Garage liability insurance and dealer bonds
Garage liability insurance
Vehicle liability for road use
- Bodily injury / person
- $25,000
- Bodily injury / accident
- $50,000
- Property damage
- $25,000
Missouri dealers must provide a current garage policy. The vehicle liability floor is $25,000/$50,000/$25,000.
Insurance requirementsDealer bond
$50,000
Bond face amount. The premium you pay is priced separately.
Add a bond quote to your dealer insurance application.
Bond requirementsIn Missouri, insurance and licensing requirements depend on your dealer category. Independent used-auto, wholesale, broker, RV, motorcycle, truck and boat businesses can have different requirements. Confirm your license category with Missouri Department of Revenue, Dealer Licensing.
Insurance and proof of coverage
Vehicle liability for road use: $25,000 bodily injury per person, $50,000 bodily injury per accident and $25,000 property damage.
Missouri dealers must provide a current garage policy. The vehicle liability floor is $25,000/$50,000/$25,000.
UM, UIM and medical coverage
BI means bodily injury. PD means property damage. For example, 25/50 BI means $25,000 per person and $50,000 per accident.
- Uninsured motorist (UM)
- 25/50 BI required
- Underinsured motorist (UIM)
- Optional
- PIP / first-party medical
- Not required
Uninsured-motorist bodily injury coverage is required at $25,000 per person and $50,000 per accident. Underinsured-motorist and medical payments coverage are optional. UM does not pay for damage to dealership inventory.
Copy of current policy showing number, effective/expiration dates, insurer and insured name/address.
Your lease, lender or exposure to a serious accident may call for higher limits. Garage liability does not automatically insure the value of inventory or customers’ vehicles.
The dealer bond is a separate requirement
A $50,000 dealer surety bond is required for the ordinary used motor vehicle dealer category. Alternative: Approved irrevocable letter of credit.
The bond amount is its face amount, not the price you pay. A surety prices the bond separately, and you may have to reimburse it for claims it pays. A dealer bond does not replace garage liability or inventory insurance. You can add a bond quote to the dealer insurance application.
State licensing fees
| State fee | Amount |
|---|---|
| Full one-year motor vehicle dealer license, original and first two years | $150 |
| Full two-year motor vehicle dealer license | $300 |
Manual prorates by application month; after three years in business a two-year license is issued on renewal. Plates and other charges extra.
These state fees are separate from insurance and bond premiums. Other licensing and startup expenses may apply. Confirm the payable amount in the current state application or portal.
A practical filing detail
The operating manual asks for a current dealer garage policy showing the policy number, dates, insurer, insured name and address. License fees can be prorated; use the current application month and term when budgeting.
What does dealer insurance cost in Missouri?
A current garage policy is part of Missouri dealer licensing. Required UM coverage, the number of drivers, plate use and customer test drives all belong in the coverage review. Dealers with financed inventory should compare physical damage limits and lender requirements too.
Real quotes issued by our agency, Pro Risk Solutions dba dealership.insure. Your price depends on your dealership and coverage.
| Dealer example | Annual premium | Down payment | Monthly payments | Coverage |
|---|---|---|---|---|
| Missouri Established dealer Without inventory coverage | $1,224 | $475 | 9 payments of $95 | $75,000 garage liability per accident. Inventory coverage not included. |
| Missouri Dealer with inventory coverage Liability + inventory | $3,126 | — | — | $100,000 garage liability per accident. $200,000 inventory limit; $125,000 maximum per auto. Collision only; autos while not in tow. |
| Missouri Established dealer Without inventory coverage | $3,714 | — | — | $1,000,000 garage liability per accident. Inventory coverage not included. |
Missouri $1,224 example: coverage and business details
2 years in business · 5 dealer plates · $75,000 garage liability per accident.
Inventory coverage not included.
$50,000 UM and UIM.
$0 liability deductible.
State requirements and official sources
Quoted October 1, 2026.
Missouri $3,126 example: coverage and business details
$100,000 garage liability per accident.
$200,000 inventory limit; $125,000 maximum per auto.
$50,000 UM. Inventory coverage is collision only for autos while not in tow; comprehensive is not included.
$0 liability deductible. Collision only: $1,000 per auto. Comprehensive is not included.
State requirements and official sources
Quoted August 27, 2026.
Missouri $3,714 example: coverage and business details
5 or more years in business · 6 dealer plates · $1,000,000 garage liability per accident.
Inventory coverage not included.
$50,000 UM and UIM. Garagekeepers legal liability: $50,000 total / $10,000 per auto; comprehensive deductible $1,000 per auto / $5,000 maximum per event; collision deductible $1,000 per auto.
$1,000 liability deductible.
State requirements and official sources
Quoted August 25, 2026.
Missouri dealer insurance costs and coverage comparison · What affects your insurance premium
Get your dealer insurance quote
Complete the dealer insurance application online. You can add a dealer bond quote in the same application.
Keep reading
Sources & resources
- Missouri Dealer and Business Operating Manual, revised November 2025
- Missouri Dealers and Lienholders
- Missouri Department of Insurance: mandatory automobile liability
- Missouri Department of Insurance: UM requirements
- Missouri Department of Insurance: required and optional coverages
Policy wording controls actual coverage.