Title Bonds Information

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You may have recently purchased a vehicle that you wish to register or even insure in the state of Georgia (GA) at which point you are told that you require a title bond. You may be thinking “a what now?” Let this insurance company in Georgia tell you all about it.


What Is A Title Bond?

This is a document that indicates who legally owns a car. Typically, a certificate of title would fulfill this purpose. In cases where you may not have this certificate (it was stolen, lost or you weren’t issued with one) the state will require you to acquire a bonded title.

A title bond would also be necessary for custom-made vehicles that don’t have titles.

Title bonds are required to sell, register or insure a vehicle that doesn’t have the original title. Purchase of bonded titles should be the very last resort after ensuring you have exhausted all methods to obtain the vehicle title.

Title Bonds And Surety Bonds

A bonded title consists of something called a surety bond. What is a surety bond? It is an agreement made between three parties: the principal, the surety, and the obligee- in which the surety guarantees that the principal will fulfill their obligations to the obligee.

The principal would be you, the person looking to purchase the surety bond. The surety is a neutral party (usually an insurance company) that issues bonds and obliges itself to be financially responsible if the principal cannot meet its obligations.

The Obligee is the party that calls for a guarantee on the part of the principal. The obligee is usually the state- In Georgia it is the Department of Revenue.

The obligation, in the case of title bonds, is that the principal is financially and legally responsible for the accurate representation of their ownership of the vehicle.

If somebody were to come forward claiming ownership of your vehicle with the original vehicle certificate title as proof, we as the insurance company would cover their compensation. You would then be responsible for paying us back for the claim.

Bonded Title Amount

According to the Georgia Department of Revenue, GA insurance companies are required to offer bonds at double the amount of the value of the vehicle. So, if your car is worth $5,000, we would sell you a bond worth $10,000. The lowest bond amount acceptable is $5,000

The actual amounts you will be paying when acquiring a title bond are an $18 title fee to the Department of Revenue and a minimum of $100 or 1.5% of the total bond amount.

What else will you need to procure the title bond?

To ensure a relatively pain-free process in securing the bonded title, have the following information: 

  • Your name on your driver’s license.
  • The vehicle identification number for your car.
  • The value of the vehicle (determined by the state as explained above).
  • Documents showing proof of ownership like a bill of sale


Call Us Today!

We are the best insurance company in Georgia and can help you procure a bonded title. Call the Georgia state auto insurance today!