By applying the shared economy model to share rentals, Turo reduces shipping costs, while at the same time giving you more control over what type of car you rent and what features you get.
But is Turo worth it? Yes, with a few exceptions.
What is Turo?
Turo is just like an Airbnb for car rentals. However, there are some important differences between renting an apartment and renting a car that can affect your profit potential.
Like Airbnb, listing on the Turo is free and can be done through any communication app with people who want to book your car.
After you accept the request to book your car, you must meet in person or remote check-in to hand over the keys.
Meeting in person can be time-consuming and it goes without saying that renting entire flights can be difficult.
If you do remote check-ins, you can still save some time, however you will still need to go through Turo’s verification process.
What Are Turo Car Rental Requirements?
To rent a car in Turo, you must meet the following requirements;
- You must have a verified account in Turo.
- You must have a valid permanent driver’s license.
- In Turo, you can start renting cars with these requirements.
Once you are done with your guest car, you will get it back using the same procedure. Turo also provides insurance for car owners, which takes a significant burden off your shoulders.
If you have a car, you can rent it for a fee. Instead of renting a car from the agency, you can pay for a vacation to drive your loved one around town.
Anyone who wants to impress the client can rent your Mercedes overnight and pay far less than the high-end rental fee.
If you want to rent a car, you can cut the middleman and rent directly from the car owner. Generally, you pay 35% less than a traditional car rental agency cost.
Is there a Turo car rental insurance?
- The answer to this question is yes! Turo has insurance offered by Liberty Mutual Insurance.
- Your car will be insured up to its cash value without incurring physical damage, theft, and vision.
- You will also be covered by the $ 1 million liability insurance policy offered by Turo Insurance Agency.
What Should You be Considered?
When electric elevators began to appear in public buildings, many people refused to use them.
The reason? When a new idea comes along, people need to be reassured that it is safe before they start participating.
They want to be confident and know that what they are talking about is legal.
We are going to examine the most common issues associated with Turo and find out why.
Turo is completely safe to use.
Concern # 1: What if someone wrecks my car?
This is obvious. It does not matter if it is a Fiesta or a 911 turbo; No one wants to destroy their car through a stranger.
The truth is, if ever a car gets on the road, it can get into an accident. What happens if someone decides to check their Twitter feed on the road and cracks your car into a light pole?
You are covered. Turo offers 1 million liability insurance through its partner Liberty Mutual.
Turo ensures your vehicle against damage with two levels of protection
- Basic: Turo covers 20% of the first $ 3,750 in repair costs for your vehicle, and costs up to 125k 100% additional costs.
- Standard & Premium: In these two plans, 100% loss-related costs are covered – up to k 125k.
If someone wrecks your car, you may choose to make repairs with a Turo insurance company, just like in a routine scenario.
Or, you may choose to have Turo perform an assessment and perform the repair process.
Either way, your car will be protected.
Concern # 2: What if someone messes up in my car?
There is always a chance that your tenant will be a slab. If you could get your precious car back, what would happen if the mustard on your cupholders cracked the seats or the sugar cane?
Simple. The guest pays for any and all cleaning costs.
Before you toss the keys to a guest, take pictures of the car’s interior and exterior.
After the car returns, take any photos that are out of place.
Until you submit those images within 24 hours, you will be refunded for cleaning costs.
Reimbursement comes in several levels:
- Moderate cleaning cost: $ 50 on average to clean food or dirt in the car, vacuuming, light or sticky stains, etc.
- Heavy cleaning: $ 100. Large stains on clean surfaces such as under mat cleaning and dashboard.
- Intensive cleaning: $ 150. Steam wash or anything that requires in-depth cleaning.
- Pet-hair: $ 150. Dogs are not allowed. No cats either.
- Smoking: -1 50-150. Detoxification, cleaning of physical debris (ash, cigarette butts, etc.)
- Maximum: $ 250. Anything beyond the previous terms, or multiple issues combined.
Concern # 3: Can It Affect My Car Insurance?
In short, no. There may be an exception to your auto insurance for renting your car — you can’t count on your insurance agency to cover the losses that can occur when renting a vehicle.
The good news is that Turo’s insurance policies will invalidate your own policy at the time of rent.
Any damage done by the tenant will be covered by Turo’s liability insurance and the condition of your own vehicle will be reimbursed by Turo’s required damages.
Concern # 4: What if the owner claims I damaged the car?
Tell them you rent a car through Turo. You are a reasonable human being who has never tried to damage someone else’s car, so you give it back clean and complete.
What happens if the owner mistakenly tells you that the guard smashed the bumper on the train or moved the cheeseburger between the seats?
If you make any allegations, Turo will mediate the situation using photo evidence. Taking pictures of the vehicle when you return is crucial to you; As long as you do this, Turo will never force you to pay for work you do not do.
Concern # 5: What if the car owner bails at the last minute?
One of the positive characteristics of a car insurance agency is reliability. If you rent a car through a major agency, you do not have to worry about the car.
If you overbook or the agency makes a mistake, chances are you can get anything from a huge pool of rental cars.
Some are concerned that services like Turo may not provide the same peace of mind, but those fears are unfounded. Here are some steps you can take to begin the process of preparation for mediation.
Choose a host with good reviews. Like any other peer-to-peer service, Turo has a review system that allows you to select verified and trusted hosts.
Communicate with the host before renting. Some people have a bright idea to list their extra car in the Turo, and then they forget about it.
Avoid this painful situation by sending messages to the host and making sure they are attentive and aware of the upcoming rent.
Keep in mind that cancellation costs the hosts money. If the host chooses to cancel a reservation less than 24 hours for your trip, they will be charged $ 50.
It discourages guests from giving their guests bail at the last minute — which is bad for business.
Is Turo worth it?
Is Turo profitable? It’s very good, but it’s also very dangerous.
Turo Vs. Other car leases: Is it better to rent a car in Turo?
In general, Turo has a very good rating with customers. People prefer the convenience and low prices of being able to rent a car. They also enjoy the convenience of dealing with people as opposed to corporations.
Here are some good things about car rental in Turo:
- The price is usually lower compared to traditional car rental services.
- The process is transparent and straightforward.
- Insurance Daily insurance up to 1 million.
- No hidden fees.
- The mobile app interface is great.
Here are some car rental risks in Turo
After a car passes the checkpoint, it may later develop defects, of which Toro may be unaware (e.g. malfunctioning taillight, windshield wiper, etc.). Such a situation can cause problems for the driver.
The tenant will have to go to the sketchy neighborhood to pick up the car and return (in this case, request a safe place to pick up and leave).
The car owner you are interested in renting may not respond in a timely manner.
You will not make a profit using your proposed business model. However, if some things go wrong, you will also lose a lot of money.
This is not a good plan if you definitely want income. If you can take the risk instead of the potential benefits, that’s a different story.
Turo itself is making money and even the hosts who rent their personal cars are making small personal profits.
I suggest you start that way with the car you already have and see how it goes before adding it to your aircraft.
This will help you get a better idea of the time and money you need to invest as you grow.
Start small and do not take financial risks that you are not ready for (like buying a premium car that you will not lose).
If it works, great – and if not, you can easily get out before thousands of people drown in the plan.
