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What is an Auto Dealer Bond? An auto dealer surety bond is a binding contractual agreement between three parties: the obligee (the state requiring the bond), the principal (the auto dealer), and the surety (the provider of the bond). It’s important not to confuse an auto dealer bond with insurance. Even though these bonds are sometimes wrongfully referred to as auto dealer bond insurance.

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Our insurance terms glossary is divided alphabetically by insurance terms in a quick reference guide to assist understanding the language commonly used by insurance companies.

Our insurance terms glossary is divided alphabetically by insurance terms in a quick reference guide to assist understanding the language commonly used by insurance companies.

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- September 17, 2018

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