Montana — Motor Club Service Company Bond
Montana's posted motor-club indemnity bond binds the company and surety to the State for $25,000. Confirm whether the deposit requirement applies to your club before ordering.
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- Recorded state
- Montana
- Bond type
- Automobile Club / Motor Club Bond
- Category
- Vehicles, titles & transportation
What this bond does
Section 61-12-304 provides for a $25,000 cash deposit or prescribed bond before licensing, subject to its established-club exception. The security addresses service-contract performance and fines or penalties for failure to comply with the motor-club provisions. It is not a particular vehicle's ownership bond.
- Who needs it
- The motor-club service company seeking authority, with its actual membership/service contract and legal organization identified. An established operator claiming the statutory exception needs the Commissioner's determination based on the required facts, not just its date of formation.
- Who it protects
- The posted indemnity names the State of Montana as obligee and requires compliance with applicable law and faithful performance of obligations to members or subscribers. Section 61-12-304 describes public protection. The bond does not replace auto liability insurance or promise every service outside the company's obligations.
Your bond option
This is the option on record for this bond.
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The bond amount describes the limit of the bond obligation, not the price. A listed amount does not establish what the requesting party requires. The premium is what you pay and must be confirmed for the actual option. An E&O limit, where listed, is separate errors and omissions insurance.
Sources
- Montana CSI: motor-club application and indemnity bond (opens in a new tab)Checked October 26, 2026
- Montana §61-12-304, 2025 compilation — secondary statutory text (opens in a new tab)Checked October 26, 2026
Have these ready
- Identify the exact motor-club company and State request.
- Bring the service contract, organizational documents and financial statement requested in the application.
- Confirm whether the statutory established-club exception has been demonstrated.
- Match the prescribed indemnity, State obligee, required sum and effective date.
- Obtain current execution/delivery instructions and retain the filed document.
Questions about this bond
Does operating for five years automatically remove the deposit?
No. The statute requires more than the preceding five years of active Montana operation plus the stated membership/contract-holder, management, service-performance and financial-responsibility conditions. Have the Commissioner confirm the required proof.
Is five years the bond's duration?
No. That operating-history test concerns the deposit exception. The posted bond can continue across years, has an aggregate limit, and contains separate notice requirements for cancellation.
Is notifying the other contracting party enough to cancel?
Not against the State. The posted form also requires the surety's notice to the State at the Insurance Commissioner's office and expiration of the stated 30 days.