Peer-to-peer sharing has changed the way we live our lives.
You no longer have to spend an arm and a leg to stay at an out-of-this-world abode thanks to Airbnb, and drivers can now use their vehicles to generate extra income thanks of Uber.
And now another company is trying to break into Canada’s sharing economy by launching a car borrowing service called Turo.
The San Francisco-based company has announced that it will be launching in Alberta, Ontario, and Quebec, allowing Canadians to rent their personal vehicles to others through the company’s app or website.
Drivers can list their vehicles for rent by the day, week or month, and earn money from what is often an under-utilized asset. Cedric Mathieu, Director of Turo Canada, says the average Canadian’s car is parked more than 90 per cent of the time, which is why Turo gives vehicle owners the opportunity to pocket a great deal of extra cash.
In order to list a car on Turo in Canada, vehicles must be younger than 10 years old, have less than 200,000 kilometres on the odometer, and can’t be worth more than $75,000.
When it comes to deciding rental costs, Turo has full control and will make its decision based on the car’s market value, location, and time of year. The company will then pocket 25 per cent of the rental fee, which includes a charge for the owner’s insurance coverage during the rental.
So what about all of the Airbnb horror stories involving renters who trashed the rental unit? What if a renter damages the vehicle?
Turo has partnered with Intact Financial Corporation and Belairdirect to provide insurance for Canadian clients. Any claims that arise from a Turo car rental have no impact on the owner’s personal insurance and they’re covered for the full value of their vehicle along with $2 million liability coverage.
In order to qualify for renting, drivers need to be approved by Turo’s verification system, which reviews a renter’s driving history.
And while there are plenty of car rental services available in Canada, Turo connects drivers to cars that might typically be out of their price range. Currently, there are a number of great vehicle options available on Turro’s website starting as low as $30 a day.
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