ATV Dealer Bonds in Idaho
If you sell all-terrain vehicles in Idaho, your dealer license comes with a bond. Ashton Agency can help identify the required bond, provide a quote, and explain where it needs to be filed.
Questions about your bond? Call our East Coast team at (800) 451-4854 or our West Coast team at (800) 452-2663, or use the quote form below.
What Is an ATV Dealer Bond
An ATV dealer bond is a license bond for dealers who sell all-terrain vehicles. It protects customers and the state if a dealer commits fraud, misrepresents a sale, or breaks the dealer licensing rules. The bond is a financial guarantee. It isn’t insurance for the dealership and it doesn’t cover damage to inventory.
Three parties are involved: the dealership required to obtain the bond (the principal), the surety company that issues it, and the Idaho Transportation Department, which requires it (the obligee). Ashton helps arrange the bond but isn’t one of those three parties. If the surety pays a valid claim, the principal has to pay the surety back.
Who Needs One and What It Covers
Idaho
The Idaho Transportation Department’s Division of Motor Vehicles licenses dealers, and Idaho Code 49-1608 requires a dealer bond before a license is issued. The amount depends on what you sell.
The $10,000 tier is for qualifying retail dealers who deal exclusively in motorcycles, motor-driven cycles, motorbikes, all-terrain vehicles, utility-type vehicles, truck campers, and snow machines. It is $20,000 for all other retail dealers, including anyone who also sells cars or trucks. The $40,000 tier is for wholesale-only dealers of used vehicles of all types.
So the ATV dealer bond is Idaho’s motor vehicle dealer bond at its lowest tier. It is not a separate ATV-only bond, and a dealer who also sells cars and trucks posts the higher amount.
The bond is conditioned on the dealer not committing fraud, making fraudulent representations, or violating the dealer chapter, department rules, federal motor vehicle safety standards, or odometer law. It can be continuous, with aggregate liability limited to the listed amount. The statute lets you use a corporate surety bond, a certificate of deposit in the form the director prescribes, or a cash deposit with the director.
If a bond is canceled, the dealer license is suspended immediately. A hearing follows within 20 days, and the license is reinstated when a valid bond is on file. The bond has to match the exact ownership, business name, and location on your license application.
Manufactured home dealers have a separate path under Idaho Code 44-2103.
Idaho dealer bond tiers:
| Dealer category | Bond amount |
|---|---|
| Qualifying retail dealers of ATVs, motorcycles, UTVs, snow machines, and truck campers only | $10,000 |
| All other retail dealers | $20,000 |
| Wholesale-only used-vehicle dealers | $40,000 |
Why Choose Ashton Agency
Real people
You can talk with a member of the Ashton team about what your dealership sells and which tier applies.
The right tier
Tell us what you sell and we’ll help you confirm whether the $10,000, $20,000, or $40,000 amount applies.
Choices and rates
We work with more than one carrier, so we can compare the bond options and rates for your dealership.
Sixty years of bonds
Ashton has been writing bonds since 1966.
Frequently Asked Questions
Is there a separate ATV dealer bond?
Not in Idaho. The ATV dealer bond is the state’s motor vehicle dealer bond at its lowest tier. It applies only to qualifying retail dealers who sell exclusively motorcycles, motor-driven cycles, motorbikes, ATVs, UTVs, truck campers, and snow machines.
What if I also sell cars or trucks?
Then you are in the "all other retail dealers" tier, and the bond is $20,000. Wholesale-only dealers of used vehicles of all types post $40,000.
Does a $10,000 bond mean I pay $10,000?
No. The $10,000 is the bond amount Idaho sets. What you pay is a premium, quoted separately for your dealership.
What happens if my bond is canceled?
Your dealer license is suspended immediately. You get a hearing within 20 days, and the license is reinstated once a valid bond is on file, so line up replacement coverage before the old bond ends.
Can I skip the bond after a few years?
The Idaho Transportation Department says a dealer who has operated at least three consecutive years without lapses or claims against the bond, and with no judgments paid through the Idaho Consumer Asset Recovery Fund during those three consecutive years, may have the option to operate without one. Ask the department whether you qualify before you let a bond go.
Request an ATV Dealer Bond Quote
Tell us about your business and we’ll follow up with a real quote.