People know about Turo as a peer-to-peer car rental sharing platform to get a vehicle on rent from the actual owner. Not only is it quite cheaper than traditional car rental services, but it also gives you access to more places and people to rent a car.
However, is Turo legit or a scam like some similar facilities? To find out, read this detailed discourse.
What is Turo?
Turo was founded in 2019 by a team of three individuals: Shelby Clark (former CEO), Tara Reeves, and Nabeel Al-Kady.
There is an interesting story behind its formation. In 2009, Clark was living in Boston when he decided to visit his family for Thanksgiving.
He chose to bike through the streets to find a rental car while noticing all the parked cars sitting idle without any use.
He then realized that there was a need for a peer-to-peer car-sharing marketplace. Meanwhile, he was also aware that insurance was the major hurdle in forming such platforms. It took him 18 months to solve the insurance issues.
The company was originally called RelayRides until it changed its name to Turo.
Today, Turo is a well-known peer-to-peer car-sharing platform that allows car owners to rent out their unused cars to other people and earn some extra money.
It isn’t wrong to call Turo the Airbnb of cars.
According to the latest statistics, the US is the top contributor to the most revenue in the car rental market globally. Companies like Turo have helped grow this industry over time.
In 2023 alone, Turo reported revenues of $880 million. This amount shows an incredible growth of 18% from $747M in 2022. Similarly, revenue for the first six months of 2024 rose by 9.7% to $452.72 million.
So why is it so popular?
Turo is famous for many reasons.
- It allows you to rent cars directly from the owners. This helps you get a rented car at an affordable rate.
- Turo allows you to access a wide variety of vehicles. For instance, you can rent luxury, classic or modern cars depending on your preference. This facility isn’t available with traditional rental companies.
- With Turo, you can easily escape the airport rental counters and find cars within your neighborhood.
- Turo offers a personalized experience, allowing you to get in contact with the car owner and enjoy flexibility related to drop-off and pick-up arrangements.
- If you want to earn extra income, Turo can give you an opportunity to earn money by renting out your vehicle.
How Does Turo Work?
Turo allows car owners to rent out their unused cars to others.
Suppose you are planning to go on a holiday and have a car that you won’t be using for many days. In that case, you can list it on Turo and earn some passive income from renting it out.
Currently, Turo has more than 3.2 million guests, 350,000 active vehicles and 175,000 hosts.
As an owner, you can choose to deliver the car directly to the renter. Alternatively, you can drop the vehicle off at a particular location.
You may wonder about the earnings. This is not fixed for everyone.
Some hosts put out a single car for rent purposes to boost their monthly income. However, there are many hosts who have built a huge portfolio of vehicles on Turo to support their financial dreams.
Here is how the platform works for both parties.
For the Owner
If you are the owner and want to rent out your car, you should first sign up at Turo and list your vehicle. Luckily, there are no charges for these steps.
Then, set the availability and daily rent price of your car. For it to rent out faster, put up a nice description of the vehicle with photos.
If someone plans to book your car, communicate with them directly to avoid any miscommunication. You can decide on a pick-up and drop-off location as well.
Turo hosts get paid by the guest within three days of their trip. Payment is usually made via direct deposit.
For the Renter
You will also have to make an account in order to rent a car on Turo. You can look for a suitable option by doing a thorough search for the car and entering your dates, car preferences, and location.
While searching, read reviews from previous renters to find a great pick. You should also select a pick-up location or drop-off place at your convenience.
Once you have selected a vehicle, confirm its pick-up details with the host. Then, follow the entire check-in process on the application to seal the deal.
Pick-up and Drop-off Options
Turo allows for convenient pick-up and drop-off locations, often within walking distance or a short ride from the subway.
Pick-up is a seamless process, with hosts meeting guests at a specified location and handing over the keys.
Drop-off is equally easy, with hosts responding to messages and meeting guests at the designated location.
You can negotiate the locations for both beforehand with the host.
Turo Rental Car Prices
Turo fees depend on the cost of the trip, which is calculated by considering the car you rent out, the location, and the number of days you require the vehicle.
The rental price also includes the trip fee, which is a small amount that Turo earns to run the platform.
This fee is variable and calculated at the checkout. It is based on several factors like the vehicle’s value, booking lead time, and trip duration.
Other charges included in the rental price are cleaning and reimbursement fees. Again, they are charged depending on the car’s condition, fuel replacement requirements and other things.
To save money on Turo, follow the tips below.
- Book longer trips to get possible discounts.
- Sign up for email notifications to access Turo promo codes and coupons.
- Earn a loyalty bonus if you are a frequent traveler.
Insurance Coverage
At Turo, you can find several insurance options depending on your status as an owner of the car or the renter.
- All Turo trips come with liability insurance that helps cover property damage to others if you are responsible.
- Protection plans are not insurance but are available for guests so they can purchase them to reduce their out-of-pocket costs related to the damage to the host’s vehicle. You don’t need personal auto insurance to book a car with Turo.
- There is also a Standard Insurance plan available for hosts. It protects them against collision and theft. The plan offers a whooping $2 million in third-party liability coverage.
- You can purchase Off-trip insurance for your vehicles as a host on Turo. Your coverage will usually start at $89 per month per vehicle for damage plus liability insurance. Alternatively, liability coverage may start at $56 per month for every vehicle.
What to Do in Case of a Breakdown
Choosing a car with high user reviews can help minimize issues with cleanliness or the pick-up and drop-off process.
Reviews will also give you an idea of any quirks the car has and whether the host is flexible and responsive about schedule changes.
If you have issues with the car’s condition, Turo recommends communicating with your host immediately and contacting Turo support.
Turo vs Traditional Car Rental Agencies
There are many differences between Turo and other traditional car rental services.
For instance, Turo is often more affordable than traditional car rental companies, with prices varying based on the model, location, and other factors.
Additionally, Turo offers a wider range of cars, including luxury and unique vehicles, than traditional rental car companies.
Another major difference is that most traditional rental companies typically have dedicated customer service representatives at their rental locations. Turo, on the other hand, relies on direct communication with the car owner, making support much more straightforward.
Therefore, you can choose Turo over a traditional car rental company if:
- You want a specific car model that may not be available with a traditional rental company.
- You prefer coordinating with the car owner rather than a representative for drop-offs and pick-ups.
- Your budget is limited, and you want to find a rented car at a lower price than traditional rentals.
Who is Turo Best For?
Turo is best for anyone who is:
- Looking for a Particular Vehicle: Unlike a traditional rental company, Turo has a wide variety of car models. You can get your hands on classic, specialty or luxury cars using the same platform.
- Seeking Convenience: Turo is the perfect platform for anyone who wants to find cars near their home or a specific destination.
- Traveling on a Budget: Turo prices are often comparatively lower than traditional rental companies. So, if you want a rented car on a budget, Turo is a great option.
- On a Mission to Make Extra Income: If you want to earn some passive income, Turo is worth trying. The platform allows you to list your car so you can earn extra income.
Customer Reviews
Turo has a 4.4-star rating on Trustpilot, which is pretty impressive. Most of the customer reviews are positive.
For instance, a user, Scott Welch, shared how Turo costs about half of the major rental car companies. He loves this company and has been a customer for many years.
Douglas has shared how Turo keeps adding more services, making rentals quite convenient.
Pros and Cons of Using Turo
Here is a summary on all the pros and cons of using Turo.
| Pros | Cons |
| You can get access to a wide variety of vehicles as per your location. | The condition of the vehicle listed may vary according to the owner’s preference. |
| Turo charges competitive rates for its rental services, saving you a lot of money. | The understanding of insurance coverage can be quite complicated for many. |
| With Turo, you can experience flexibility by choosing your pick-up and drop-off locations yourself. | If you plan on becoming a car owner on Turo, you may need to manage all your bookings, vehicle maintenance, and potential damage claims yourself which can be a lot of work for many. |
| When you rent a vehicle from a local owner, you support the local economies. | The availability of your desired vehicle may fluctuate. |
| Turo has an intuitive platform and an excellent mobile application that helps you navigate different options with ease. | |
| Turo’s customer service is a great help for many. |
Final Verdict: Is Turo Legit?
Yes, Turo car rental is a legitimate platform that operates quite like Airbnb. It has a robust safety system that verifies hosts and renters.
Additionally, all hosts and renters are covered under Turo’s insurance policies. Turo also excels at providing good customer support to the renter of the vehicle to address any issue that may arise.
While trusting Turo is a great decision, you should also make this experience safe by following a few rules.
For instance, review the host’s reputation before booking a rental service. Additionally, go through all the terms and conditions of the platform. Besides, to prove your point in case of a mishap, take photos of the car before and after taking the rental service.
