Vehicle Insurance Now Needed for certain “Road Building Machines”

Written on May 30, 2017.

Municipalities in Ontario and their insurers should note that on July 1, 2017, new rules for “Road Building Machines” will come into effect, which will now require certain types of vehicles to be insured and their operators licensed. The following vehicles will no longer be considered road-building machines (exempt from the usual insurance requirements) and will be defined as commercial motor vehicles:

1. Mobile equipment vehicles, which means:
   1. A mobile crane that is not built on a truck chassis, but not an off-road mobile crane.
   2. An excavator that is not built on a truck chassis, but not an off-road excavator.
   3. A street sweeper that is not built on a truck chassis, but not a low-speed street sweeper.
2. Vehicles constructed on a truck chassis.
3. Vehicles that comply with or are intended to comply with Canadian federal safety manufacturing standards for highway vehicles or comparable standards from another jurisdiction.

Effective July 1, 2017, former road-building machines that no longer meet the updated definition of a road-building machine are considered commercial motor vehicles and subject to requirements including, but not limited to:

• Vehicle registration
• Motor vehicle insurance
• Licenced driver/ appropriate class of driver’s licence
• Commercial Vehicle Operator’s Registration (CVOR)
• Hours of Service
• Inspections

In addition, these same vehicles may be subject to Fuel Tax, Gasoline Tax and Ontario Sales Tax The MTO has published a page which provides further information which you can find HERE.