Three years back, if you had to settle in another state in India, you would have to register your vehicle again. As per the Motor Vehicles Act, a passenger vehicle cannot be driven for more than 12 months in a non-registered state(s) without obtaining a new registration mark to be assigned by the registering authority. Failing to do so would attract penalties and heavy fines.
This process was quite long and cumbersome for car owners. So, the Ministry of Road, Transport and Highways wanted to transform it and thus launched Bharat Series number plates in 2021 across India. With the introduction of Bharat Series number plates, vehicle owners don’t need to re-register their vehicles when moving to a new state/union territory.
If you have a job for which you have to move to a new state frequently, you should take the Bharat Series number plate. This is not just for saving your taxes but also in case your insurance claim gets rejected for not following road rules.
It’s also not compulsory to update your car insurance policy each time you move to a new state with a BH series vehicle. Your existing insurance policy will remain valid even if you relocate to a new state. Possessing a BH series vehicle exempts the owner from the re-registration procedure when relocating between states or union territories, thereby reducing the necessity for policy updates.
Who can apply for the BH series license plate?
You can be eligible for getting a BH series license plate if you are an Indian citizen working for the central or state government, banks, defense, administrative services, etc. Employees working for private firms with offices in four or more states/UTs can also apply for BH series number plates. When the BH series was introduced by the government, it was limited to new car owners only but a year later, the government announced that old car owners can also register their vehicles under the BH series.
Saving road tax
Car owners can also save intra-state tax when buying BH series licensed plates. This is because when you buy a new car and get it registered, you have to make a one-time payment of road tax for 15 years. Whereas private vehicles with BH series license plates are subjected to road tax for either two years or its multiples, including four, six, and eight years. The road tax can be paid online for 14 years. After 14 years, annual road tax payment is mandatory.
Cost of BH series number plate
The cost of a BH series number plate has three price slabs depending on the cost of the vehicle. For vehicles that cost below Rs 10 lac, the applicant has to pay 8% of the invoice price. For vehicles costing between Rs 10-20 lacs, the cost will be 10% of the invoice price and it will be 12% of the invoice price for vehicles costing above Rs 20 lacs.
Buying comprehensive motor insurance
Car owners can easily buy insurance for their BH series licensed plate vehicles through several insurance aggregator websites. When your car is registered under the BH series, it gets endorsed in the insurance policy. A lot of insurers are offering motor insurance covers for BH series vehicles. Also, the BH series number plate does not affect insurance premiums. You have the option to compare various insurance policies online and choose the most suitable one as per your needs.
Moreover, there is no difference in insurance product offerings for BH series vehicles as opposed to regular vehicles. Insurance for BH series cars provides the same features as insurance for regular cars including Zero Depreciation, Engine protector, consumables cover, roadside assistance, key & lock cover, etc.
The location of the accident doesn’t affect the claim process. As long as you have an insurance policy covering BH series vehicles, you can file for a claim regardless of where the accident happened.
No claim bonus for old cars
The no claim bonus won’t be lost if you change your car’s registration number to a BH series number. All you need to do is apply for a change in the registration number in the existing policy and the new BH number will get endorsed in the existing policy.
Renewal of insurance policy
The law mandates car owners to have a three-year Third-Party and one-year Standalone Own Damage motor insurance policy. So, if you bought a car in 2021, it is time for you to renew third-party motor insurance to cover you against any third-party losses incurred due to accidents, along with own-damage motor insurance.
At the time of renewal, you can easily search for motor insurance for your BH series car online. All you have to do is just choose the make, model, variant and registration year to complete the process. Thus, renewing insurance policies online can reduce time and effort.
Written by Nitin Kumar, Head – Motor Insurance, Policybazaar.com
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