UT motor club bonds.
$1,000 flat.

A corporation seeking a Utah certificate of authority to transact motor club business must put up a $100,000 deposit — or, in lieu of it, a corporate surety bond in the same sum, payable to the state, under Utah Code 31A-11-106(2). Ours is $1,000 flat, and the price you see is the price at checkout. The application includes a credit consent, but it authorizes a soft credit pull only — a soft inquiry that never affects your score.

✓

Filed with the Utah Insurance Department with your application for a certificate of authority

✓

Fixed price, fixed amount — $100,000 bond, $1,000, no quote process

✓

Frees the $100,000 deposit the statute would otherwise tie up under 31A-2-206

A-ratedA.M. Best carriersInstantissued the moment you paySoft pullnever a hard inquiry

Trusted by industry leaders

How it works

Three steps. One sitting.

A statutory-sum certificate bond has no pricing round-trip. Here is the entire process:

NOW · ONLINE

Apply online

Corporate details, years in business, term and an effective date. The credit consent on the form authorizes a soft inquiry only.

RIGHT AFTER PURCHASE

Pay & e-sign

Certificate bonds like this are among the thousands of bond types that issue right after purchase. At most, a business day or two.

SAME DAY

File with the Insurance Department

Your executed bond and power of attorney arrive by email, ready to go in with your application for a certificate of authority — the commissioner prescribes the form, so check it against your filing instructions. Wet-ink original mailed on request.

About this bond

What it is and who needs it.

What the motor club bond actually guarantees

A motor club in Utah is a corporation selling membership services tied to motor vehicles: acting as a producer to place insurance with authorized insurers, paying for legal defence of traffic offences, issuing guaranteed arrest bond certificates and cash bond guarantees, paying specified accident expenses, and providing towing, emergency road and theft services. Chapter 11 caps the legal-defence and accident-expense benefits at 100 times the annual charge for the contract, and bars a motor club from writing liability, physical damage, life, or accident and health insurance unless it is separately licensed as an insurer.

Only a corporation may apply for the certificate of authority, and the application must carry a $100,000 deposit meeting Section 31A-2-206 — which may be waived if net worth exceeds the deposit requirement — or a corporate surety bond in the same sum, payable to the state and in the form the commissioner prescribes. The condition is faithful performance in the sale or rendering of motor club service, plus payment of any fines, fees or penalties imposed on the club under Title 31A.

It is not insurance for you. A member with a claim arising from the club's breach may sue on the bond in their own name, or the commissioner may sue on behalf of claimants. The surety's liability never exceeds the bond amount and is not cumulative from year to year however long the bond stays in force; the bond is forfeited only up to actual damages sustained; and no cause of action may be filed against it more than two years after the bond terminates.

Utah Code 31A-11-106Utah Code 31A-11-106(1) lets any corporation apply to the insurance commissioner for a certificate of authority to transact motor club business, and requires the application to include the deposit described in Subsection (2) — which may be waived if net worth exceeds the deposit requirements — along with the fee under Section 31A-3-103. Subsection (2) sets the deposit, which must comply with Section 31A-2-206, at $100,000, and provides that in lieu of the deposit the applicant may supply a bond of a corporate surety authorized to do a surety business in this state, in the same sum and in a form prescribed by the commissioner, payable to the state. The deposit or bond is conditioned on the corporation's faithful performance in the sale or rendering of motor club service under Chapter 11 and on payment of fines, fees or penalties imposed under Title 31A. Liability of the surety may not exceed the bond amount regardless of the number of claimants, is not cumulative from year to year, and the bond is forfeited up to actual damages; no cause of action may be filed more than two years after termination. Under Subsection (3), where a motor club is a separate division of a corporation the commissioner may raise the requirement to reflect the added risk, but not to more than twice the amount in Subsection (2). Confirm the commissioner's prescribed form before you file.

You need this bond if you are

✓

A corporation applying for a Utah motor club certificate of authority from the Insurance Department

✓

A national roadside-assistance or auto-club brand expanding into Utah

✓

Renewing or replacing existing security whose surety is non-renewing

✓

Freeing up cash by swapping the $100,000 statutory deposit for a bond

One application, issued instantly.

These are the actual issuing fields. The credit consent on the form authorizes a soft inquiry only, and it never affects your score.

Start the application →

FAQ

Common questions.

How much is the Utah motor club bond?The premium is $1,000 flat — set by our carrier's rate book for this bond, the same for every motor club. The $100,000 sum is set by Utah Code 31A-11-106(2), so there is no quote process.

Do I pay the $100,000?No. You pay $1,000. The $100,000 is the surety's maximum liability if a valid claim is made against the bond — not a deposit, and nobody holds your money. That is exactly the point of filing a bond instead of the statutory deposit.

Can the commissioner require more than $100,000?Yes, in one situation. If the motor club is a separate division of a corporation, Section 31A-11-106(3) lets the commissioner increase the deposit or bond to reflect the risk created by the corporation's other business — but the requirement may not be more than twice the statutory amount.

How long does exposure last after I cancel?Two years. Section 31A-11-106(2) bars any cause of action against the bond filed more than two years after the date the bond terminates, and the surety's liability is capped at the bond amount and is not cumulative from year to year.

Is there a credit check?The application includes a credit consent, but it authorizes a soft credit pull only — a soft inquiry that never affects your score. No hard inquiry ever runs on this bond.

Related bonds

Other Utah bonds.

File the certificate application this week.

$1,000 flat, soft pull only, bond often issued in the same sitting. Free until issued.

Start application

Your price$1,000

Apply now →