Owners of Georgia auto dealerships, or individuals who are looking to start their own motor vehicle dealership or lot in Georgia, must understand all of the regulations and requirements involved to make sure their business stays in good standing and is able to continue operating. One important area is the auto dealer bond requirements for the state. Find out the basic facts and what you need to know here to make sure you don’t miss anything.
As opposed to in many other states, in Georgia, auto dealer bonds only have to be renewed once every two years. So they have a two-year shelf life, which eliminates some of the hassle of the annual renewal process that many other states face. However, it’s important to clarify that it is not simply two years from the time that any person or dealership obtained the dealer bond to begin with.
There’s a set expiration date of March 31st, and further, expirations and renewals only occur in even numbered years. That means the previous expiration was on March 31, 2014, and will continue on a two year pace looking ahead to March 31, 2016, March 31, 2018 and so forth, barring any unforeseen changes to dates or policies.
Another important piece of information for Georgia motor vehicle dealer bonds is the amount that they are required in. This is actually the minimum coverage that any dealership will need in order to meet the requirements. In Georgia, that figure is $35,000 for a used auto dealer bond.
Keep in mind that in addition to auto dealer bonds, Georgia dealerships must also have the correct garage liability policies. Used dealerships in the state are required to have a $125,000 minimum single limit policy, or, could choose to have a policy in a $50,000 / $100,000 / $25,000 minimum format of coverage.