North Dakota — Motor Vehicle Dealer Bond
North Dakota motor vehicle dealers use $25,000 bond security for each annual license period. Have the dealership's legal name and physical address ready, then start the application with RLI.
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- Recorded state
- North Dakota
- Category
- Vehicles, titles & transportation
What this bond does
This bond protects individuals who sustain injury while dealing with a licensed motor vehicle dealer in North Dakota. It ensures that the principal, or dealer, faithfully adheres to the statutes set forth in Title 39 of the North Dakota Century Code during their period of operation.
- Who needs it
- Applicants for a North Dakota motor vehicle dealer license who are required by the state to furnish a surety bond to fulfill licensing prerequisites.
- Who it protects
- The bond provides financial indemnification for losses resulting from a dealer’s failure to comply with the applicable provisions of Title 39. The coverage is capped at a penal sum of $25,000 per annual license period, acting as a protection for third parties transacting business with the dealer.
Your bond option
This is the option on record for this bond.
- Bond optionPurchase Now (opens in a new tab)Continue to our secure checkout partner, RLI (opens in a new tab).
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
- North Dakota Motor Vehicle Dealer Bond Form (SFN 02933) (opens in a new tab)Checked October 18, 2026
Have these ready
- Match the business's legal name and physical address to the dealer license application.
- Have the DOT bond form and requested effective dates available for the provider application.
- After issuance, arrange the required signatures, witnessing and acknowledgment before submitting the bond with the licensing documents.
Questions about this bond
What is the penal sum of the North Dakota Motor Vehicle Dealer Bond?
The bond is issued in the amount of $25,000 per annual license period.
Does this bond provide coverage for the state government only?
No, the bond protects any third party sustaining injury within the terms of the bond while transacting business with the dealer.
Can the surety cancel the bond during the license period?
Yes, the surety may cancel the bond by sending written notice via Certified Mail to the principal and the Department of Transportation, with cancellation taking effect 30 days after the notice is mailed.
Is the bond amount cumulative over several years?
The bond constitutes a new $25,000 obligation for each annual license period; the liability of the surety is limited to $25,000 for any single annual license period.