Montana Surety Bond Overview

Starting a business in Montana often requires that you post a surety bond, so that you can obtain your license or be in compliance with state laws. Surety bonds safeguard the interests of the state and the general public by providing protection against fraudulent activities committed by individuals and companies. Similarly, to do construction work on a public project, you will likely also need to get bonded.

Why do I need a bond?

The surety bond agreement guarantees that the bonded party will comply with their legal obligations and responsibilities - such as to perform work according to certain standards or contractual conditions. If the bonded party violates these conditions, a claim can be made against their bond to secure compensation to anyone who is harmed due to this violation.

For an in-depth explanation of how bonds work, see our 'What is a surety bond' guide!

Already know what kind of surety bond you need? Find it in the table below and follow the application link to request your free quote. Keep reading the sections below for more information about the different types of bonds or, if you have any questions, don’t hesitate to call us at (866)-450-3412!

Find the Bond You Need

The table below contains a list of only the most popular surety bonds. If you can't find yours, fill out our online application and select "Not in the list".

Contractor License Performance & Payment (Local) Bond City of Whitefish Public Works Dept. (Whitefish, MT) Public Works Contractor License Bo Apply Now
Mortgage Broker (1st & 2nd Mortgages) Bond Division of Banking and Financial Institutions Mortgage Broker Licensee Bond Apply Now
Mortgage Lender/Banker (1st & 2nd Mort.) Bond Division of Banking and Financial Institutions Mortgage Lender Apply Now
Mortgage Lender/Banker (1st & 2nd Mort.) Bond Division of Banking and Financial Institutions Mortgage Lender License Bond Apply Now
Title Insurance Agents & Escrow Officers Bond MT, Division of Banking and Finacial Instatutions Escrow Business Bond Apply Now
Auto & Mobile Home Dealers (New & Used) Bond Title and Registration Bureau Motor Vehicle Dealer Apply Now
Auto & Mobile Home Dealers (Used Only, No New) Bond Title and Registration Bureau Motor Vehicle Dealer Apply Now
Professional Licenses (All Other) Bond Dept of Labor: Board of Private Security Process Server/Levy Officer Apply Now
Professional Licenses (All Other) Bond Montana Dept of Transportation Motor Fuels Section Special Fuel User (Contractor) Bond Apply Now

Types of Montana Surety Bonds

The three main types of surety bonds are license and permit bonds, construction bonds, and court bonds.

  • If you want to apply for a business license, you will often be asked to provide a license and permit bond.
  • In case you are a construction contractor who wants to participate in public or private construction projects, you might be required to get construction bonds.
  • You may need to obtain court bonds in certain situations, when required by a Montana court.

License & Permit Bonds

A large array of Montana businesses must get licensed, to comply with state, local or city rules. In many cases, a license and permit bond is required during the licensing.

The purpose of this bond is to guarantee that your business will follow all relevant rules governing your field. This way, it protects the general public from businesses that commit fraud or misrepresentation. Breaking your obligations under the bond can lead to a claim. If the claim is proven, you will be liable to reimburse affected parties up to the penal sum of your bond.

The most common Montana license and permit bonds include:

  • Montana auto dealer bond
    • Obligee: Montana Department of Justice’s Motor Vehicle Commission
    • Bond amount: $50,000
  • Montana contractor license bond
    • Obligee: Montana Department of Labor and Industry
    • Bond amount: Set on a case-by-case basis
  • Freight broker bond
    • Obligee: Federal Motor Carrier Safety Administration
    • Bond amount: $75,000
    • Expiration date: Coinciding with the licensing year

About the author:
Todd Bryant
Todd Bryant is a graduate of Germantown Academy and the University of Pittsburgh College of Business Administration Honors College. He has been President of Bryant Surety Bonds, Inc., an A+ rated Business with the Better Business Bureau, since 2007. Licensed as a producer with the Department of Insurance, he has been published in the National Association of Surety Bond Producers newsletter and on numerous authoritative publications such as The Washington Post,, and many more.