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Kentucky motor fuels transporter bonds.
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Anyone who hauls gasoline or special fuel on which Kentucky’s fuel tax has not yet been paid needs a motor fuels transporter’s license from the Kentucky Department of Revenue. The Department’s bond form fixes the transporter bond at $5,000. A specialist confirms your premium and replies, usually within one business day.

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Required before licensing under KRS 138.320(3) and 138.330 — no transporter’s license issues without the financial instrument
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Written on the Department’s own Form 72A301, Motor Fuels License Bond, with the motor fuels transporter box checked
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Continuous — no annual renewal date; it stays on file as long as the license does
$5,000 bondset by the Department of RevenueNo credit reviewnot even a soft pull1 daytypical specialist reply
Trusted by industry leaders
New York City Economic Development Corporation (NYCEDC)
Blumenfeld Development Group (BDG)
Capital Development Partners
McKinney Properties
Terra Capital
JLL (Jones Lang LaSalle)
Triple Five Group
The Georgetown Company
New York City Economic Development Corporation (NYCEDC)
Blumenfeld Development Group (BDG)
Capital Development Partners
McKinney Properties
Terra Capital
JLL (Jones Lang LaSalle)
Triple Five Group
The Georgetown Company
Price

How much does a Kentucky motor fuels transporter bond cost?

It is underwritten: the premium is quoted from the bond amount and your financial picture, so there is no flat price to show.

How it works

Built for the motor fuels license application.

The Department of Revenue will not issue a transporter’s license until the bond arrives with the application. Here is how the bond side of that works:

TODAY · ONE APPLICATION

Send us the file

Apply online with the $5,000 bond amount, the effective date, your entity type, and your business and contact details — the fields this bond actually turns on. Use the principal name exactly as the Department requires: the owner for a sole proprietorship, the partnership name, or the corporate name as registered with the Kentucky Secretary of State.

WITHIN 1 BUSINESS DAY

A specialist confirms your premium

A surety specialist reviews the file and returns the premium for the $5,000 penal sum. The Department fixes the amount; the review sets the price. There is no credit review of any kind on this bond.

ON PAYMENT

Execute & file with the Department

Once you pay, we issue Form 72A301 from a surety authorized in Kentucky, signed by the surety and its Kentucky resident agent, with the power of attorney attached. File it with Form 72A300 at the Motor Fuels Tax Compliance Section in Frankfort.

About this bond

What it is and who needs it.

What the bond actually guarantees

Kentucky licenses everyone who handles motor fuel before its excise tax is paid. KRS 138.310(1) bars any person from transporting gasoline or special fuel on which the tax has not been paid or assumed unless the person holds an uncanceled license from the Department of Revenue. KRS 138.210 defines a transporter as any person who transports gasoline or special fuels on which the tax has not been paid or assumed — so this reaches tanker carriers moving product from terminals, barge and rail shippers, and fleets hauling untaxed fuel into or across the state.

Under KRS 138.320(3) the financial instrument is filed with the application, and no license issues without it. KRS 138.330 makes the transporter the principal and the state the obligee, and conditions the instrument on the prompt filing of true reports and on faithful compliance with KRS 138.210 to 138.340. For a transporter the key report is the monthly one under KRS 138.260: every delivery made in Kentucky in the prior month — consignor, consignee, origin, destination, date and gallons — filed under oath by the 25th. If the reports are false or missing, or tax, penalties and interest go unpaid, the Commonwealth can claim against the bond.

The statute allows a financial instrument in three forms — a bond from a corporation authorized to do business in Kentucky, a line of credit, or a bank account maintaining a compensating balance. The surety bond is written on the Department’s Form 72A301, Motor Fuels License Bond, which covers several fuel-tax activities. The transporter checks the motor fuels transporter box, and each tax activity needs its own bond with its own bond number. The Department’s instructions fix every new and replacement transporter bond at $5,000.

The bond has no annual renewal date. KRS 138.320(7) keeps the license in force until it is suspended, revoked or canceled, and the bond runs with it. A surety that wants off must ask the Department in writing, and it is released only from liability accruing more than sixty days after that request. The Department then notifies the licensee, and unless a replacement instrument is filed within those sixty days the license is canceled. Related duties are separate from the bond: a transporter that is not also a licensed dealer must paint its name, address and permit number on its vehicles, and the license cannot be assigned.

KRS 138.330 · KRS 138.310 · DOR Form 72A301KRS 138.330(1)(a) requires every dealer or transporter required to be licensed under KRS 138.310 to file with the Department of Revenue a financial instrument in an amount not to exceed three months’ estimated liability as computed by the department or $5,000, whichever is greater, or for a new licensee a minimum of $5,000; (1)(b) the form and surety must be approved by the department; (1)(c) the dealer or transporter is the principal obligor and the state the obligee; (1)(d) the instrument is conditioned on the prompt filing of true reports by the dealer and transporter, payment by the dealer of the gasoline and special fuel excise taxes with penalties and interest, and generally on faithful compliance with KRS 138.210 to 138.340. Under (2) the department may require a new instrument if liability is discharged or reduced or a surety becomes unsatisfactory; under (3), after a hearing on five days’ written notice, it may demand an additional instrument in any amount it finds necessary; under (4) a surety is released from liability accruing more than sixty days after its written request, and the license is canceled unless a new instrument is filed. KRS 138.310(1) requires the license to transport untaxed gasoline or special fuel, and KRS 138.320(3) bars issuing a license without the instrument. Department of Revenue Form 72A301, Instructions Section E: all new licenses and replacement bonds for a motor fuels transporter’s license are executed in an amount of $5,000.

You need this bond if you’re

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A tanker carrier hauling gasoline or diesel from a terminal before Kentucky’s fuel tax has been paid or assumed
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An out-of-state carrier bringing untaxed motor fuel into Kentucky, or moving it between points inside the state
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A rail or barge fuel shipper moving untaxed fuel between points in Kentucky and reporting those deliveries to the Department every month
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A licensed transporter replacing its security — after a surety release request, a claim, or a Department demand for a new instrument
After you buy

Claims, renewal, filing, and what sets the price.

If a claim is made

A claim comes from the party the bond protects, the obligee named on the form, when the duty the bond guarantees is not met.

The surety investigates and pays a valid claim, up to the bond amount. You then repay the surety: a surety bond is a guarantee of your performance, not insurance for you.

Renewal and term

Term and renewal are set in the underwriter's quote.

Keep the bond in force for as long as the obligation behind it runs.

How to file it

Execute & file with the Department. Once you pay, we issue Form 72A301 from a surety authorized in Kentucky, signed by the surety and its Kentucky resident agent, with the power of attorney attached. File it with Form 72A300 at the Motor Fuels Tax Compliance Section in Frankfort.

What sets the price

This bond is underwritten: the premium is quoted from the bond amount and your financial picture, so there is no flat price to show.

One application, one specialist review.

These are the actual application fields — the bond amount, the effective date, your entity type, and your business and contact details. Submit once and a surety specialist confirms your premium, typically within one business day. Free until your bond is issued.

Start the application →
FAQ

Common questions.

What is a Kentucky motor fuels transporter bond?It is the financial instrument a carrier files with the Kentucky Department of Revenue to get a motor fuels transporter’s license, which KRS 138.310 requires before anyone transports gasoline or special fuel on which the tax has not been paid or assumed. Under KRS 138.330 the Commonwealth is the obligee, and the bond guarantees the transporter files true reports and pays any tax, penalties and interest it becomes liable for.
Who sets the bond amount?The Department of Revenue. KRS 138.330 sets a general formula of up to three months’ estimated liability or $5,000, whichever is greater, with $5,000 as the minimum for a new licensee. For transporters, the Department’s Form 72A301 instructions state that all new licenses and replacement bonds are executed at $5,000. After a hearing, the Department can demand an additional instrument if it finds the bond insufficient.
How much does it cost?The bond amount is $5,000, and you pay only a premium on it, not the full amount. Our carrier has not published a rate for this bond yet, so we do not show a number. A surety specialist confirms your premium on review, usually within one business day.
Will I need to post collateral?Rarely at this size. The bond is set at $5,000, and the bond issues the moment you pay — no credit review of any kind, not even a soft pull. Collateral would only come into question if the Department demanded a much larger additional instrument after a hearing, and we would tell you what your file needs before you commit.
Does the bond have to be renewed every year?No. KRS 138.320(7) keeps a transporter’s license in force until it is suspended, revoked or canceled, and the bond is continuous with it. A surety can ask to be released, but it stays liable for sixty days after lodging a written request with the Department. You must file a replacement bond within that time, or the Department cancels the license.
Which A-rated carriers underwrite these bonds?Typically Arch Insurance Company (A.M. Best A+) or Nationwide Mutual Insurance Company (A.M. Best A). Which one writes your bond depends on the bond type and your state. The carrier's name and official signature are printed on the bond you receive.
How do I contact Light RFP about this bond?Email insurance@lightrfp.com. It reaches the bond team at Light RFP Risk Management Services LLC (NY DFS License # PC-1978982). Write to us about quotes, applications, bond forms or certificates. We will respond within 24 hours.
Related bonds

Other Kentucky bonds.

Requirements checked on the carrier’s application, .

Get bonded and get licensed to haul.

Apply for the $5,000 bond on Form 72A301, and a surety specialist confirms your premium — typically within one business day. Free until issued.

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