Does My Business Need Commercial Auto Insurance?

As your car share business grows, you wear a lot of hats: fleet manager, cleaner, and customer service. Insurance is easy to put off, especially if you assume your personal policy or the platform has you covered. Here’s how to tell whether your business needs commercial auto insurance.

Why isn’t personal auto insurance enough for a car share business?

Personal auto policies are written and priced for personal use. Many exclude cars made available for rent, sharing, or hire, and the NCOIL Peer-to-Peer Car Sharing Program Model Act, which many state car sharing laws are based on, lets insurers keep those exclusions.

Doesn’t the car share platform insure my car?

Only during the trip. Under the same model law, platforms must tell owners that their coverage is in effect only during each car sharing period, and that the owner’s own insurance may not cover a shared car.

Turo, for example, says its plans only apply to trips booked on Turo. If your car is damaged when it’s not on a trip, Turo says you’d need to claim on your own insurance. For a full breakdown of how platform coverage works, read our guide to commercial car share insurance.

Platform coverage varies, so always check with your platform to understand exactly what's covered during bookings.

When is your car share business exposed?

Your business is exposed whenever a listed car isn’t on a booked trip. Common examples include:

Driving the car to a car wash or for detailing
Taking it to a mechanic for an oil change or tire rotation
Collecting the car after a guest’s trip ends
Leaving it parked or garaged between bookings
Using it for your own errands

If your personal insurer excludes car sharing, or cancels your policy once it learns you host, you may have no coverage at all during these moments.

How do you know if your business needs commercial auto insurance?

Your car share business needs commercial auto insurance if any of these apply to you:

You list a car on a car share platform, even part-time
You drive listed cars between trips to clean, service, deliver, or collect them
Your personal policy excludes cars made available for rent or sharing
You want to use a listed car for your own driving between trips
You’re adding cars and want one policy across your fleet

Do you need commercial insurance for just one car?

Yes. The risk is the same whether you list one car or 50. Until recently, off-trip commercial insurance was mostly built for large fleets, which left single-car hosts with few options. Off-Trip Car Share Insurance has no minimum fleet size, so you can insure one car, and fleet discounts start from two vehicles, with better prices as you scale.

What kind of commercial auto insurance do car share hosts need?

Most hosts need off-trip commercial insurance, also called off-rental insurance. It covers the car whenever it isn’t on a booked trip, and sits alongside the platform’s trip coverage.

Off-Trip Car Share Insurance from INSHUR is commercial auto insurance for car share hosts. The platform covers the trip, and we cover the time in between.

What’s covered: the car while it’s parked or garaged, and while you drive it to the car wash, for detailing, to the mechanic, or on empty delivery runs.
Cover options: choose liability only, or liability plus physical damage cover for your own car.
Personal use: up to 50% of your off-trip mileage can be personal driving.
Mileage: a 250-mile monthly off-trip limit per car. Going over it, or over the 50% personal use limit, can lead to cancellation.
Tracking: each car needs an approved GPS tracker, connected within 60 days. Your coverage starts the day you sign and pay.
Platforms: works alongside platforms including Turo, TripCity, Mobi, and more

Does Off-Trip Car Share Insurance cover personal driving?

Yes, within limits. Off-Trip Car Share Insurance covers your car whenever it isn’t on a rental trip, up to 250 off-trip miles per car each month, and up to 125 of those miles can be personal driving.

Going over either limit can lead to your policy being canceled. So if you use the car as your daily driver, keep your personal auto policy. If you’re thinking about changing it, talk to us first so you don’t leave a gap.

Protect your business between trips

Getting a quote for Off-Trip Car Share Insurance is quick and easy. Tell us a few details about you and your vehicles and get your quote. It takes less than 5 minutes!

Get a quote today

Does my personal auto insurance cover a car I share on a car share platform?

Often not. Many personal auto policies exclude cars made available for rent or sharing, and state carsharing laws based on the NCOIL model act let insurers keep those exclusions. During a booked trip, the platform’s coverage applies instead.

Does car share platform insurance cover my car between trips?

Usually not. Under the NCOIL model law, platform coverage is in effect only during each car sharing period. Turo, for example, says its plans only apply to trips booked on Turo.

Do I need commercial auto insurance for just one car?

If you want that car covered between trips, yes. The risk is the same for one car as for 50. INSHUR Off-Trip Car Share Insurance has no minimum fleet size, so you can insure a single car.

What is off-trip insurance?

Off-trip insurance, also called off-rental insurance, is commercial auto insurance that covers a carshare vehicle when it isn’t on a booked trip. That includes time parked, cleaning and servicing runs, and delivering the car to a guest.

What happens if I have an accident on the way to the car wash?

The platform’s coverage won’t apply, because the car isn’t on a booked trip. If your personal policy excludes carsharing, you could be uninsured. Off-rental commercial insurance is designed for exactly this situation.

Does Off-Trip Car Share Insurance from INSHUR cover personal driving?

Yes, within limits. Each car has a 250-mile monthly off-trip limit, and up to 125 of those miles can be personal driving. Going over either limit can lead to cancellation, so keep your personal auto policy if the car is your daily driver.

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