Car-Free Living In New Brunswick

Do you need a car in New Brunswick? Well, it depends. While it is possible to get around without a car, the most common way to travel between and within New Brunswick's communities is by car. If you're planning on staying in the province for more than six months, you will need to get a valid New Brunswick driver's license. However, if you're just visiting or prefer not to drive, there are other transportation options available, such as public transportation, taxis, and rental cars. So, while having a car can make getting around New Brunswick more convenient, it's not necessarily a requirement.

Vehicle registration requirements

To register a vehicle in New Brunswick, you must be a resident of the province. Residency criteria include having a primary home in New Brunswick, filing income taxes in the province, holding a valid New Brunswick driver's license, and spending most of your time in the province.

Once you've determined your eligibility, you can begin the registration process by gathering the required documentation. This includes:

• Proof of identity: A valid driver's license, provincial health card, or passport.
• Vehicle ownership: The vehicle's bill of sale or title of ownership document.
• Safety inspection: An inspection certificate from an authorized station.
• Proof of insurance: Valid insurance coverage from a provincially licensed insurer.

Before registering your vehicle, it must pass a safety inspection at an authorized inspection station. These inspections ensure your vehicle meets provincial safety and emissions standards and cover components such as steering and suspension.

After gathering the necessary documentation and completing the safety inspection, you can register your vehicle in person at any Service New Brunswick (SNB) location. Online registration is currently not available for vehicle registration in New Brunswick.

At the SNB office, you will need to present the completed vehicle registration application form, proof of insurance, your driver's license, vehicle permit, safety inspection certificate, and payment for the registration fee. The registration fee varies depending on the vehicle's weight and other factors.

It's important to keep your vehicle registration up to date, as registration must be renewed annually before it expires to legally operate your vehicle in New Brunswick.

Residency criteria

To be considered a resident of New Brunswick, you must meet the following criteria:

• Have a primary home in New Brunswick where you ordinarily live and sleep
• File income taxes in New Brunswick
• Hold a valid New Brunswick driver's license
• Spend most of your time in New Brunswick

If you are a visitor, you can operate a vehicle registered in another jurisdiction for up to 6 months in New Brunswick for personal use before needing to register it. After 6 months, out-of-province vehicles must be registered.

New residents have 90 days to register their out-of-province vehicle and get New Brunswick license plates. Failing to meet this requirement can result in fines.

Other criteria for residency in New Brunswick

There are other criteria that may be considered when determining residency in New Brunswick. These include:

• Having a valid New Brunswick Identification Card
• Providing proof of name change, if applicable (e.g. marriage certificate, divorce papers, Certificate of Name Change)
• Providing acceptable proof of address, such as a utility bill, property tax bill, or insurance policy

Vehicle inspection

During an inspection, a mechanic will check that your vehicle meets all safety standards. For passenger vehicles, this includes the body, seat belt assemblies, windshield and windows, horn, windshield wipers, rear-view mirror, lighting systems, exhaust system, brake system, steering system, suspension system, wheels and tires, and coupling system. For bus, truck, and tractor-trailer vehicles, mechanics will inspect the power train, suspension, hydraulic and air brakes, steering, instruments and auxiliary equipment (such as windshield wipers), lamps, electric system, body, tire and wheels, and couplers and hitches.

If your vehicle does not pass inspection, it will receive a rejection sticker, and you will have 14 days to address any equipment violations and have the vehicle re-inspected at no extra cost. It is important to note that a rejection sticker does not mean your vehicle is safe, and you may still face penalties if your vehicle is in a state of disrepair.

Displaying a fraudulent or stolen inspection sticker is a violation of the Motor Vehicle Act, Section 250(4), and may result in a fine of $292, as well as additional charges under the Criminal Code of Canada related to theft or fraud.

Vehicle insurance

The three types of auto insurance in New Brunswick are:

• Third-Party Liability: the legal minimum of car insurance coverage needed in NB. Third-party liability insurance protects you if you are involved in an accident and have to make a payment to another party.
• Liability, Collision & Comprehensive: Also known as full coverage, this is the maximum auto insurance available.
• Liability & Collision OR Comprehensive: This is for those who own their vehicle outright and are looking for more than the minimum coverage but not the absolute maximum.

If you are leasing or financing a vehicle, you will likely be required to have full coverage as part of your leasing/financing agreement.

There are four mandatory coverages you need for car insurance in New Brunswick:

• Third-Party Liability: Coverage in case you injure someone or damage their property.
• Accident Benefits: Coverage for injuries you sustain in a car accident.
• Uninsured Motorist: Coverage for injuries you and your family sustain following an accident with an uninsured driver.
• DCPD (direct compensation, property damage): Pays for the damage to your car if you're found not-at-fault in an accident.

You can also get optional coverages, including:

• Collision insurance: Pays to repair or replace your car if you're at fault in a collision.
• Comprehensive insurance: Protection against theft, vandalism, and inclement weather.
• All perils: Includes collision, comprehensive and protection if someone steals your car.
• Specified perils: Protects against specific risks (that you name) such as lightning, hail, flood etc.

The average car insurance rate in New Brunswick is $867 per year or about $75 per month. New drivers can expect to pay around $1083.75 for car insurance coverage.

Vehicle ownership transfer

To transfer the ownership of a vehicle in New Brunswick, the seller must complete and sign a Transfer and Tax Form or a Manufacturer's Certificate of Origin (MCO) if the vehicle is new. The buyer must also present valid identification and proof of insurance. Both parties must be present with appropriate ID.

The new owner pays the registration transfer fee of $29.50 and receives the signed registration document and bill of sale to prove ownership. They can then register the vehicle in their name by providing proof of ownership, insurance, passing inspection, and paying registration fees.

It is important to note that vehicle transfers in New Brunswick are subject to a 15% tax, which includes the Federal Harmonized Sales Tax (HST) or Provincial Vehicle Tax (PVT). However, there is a Family Gift Exemption that allows for tax exemption when gifting vehicles to direct family members.

• Complete the Required Form: Fill out the Transfer and Tax Form or provide a Manufacturer's Certificate of Origin (MCO) for new vehicles.
• Present Identification and Insurance: Both parties must show valid identification and proof of insurance.
• Understand Tax Implications: Be aware of the 15% tax on vehicle transfers, including HST or PVT. However, the Family Gift Exemption can apply for gifting to direct family members.
• Finalize the Transfer: Visit a Service New Brunswick centre with all necessary documents to complete the transfer process. The new owner can then register the vehicle in their name.

It is important to follow these steps to ensure legal and procedural compliance when transferring vehicle ownership in New Brunswick.

Frequently asked questions