Many of you are trying out the convenience of the car rental-ish entity, Turo, which allows you to rent people’s private vehicles much in the same way that Airbnb does for houses. One of the key questions is, what if you rent a Turo car and get into a car accident and damage another car or hurt someone?
I scheduled a trip for Labor Day to San Francisco and one of my all time goals was to rent a hot car and drive the Pacific Coast Highway and the Napa and Sonomo Valleys. I got on Turo and found a perfect 2018 Black Jag F-Type convertible for a reasonable $200 a day. Throw in a few taxes etc and then you come to a buy insurance screen. Turo pretty much tells you they have no idea if your car insurance will cover you and suggests you buy a “spot” policy that covers you while driving. This policy is written by Liberty Mutual and comes in either $30,000 in liability coverage or $1,000,000 of liability coverage. The larger policy costs $81 dollars a day! Once you factor this in, the rental rate looks a lot less attractive.
I started poking around. First I checked with American Express, which normally provides coverage for property damage done to rental cars so you don’t have to buy that from Enterprise or Hertz or whatever. Nope, Amex says right on their website “we do not consider Turo to be a car rental company” and therefore their coverage does not apply.