Maryland Auto Dealer Bond

1. Apply for Your Maryland Auto Dealer Bond

With our brief online application, you can apply for your new Maryland auto dealer bond within a few minutes. For over 10 years, our respected surety company has served customers in Maryland, and bonds are available to suit all needs. 

Lewis was eager to complete his auto dealer license application quickly, so he chose our service for its fast process. He filled out the application online, received an instant bond quote, and, after paying the premium, immediately received the bond via email.

2. Review Your Quote

We bond over 99% of applicants and work with even with bad credit scores. After completing the application, your quote will be delivered instantly. If your bond request is more complex, you will receive a quote from us within 48 hours.

3. Pay the Premium Online

Everything about our bonding process is fast and easy, including making the premium payment. We will process your auto dealer bond and email it to you after receiving the payment. Your bond is also available via mail, if requested.

Our team of friendly bond experts is dedicated to your satisfaction, and we will happily assist you with your purchase and answer your questions. Please contact us or call us at (877) 514-5146 for personalized assistance.

The Maryland Department of Transportation Motor Vehicle Administration is the authority for dealer licensing. Dealers selling new and used vehicles, motorcycles, trailers, emergency vehicles and vehicles at wholesale must be licensed. Licensing is mandated under COMAR Title 12, Subtitle 111.

Bond requirements are based on the type of vehicles sold and how many were sold. For new vehicle dealers, bond amounts range from $50,000 to $300,000. 

Used vehicle dealers, wholesale vehicle dealers, and trailer dealers (for trailers 15 feet or longer) require bonds between $50,000 and $150,000.

Trailer dealers with trailers under 15 feet in length and those selling boat trailers require a $5,000 bond. Manufacturer, Second Stage Manufacturer, Distributor, or Factory Branch License bond amounts range between $25,000 and $150,000.

As for the Title Service Agent, it requires a $50,000 bond.

The Maryland auto dealer bond obligee is the Administrator of Motor Vehicles.

The bond runs concurrently with the dealer license. It is continued with the license renewal unless the bond is canceled. A 45-day written notice delivered by certified mail to the Administrator of Motor Vehicles is required to cancel the bond. 

The total liability against the bond is limited to its penal sum for its lifetime. This is a cumulative total liability regardless of how many times the bond is renewed.

While the bond is renewed with each license renewal, the bond’s premium payment is due annually. Failure to pay the bond will result in cancellation. If the bond is canceled, a new bond must be provided to the Motor Vehicle Administration to avoid the loss of the dealer license.

Our bond experts will contact you prior to the premium payment’s due date to help you maintain your bond. At that time, you will receive instructions to pay your premium online.

In order to file a claim against your business in Maryland, the claimant must contact the surety company. An investigation will be conducted to review the claim’s validity. In the event the claim is not validated, the claim is denied. 

If the claim is substantiated, the claimant will be compensated accordingly based on the terms of the bond. The compensation is limited by the bond’s penal sum and the cumulative bond penalty. You must then reimburse the surety company for the sum of the claim.

The Maryland Department of Transportation Motor Vehicle Administration is the authoring entity on dealer licensing. In addition, our bond experts can help you learn how to get a Maryland auto dealer license. Initial documentation required to apply for a dealer license includes:

• Application (packet contains all required forms)
• Surety bond
• FEIN or EIN (Form CP-575)
• Criminal Background Check Authorization (Form CS-011)
• Zoning Approval Form (CS-053)
• Authorization to do business from the Department of Assessment and Taxation
• Repair Facility Contract (CS-125)
• Satisfactory property inspection
• Completion of Dealer Orientation
• Application fees: 

For more information and to submit the required documentation, contact:

Maryland Department of Transportation Motor Vehicle Division
Business Licensing and Compliance
6601 Ritchie Highway, NE
Glen Burnie, MD 21062
Phone: (410) 768-7000