A New Jersey Driving School Surety Bond is a requirement of licensure for anyone who wishes to operate a driving school in the State of New Jersey. This surety bond has a penalty amount of $10,000 and must be filed with the New Jersey Motor Vehicle Commission prior to a license being issued. The purpose of this bond is to guarantee that the principal (driving school operator) complies with all regulations in Title 13 Chapter 23 of the New Jersey Administrative Code governing the operation of driving schools, and protects the students from monetary loss due to fraud or fraudulent representations by the principal. If a harmed party files a valid claim against the bond, the surety will pay out up to the penal sum of the bond to resolve the claim. The principal is then required to reimburse the surety for all monies paid out, including any attorney fees incurred.
New Jersey Driving School Surety Bonds have a 1 year term and run concurrently with the license period granted to the principal. This surety bond is renewed annually with a continuation certificate, and the surety can terminate the bond at any time by giving a 30 day written notice to the MVC and the principal.
Pacific Surety is proud to offer a variety of approvals regardless of credit with rates as low at $100 annually and discounted two-year pricing at $175 for qualifying applicants. The process typically takes just a few hours for a quote, and we have the ability to beat any competitors pricing. If you have any specific questions, feel free to contact our knowledgeable underwriting staff.