The business that has purchased the vehicle must have a civil liability insurance policy contracted from a private insurer providing minimum coverage of $50,000. The minimum is $1 million if the business owns or operates heavy vehicles and $2 million if it hauls hazardous materials.
If the business is not insured and one of its vehicles is involved in a traffic accident that causes more than $500 in damage to the property of another party:
The seller remains the owner and liable for the vehicle until...
The vehicle is registered in the buyer's name.
This means that should the buyer commit an offence or be involved in an accident with a vehicle that is still registered in the seller's name, it is the seller who would be held responsible.
Last update: October 17, 2016