Nebraska Title Bonds
Surety Bond Professionals is a family-owned and operated bonding agency with over 30 years of experience. With access to a broad range of surety markets, our expert agents are ready to assist with all your Nebraska title bond needs.
What Are They?
Purchasing a Nebraska title bond is a mandatory step in the process of obtaining a bonded vehicle title in the state of Nebraska. A bonded title allows a vehicle owner who lacks a standard certificate of title to register, insure, or transfer ownership of the vehicle.
A Nebraska title bond has a term of three years, during which time it:
- Provides a way to compensate a legitimate owner or lienholder who might come forward and be able to prove a financial loss resulting from the issuance of a bonded title.
- Protects the state of Nebraska against financial liability for having issued the bonded title to someone other than the vehicle’s rightful owner.
After the three-year term of a Nebraska title bond is up, the bonded title can be replaced with a standard certificate of title.
Who Needs Them?
You might need a bonded title, and therefore a Nebraska title bond, if you purchased a vehicle but:
- Did not receive a title from the seller.
- Received a title that was improperly assigned, damaged, or otherwise defective.
- Received a title that was lost or stolen before the vehicle could be registered in your name.
The bond must have a three-year term and be for an amount that is one and one-half times the appraised value of the vehicle according to the NADA guide.
Speak with a Surety Bond Professionals agent today to discuss your bonding needs.
How Do They Work?
A Nebraska title bond is a legally binding contract between three parties:
- The Nebraska DMV (the “obligee” requiring the bond).
- The vehicle owner (the “principal” required to purchase the bond).
- The bonding company (the “surety” underwriting and approving the bond).
Perhaps you were not eligible for a bonded title but were issued one anyway. If the vehicle’s rightful owner or a lienholder comes forward with proof of ownership, that party may be able to prove a financial loss because of something that occurred while the vehicle was in your possession. If so, the injured party can file a claim against your Nebraska title bond.
The terms of the surety bond agreement legally obligate the principal to pay all valid claims. The normal practice, however, is for the surety to pay a valid claim directly to the injured party and then be reimbursed by the principal.
What Do They Cost?
Nebraska title bonds are for $25,000 or less are not subject to underwriting. They’re sold for a flat premium that is based on the amount of the bond and can be as low as $100 for the entire three-year term of the bond. Bonds for more than $25,000 go through the surety’s underwriting process, and the premium is based largely on the principal’s credit score.
Get a Quote
Our surety bond professionals will get you the Nebraska title bond you need at a competitive rate.