Peer-to-Peer Car Rental Insurance: What Your Standard Policy Doesn’t Cover

Peer-to-Peer Car Rental Insurance: What Your Standard Policy Doesn’t Cover

Thinking of renting a car through a peer-to-peer platform like Getaround or Citiz? Be careful. Your standard car insurance won’t cover this type of rental. Even with a fully comprehensive policy, you’re not protected in case of an accident or theft during the rental. Here’s what you need to know to avoid nasty surprises.

1. Why your standard car insurance isn’t enough

Your personal car insurance is designed for private use. It doesn’t cover peer-to-peer rentals. As soon as you rent your vehicle to someone else—even occasionally—your insurer considers the usage to have changed. You shift from private to commercial use. The result? Your insurer may refuse to cover any damage in the event of a claim.

Here’s a real-life example. You rent out your car via Getaround. A renter causes an accident. Your insurer could invoke this usage clause to deny coverage. You’d then be liable for repairs, which can quickly run into thousands of euros.

The solution exists. Platforms like Getaround or Citiz include fully comprehensive insurance in their offering. But beware—this insurance is specific to rentals. It doesn’t replace your standard car insurance. For more on the specifics of car-sharing and peer-to-peer rentals, check out this article.

2. Getaround: fully comprehensive insurance included, but with limits

Renter checking a car's condition before a peer-to-peer rental

Getaround offers fully comprehensive insurance. It’s provided in partnership with AXA and included in the rental price. This insurance covers several aspects:

  • Damage to the rented vehicle, even if the renter is at fault.
  • The renter’s third-party liability for damage caused to others.
  • Theft of the vehicle, subject to conditions. For example, a police report must be filed within 48 hours.

However, this insurance has its limits. Here are the main ones:

  • High excess: it can reach €1,000 or more for certain models.
  • Exclusions: damage caused by an undeclared driver isn’t covered. For example, if a friend borrows the car without being listed on the contract.
  • Reporting deadlines: any claim must be reported within 5 working days. After that, coverage may be denied.

A word of advice—read Getaround’s insurance terms and conditions carefully before renting. Some clauses vary depending on the car model or rental duration.

3. Citiz: insurance tailored to station-based car-sharing

Citiz offers vehicles at fixed stations. These cars are often shared by multiple users. Insurance is included, but it works differently from Getaround’s.

  • No excess for damage to the vehicle—provided you comply with the terms of use.
  • Extended third-party liability: it covers damage caused to others, even outside the rental period. For example, if you use the car for a personal trip after your booking.
  • Personal insurance required: Citiz requires you to have your own car insurance to use their service, even though it doesn’t cover the rental.

Citiz’s rates include this insurance. With a subscription, expect €16/month plus from €3/hour. Without a subscription, it’s €0/month plus from €5.50/hour. A good option for occasional trips—but not cost-effective for regular use.

4. Pitfalls to avoid before renting

Even with insurance included, a few precautions are essential. Here’s how to avoid nasty surprises:

  1. Check the vehicle’s condition before renting. Take photos or a video of any existing damage. Report it to the platform. Without proof, you could be held responsible for damage when returning the car.
  2. Comply with the terms of use. Some insurance policies exclude trips abroad, unpaved roads, or drivers under 21. Read the small print.
  3. Don’t lend the car to someone else. Only the declared renter is covered. If a friend drives and causes an accident, the insurance may refuse to cover the damage.
  4. Report any claim immediately. A 5-day deadline is often imposed. After that, coverage may be denied.

Here’s a real-life example. A Getaround user had their €1,000 deposit withheld after an accident. They hadn’t reported the claim on time. The platform refused to refund the excess—despite them having photos of the car before and after the rental.

5. What to do if the insurance refuses to cover a claim

If the insurance refuses to cover a claim, here’s what to do:

  1. Re-read the terms and conditions. Check that the claim falls within the coverage. For example, some contracts exclude damage caused by an undeclared driver.
  2. Contact the platform’s customer service. Explain your situation. Ask for a review of your case. Sometimes, a simple reporting error can be corrected.

If the platform still refuses, here’s what to do next:

  1. Appeal to the insurance mediator. This service is free and independent. You can contact them via mediation-assurance.org.
  2. Take legal action. This is a last resort. It’s time-consuming and costly. Best avoided if the dispute amount is small.

A final tip—keep all evidence. Photos, email exchanges, accident reports. They’ll support your case. Without proof, it’ll be hard to challenge a coverage refusal.

6. Peer-to-peer vs. traditional rental: what’s the cost?

Source: Getaround, Citiz

In short, peer-to-peer rental is often cheaper and more flexible. But the included insurance may come with high excesses. Traditional rental, on the other hand, offers more comprehensive coverage—but at a higher price.

7. What if you rent out your own car?

Own a car and want to rent it out via Getaround or another platform? Here’s what you need to know:

  • Your personal car insurance doesn’t cover rentals. Like the renter, your standard policy excludes commercial use. You must take out the insurance offered by the platform. It’s mandatory.
  • Check your loan terms. Some banks prohibit renting out vehicles bought on credit. Read your loan agreement before getting started.

Protect yourself against risks

  • Malicious renters. Platforms like Getaround offer identity verification and deposit options to limit risks.
  • Declare your income. Rental income from peer-to-peer rentals is taxable. You must declare it under non-commercial profits (BNC).

Here’s an example. An owner rented out their car via Getaround for 10 days a month. They earned €600 in rental income—but had to pay €120 in tax on it. Not to mention the accelerated wear and tear on the vehicle.

Should you take out additional insurance?

If you rent out your car regularly, additional insurance can be useful. It covers several aspects:

  • Loss of income if the vehicle is off the road after an accident.
  • Damage caused by a renter not covered by the platform’s insurance.
  • Legal protection in case of a dispute with a renter.

Some insurers offer specific extensions. Check with your usual insurer to compare options.

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Criteria Peer-to-peer rental (Getaround/Citiz) Traditional rental (Avis, Europcar)
Insurance included Yes (fully comprehensive, but with excess) Yes (fully comprehensive, variable excess)
Average price (1 day) €30–80 (depending on model) €50–120 (depending on model)
Unlimited mileage Yes (with exceptions) No (often limited to 200–300 km/day)
Flexibility Book in 5 minutes, unlock via app Booking required, pick-up at branch
Available vehicles Wide range (city cars, SUVs, vans) Standardised range (limited choice)