Michigan driver ed provider bonds.
$400 flat. 1,000+ students.
Michigan sizes the driver education provider bond to enrollment. A teen/adult provider with 1,000 or more students files a fixed $40,000 bond with the Secretary of State — ours is $400 flat, the price our carrier sets for this specific bond. A quick soft credit check may apply — never a hard inquiry, no impact on your score; the bond is issued when you pay.
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How much does a Michigan driver ed provider bond cost?
$400 at the $40,000 amount, the same for every applicant.
Three steps to licensed.
Your provider license is waiting on this bond. Here's the entire process — no broker phone tag:
Apply once, online
Provider details, owner information, effective date, plus a few commercial questions. A quick soft credit check may apply — never a hard inquiry.
Approved
Most are approved as soon as you apply. Any credit check that runs is a soft pull that never affects your score. If it needs a second look, one to two business days at most.
E-sign & file with the Secretary of State
Pay online and receive the executed bond, ready to file with your driver education provider license. Wet-ink originals mailed whenever the state insists.
What it is and who needs it.
What the bond actually guarantees
Michigan licenses driver education providers through the Secretary of State, with the bond scaled to enrollment. A teen/adult provider with 1,000 or more students in the calendar year posts a $40,000 bond — double the small-provider tier.
It's a three-party arrangement: you (the principal), the surety carrier, and the State of Michigan (the obligee), with students, financing agencies, and governmental agencies as the protected parties. The bond is conditioned to indemnify or reimburse a student, financing agency, or governmental agency for monetary loss caused through fraud, cheating, or misrepresentation in the conduct of the provider's business.
By statute, the surety pays a claim only after a court of record enters a judgment based on fraud, cheating, or misrepresentation, and total liability never exceeds the bond. Because this is a larger filing, a quick soft credit check may apply — never a hard inquiry, and the price stays $400 flat regardless.
You need this bond if you're
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 $40,000 bond amount. You then repay the surety: a surety bond is a guarantee of your performance, not insurance for you.
Renewal and term
The premium covers a one-year term from the effective date you choose; a longer term is the same price per year, chosen at checkout.
Renew before the expiry date to keep the bond in force: the license, permit or contract it backs expects continuous coverage.
How to file it
E-sign & file with the Secretary of State. Pay online and receive the executed bond, ready to file with your driver education provider license. Wet-ink originals mailed whenever the state insists.
What sets the price
The premium is fixed at $400 at the $40,000 amount for every applicant: the carrier’s rate book prices this bond by the form, not by your credit or your business profile.
One soft credit pull, never a hard inquiry, and it never affects your score.
Where a check runs, it decides approval; the rate is the same for everyone approved.
One application, then your price.
These are the actual underwriting fields, including consent to a soft credit check that never affects your score. Submit once and your bond is issued when you pay.
Start the application →Common questions.
Other Michigan bonds.
Been told you need a different amount?
Price and requirements checked on the carrier’s application, . Page updated .
The Secretary of State is waiting on one document.
$400 flat, short application, bond issued when you pay. Free until issued.