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Louisiana Motor Vehicle Dealer, Dismantler/Recycler, Public License Tag Agent and Inspection Bonds


Louisiana Motor Vehicle Dealer Bond Information

Surety bonds must be posted for those operating motor vehicle dealers and other motor vehicle facilities in the State of Louisiana. Bonds are for the benefit of the Louisiana Motor Vehicle Commission. Surety bond amounts are outlined below and specific requirements are based on business type and sales volume.

  • $50,000 surety bond for Used Vehicle Dealers
  • $20,000 surety bond for New Vehicle Dealers
  • $20,000 surety bond for Vehicle Facilities and Specialty Dealers
  • $20,000 or $30,000 surety bond for Dismantler / Recyclers
  • $5,000 surety bond for Inspection Stations
  • $100,000 surety bond for Public License Tag Agents

How Much Does a Motor Vehicle Dealer Bond Cost in Louisiana?

Most Common Bonds

Motor Vehicle Dealer Bond - Used Vehicle Dealers

$50,000 Bond

Motor Vehicle Public License Tag Agent Bond

$100,000 Bond

Motor Vehicle Dismantler / Recycler Bond

Additional Bonds

Motor Vehicle Inspection Station Bond

$5,000 Bond

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Motor Vehicle Dealer Bond - Facilities and Specialty Dealers

$20,000 Bond

Get a Free Quote Takes 2 Minutes
Motor Vehicle Dealer Bond - For Dealers of New Vehicles

$20,000 Bond

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What does a Motor Vehicle Dealer Bond Protect Against?

The surety bond ensures lawful business practices and compliance with applicable rules and regulations set out in Chapters 4 and 6 of Title 32 of the Louisiana Revised Statutes of 1950. Among other requirements, the bonded principal must comply with contracts and laws related to the sale, repair or exchange of vehicles. The dealer or facility must also adhere to licensing, tax, title and registration guidelines.

In a situation where the bonded customer (principal) fails to comply with surety bonding terms and requirements, the surety company is financially obligated to cover damages up to the bond amount or penal sum of the surety bond. As with all surety bonds, the principal agrees to indemnify the surety for any such losses paid to third parties.

Other Helpful Information and Links

Applicants should confirm required surety bond expiration date with the state prior to requesting a quote. Typically, bonds in Districts 1, 2 and 3 expire on December 31st of even years and bonds in Districts 4 and 5 expire on December 31st of odd years.

Louisiana Motor Vehicle Commission