AAA and a lawyer weigh in on Turo car sharing insurance

Posted at 7:03 PM, Jan 04, 2019
and last updated 2019-01-04 21:07:38-05

Turo is an app that allows people to rent out their personal vehicle, but what if the driver damages the car, gets in an accident, or does something illegal in the vehicle?

Turo says they cover the owner's car with one million dollars in liability insurance.

"For the most part, a million dollar policy should cover almost all potential losses that the owner of the vehicle who was renting it out could suffer," said David Leroy, Idaho attorney at law.

He says in the extraordinary case that law enforcement attempts to seize the vehicle because it was used for drugs unknowingly by the owner, the owner would either have a defense to that or the million dollar policy would likely cover the loss of the car.

There's also the question if the driver gets injured.

"In that circumstance the insurance would hopefully cover the injury so more than a million dollars in damages could be claimed, the owner might have some exposure and it's unlikely in my opinion that the owner would, if they had a typical policy, they be covered by their own policy if they're commercially renting out a private vehicle."

Matthew Conde with AAA says you should inspect the vehicle and find out the car's history before renting it.

"Just a simple check and making sure there's not any issues with tire tread coming apart, windshield wipers that are splitting, fluids that might be leaking. Look around the hood to see if there's any corrosion within battery terminals," said Conde.

Leroy says it would be wise to consult your lawyer and your insurance policy before renting out your vehicle.