by Edward Sneneh, Illinois Car Dealers Insurance Agent in Chicago

Average people are restricted in most states from dealing with private car sales, typically less than 5 vehicles per year. For that reason obtaining dealer license is very important for people who want to take the trade of vehicles as their business.

All states with the exception of Indiana will allow individuals and corporations to be residents of the particular state before that state grant a wholesale dealer's license. Illinois requires that the dealer must have a physical location before dealers license is issued. The State of Indiana requires the wholesale dealer to meet specific physical address requirements, zoning codes, and insurance requirements in order for a license to be allowed. A Wholesale dealer’s license offered by the State of Indiana that is suitable for any dealer auction anywhere in the USA.

Requirements for Indiana Wholesale Auto Dealers Insurance

The two most important insurance requirements for licensing of State of Indiana wholesale car dealers are:

Liability insurance or garage liability insurance or SR23

Individuals or businesses seeking to be licensed under in the State of Indiana shall provide proof that the person currently has liability insurance or garage liability insurance covering the business. The policy must maintain the following minimum limits per accident:  Bodily injury per person of $100,000; bodily injury for each accident of $300,000 and $50,000for property damage each accident. The State  of Indiana requires a minimum uninsured motorist coverage is $25,000 of bodily injury per person, $50,000 bodily injury for each accident.
The major factors affecting the price of insurance for used wholesale auto dealers include: (1) Liability limits, (2) Number of drivers, (3) Number of plates, (4) Garaging address of the dealer.
Insurance Navy is a leader in auto and used car dealers insurance business with several locations serving Illinois and Northwest Indiana. For immediate quote please call one of our agents at (708) 233-4848

Indiana Auto Dealership Bonds

In 2009, the State of Indiana mandated that motor vehicle dealers will have to provide evidence that they possess a $25,000 Indiana used car dealer bond. The dates of the bond must cover the entire licensing period of the dealer. The major determinant of the price of the bond is the credit score of the applicant.

Shopping for Insurance and Bonds for Indiana Used Car Dealers

Several auto dealers located outside Indiana may not have access to competitive insurance plans. Most are offered plans through their dealer licensing service providers, who are not necessarily competitive or even active insurance professionals. For that reason, dealing with a well versed independent insurance agent is the key to get the proper professional service and the right price.
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