by

posted on November 13th, 2013

There has been a lot of media speculation following the tragic Boston accident that occurred in February 2012, involving a car rented through Turo (then RelayRides). Many pointed to that accident as a prime example of the risks surrounding the sharing economy. Others speculated that the insurance provided by Turo may not provide adequate coverage. Some wondered about the liability incurred by owners in case of catastrophic accidents.

The case has settled within the insurance limits, and while we are legally restricted from sharing details, I am pleased to report that our insurance worked exactly as designed, protecting both the owner and traveler.

Looking ahead, Turo will continue to provide a car rental marketplace that is better protected and better insured than the general transportation marketplace.

Let me illustrate how Turo is actually better protected and better insured.

Turo is better protected

All travelers in the Turo marketplace are insured with at least the minimum liability coverage of the state where they are located, unlike the general driver population, which can frequently be uninsured. In fact, an estimated 14% of licensed drivers, or roughly 29 million drivers, are uninsured nationwide, compared with zero at Turo.

uninsured_drivers

Turo is better insured

Turo owners are provided with $1 million of insurance, which is many times more than typical insurance covers and up to 20 times more than all state-mandated minimums, meaning they are typically better covered when their car is being driven in the Turo marketplace than when they are driving their car themselves.

insurance_DC

 

While accidents are a sad reality in transportation, we want people to know that we remain committed to offering a transportation marketplace that sets the standard for transportation safety. After more than one million rental days completed on trips through the Turo marketplace, our industry-leading trust and safety protections have worked as they were designed.

Moving forward, we will continue to make safety one of our highest priorities.

Andre

Updated June 8, 2016

Andre is the Turo CEO and a true car enthusiast. After many years in the consumer web space, he combines his passion for cars, technology, and the environment each day at Turo as he works to put the world’s one billion cars to better use.