What is a motor vehicle bond?

Question:
any info,will be apreciate!

Answers:

How much will my license plates cost?

A bond would only be needed if you don't carry liability on your vehicle. Oklatom is right that its basically a certification that you carry enough coverage in lieu of the state minimum liability coverage. In CA, the state minimum property damage coverage is only 5k, so really it would be a lot cheaper to carry minimum liability. Wealthy people carry a bond in lieu of insurance as a way of covering themselves for an at-fault loss. The reason a self-insured company would do this is because it would be cheaper than carrying a large commercial policy with a very high deductible...they'd rather just pay you then report it to their insurance.

Car insurence, estimated milage innacuracy?


---BTW, 5k is not a lot of coverage. I would recommend carrying at least 10k for liability...the premium probably isn't much more than 5k and if you hit anything you'd be much better off. I have seen bumpers on luxury cars equal more than 5k!

When is the next time car registration plates change?

A bond can be used if you don't have an insurance policy on a vehicle. Basically you make a certificate of deposit in the amount which is the minimum coverage required by a state and present the bond in lieu of having an insurance policy. Unless you are very very rich, few people use that method. Large corporations sometimes self insure, but usually not individuals.
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