Washington Motor Vehicle Dealer Bond Overview
- Purpose: To guarantee licensed motor vehicle professionals follow state laws and regulations
- Who Needs It: Motor vehicle wreckers, trailer and mobile home manufacturers, tow truck operators, and vessel and auto dealers
- Regulating Body: The Washington Department of Licensing (DoL)
- Bond Amount: $1,000–$40,000 based on the license type, $30,000 for standard dealers
- Premium Price: Credit-based, typically 0.65–5% of the bond amount
What Is a Washington Motor Vehicle Dealer or Business Bond?
A Washington motor vehicle business license bond is a form of financial security required for various business owners in the state, including auto dealers.
This bond protects consumers from financial loss up to the full bond amount if a motor vehicle business fails to operate according to Washington state law.
Bond Coverage Requirements for Motor Vehicle Licensees
New or used vehicle dealers, vessel dealers, wreckers, tow truck operators, travel trailer manufacturers, and mobile home manufacturers all need a surety bond to operate in Washington. See the required bond coverage amounts below.
| License Type | Bond Requirement |
|---|---|
| Wrecker | $1,000 |
| Vessel Dealer, Registered Tow Truck Operator, Misc. Vehicle Dealer | $5,000 |
| Travel Trailer Manufacturer | $20,000 |
| New or Used Vehicle Dealers | $30,000 |
| Mobile Home Manufacturer | $40,000 |
If you're trying to register a vehicle without an original title, a separate Washington vehicle ownership bond is required.
If you are selling airplanes, the state requires a $50,000 aircraft dealer's license bond.
How Much Do Motor Vehicle Bonds Cost in Washington?
Washington motor vehicle bond costs vary depending on the license type. You’ll pay an upfront premium for a year of coverage.
Wrecker bonds, vessel dealer bonds, registered tow truck operator bonds, and miscellaneous vehicle dealer bonds cost $100 per year.
Travel trailer and mobile home manufacturers as well as new and used auto dealers must apply for a quote. The prices for these bonds are determined after underwriting review.
- New and used vehicle dealer bonds start at $196.
- Mobile home manufacturer bonds start at $262.
- Travel trailer manufacturer bonds start at $131.
Apply now to get your free quote!
SuretyBonds.com offers the lowest available rates from our nationwide provider network with no added fees.
How Does a Washington Motor Vehicle License Bond Work?
These bonds create a contract between you, the DoL and a third-party surety company. It creates a financial safety net if you don’t uphold your obligation to the state.
- Principal: The motor vehicle business owner filing the bond
- Obligee: The Washington Department of Licensing
- Surety: The surety provider backing the bond
By filing a Washington motor vehicle business surety bond, you agree to follow laws and regulations. If you don’t, the surety company will pay out claims to anybody harmed by your actions. You would then reimburse the surety company for damages paid up to the full bond amount.
If you're trying to register a vehicle without an original title, a separate Washington vehicle ownership bond is required.
If you are selling airplanes, the state requires a $50,000 aircraft dealer's license bond.
How Do I Get a Motor Vehicle Dealer Bond in Washington?
You can buy a wrecker, vessel dealer, registered tow truck operator, or miscellaneous vehicle dealer bond online 24/7.
To get a vehicle dealer, travel trailer home manufacturer, or mobile home manufacturer bond, submit a quick application form on this page.
We’ll provide a quote within one business day or less. Once you've paid your invoice, we’ll email your official surety bond.
How Do I File My Bond?
After receiving your bond, the final step is filing it with the Department of Licensing. You can include it with your motor vehicle license application and submit it online or by mail.
How Do I Renew My Bond?
Your bond will last for one year. Before it expires, you can renew it to extend coverage for another year.
As a SuretyBonds.com client, you’ll receive reminders and a renewal invoice. All you need to do is pay the renewal premium and your bond will stay active.
How to Get a Motor Vehicle Business License in Washington
You can apply for your license online (10 days to process) or by mailing your application to the following address (up to 6 weeks to process).
State of Washington
Business Licensing Service
P.O. Box 9034
Olympia, WA 98507-9034
Find complete steps to licensing in our guide: How to Get a Washington Motor Vehicle Dealer License.
More Resources
- Auto Dealer Bonds Guide - All States
- Vehicle/Vessel Dealer, Vehicle Manufacturer, Registered Tow Truck Operator, or Wrecker Business Bond Form
- Washington State Department of Licensing: Vehicle Dealer
- Washington State Department of Licensing: Vessel Dealer
- Washington State Department of Licensing: Vehicle Manufacturers
- Washington State Department of Licensing: Registered Tow Truck Operator (RTTO)
- Washington State Department of Licensing: Motor Vehicle Wrecker
