experience. To begin, spend a few minutes completing the online application.

Gordon anticipated a complicated application process when he contacted us recently for an auto dealer bond. However, he applied in minutes and received an instant, free quote from us. He was pleased to learn that he could pay for the bond online, and he received the bond via email right away.

2. Review Your Quote

Bond applications are processed immediately, so our customers benefit from instant, no-obligation quotes. If your application is complex, your quote will be delivered in 48 hours or less.

3. Pay the Premium Online

To complete your purchase, make your premium payment online. We will then prepare your bond without delay and send it to you via email. We are also happy to mail the bond to you, if requested. 

We have been providing surety bonds to our customers in Louisiana for over 10 years, and our experienced team is available to help you set up your new auto dealer bond. For assistance, contact us or call us at (877) 514-5146.

The Louisiana Motor Vehicle Commission is the authority for new dealer licensing and bonds. The Louisiana Used Motor Vehicle Commission is responsible for licensing and bonds for used vehicle dealers.

The license and bond requirements are established under RS 32:1254. New motor vehicle dealers need a $20,000 bond, and used motor vehicles need a $50,000 bond. Specialty motor vehicle dealers must have a $20,000 bond, and the bond requirement for a motor vehicle facility is $10,000.

The bond runs continuously, and a copy of the current bond is required for license renewals. If the bond is canceled and not replaced within 30 days, the dealer’s license to do business in Louisiana is revoked.

A dealer bond in Louisiana remains in force until it is canceled. The premium payment must be made annually to maintain the bond. To assist our customers with bond maintenance and help them avoid a license revocation, we will be in touch prior to the premium due date with payment instructions.

To file a claim against a Louisiana auto dealer, the claimant must contact the surety company directly. After researching the claim, the surety company will determine the validity of the claim.

Unsubstantiated claims are denied. Substantiated claims are paid by the surety company up to the penal sum of the bond. However, the annual payout for all claims is capped at the penal sum. The dealer is responsible for reimbursing the surety company for all payouts.

If a claim is validated, the surety company will pay the claimant up to the bond’s penal sum. The dealer will then reimburse the surety company for the total amount of the claim.

The Louisiana car dealer license guide provides additional information about the licensing process. Specific documentation required to obtain a license varies based on the business type. These items may include:

• Application
• Educational Training Seminar Registration Form
• Surety bond
• Liability insurance
• Zoning verification
• Business signage
• A business phone number
• Ownership entity documentation
• Application fee

For more information, contact:

Louisiana Motor Vehicle Commission
3017 Kingman Street
Metairie, LA 70006
Phone: (504)838-5207

Louisiana Used Motor Vehicle Commission
3132 Valley Creek Drive
Baton Rouge, LA 70808
Phone: (225) 925-3870