Is Turo Worth It To Rent Out Your Car? (Turo Review 2023)

Turo Car Rental Company– What Is It?

Have you ever rented space through Airbnb? Turo, a peer-to-peer rental car platform, is Airbnb, but of cars. 

Launched as an alternative to traditional rental car companies, the Turo car-sharing marketplace allows owners to list their vehicles on its website, so other people can rent them. Leasing out a car from Turo is easy compared to car rental kiosks at the airport– you neither have to pay high fees nor stand in long lines. 

This easy-to-use, intuitive platform is lucrative, as it allows hosts to rent multiple cars at a time. Best of all, you can connect with customers from anywhere in the world through the Turo app or website, from finalizing pick-up and drop-off locations to the rental price.  

In simple words, the entire car rental process is contactless, meaning you can rent out your car to those in need without meeting them. From Polaris Slingshots and Jeep Wranglers to Ferraris and Teslas, you can rent any model that you wish at Turo rentals. 

Where Does Turo Work? 

Like Uber and Lyft, the Turo platform mostly operates in populated cities of the United States, like:

• San Francisco
• San Jose, CA
• Minneapolis
• Dallas
• Houston
• Chicago
• Philadelphia
• Seattle
• New York City
• Washington D.C.

Besides, you can rent out your car on Turo in university cities, such as:

• Durham, NC (Duke University)
• Cambridge, MA (Massachusetts Institute of Technology)
• Pasadena (California Institute of Technology)
• Princeton, NJ (Princeton)
• New Haven, CT (Yale)

In Canada, Turo rental car company operates mostly out of these provinces:

• Alberta
• British Columbia
• Nova Scotia
• Ontario
• Quebec

How Do Turo Prices Differ From Rentals?

At Turo, car owners decide the price of renting their cars to those in need, which is why prices vary to a great extent. So, vehicle owners can charge as much money as they want to rent their cars through the Turo car rental business platform. Truth be told– a traditional rental car agency doesn’t offer this freedom to car owners. 

We’d like to mention that the cost of renting a car that you see in the Turo app excludes insurance plans. Whoever rents your car will have to choose between five Turo insurance plans, which will determine the final rental price.

On average, a renter would pay you 20% less than what you would receive at a traditional car rental company– its low cost has made it popular among the masses. Even then, you’re not at a loss because nominal charges mean more customers. Therefore, you’re likely to earn more than you would at other rental companies. 

At Turo, you can earn around $40 per day for renting a car, as against Hertz car rental, where you can make $50 per day. However, the $10 difference is what attracts people to rent cars at Turo rather than Hertz, which means there is a likelihood of earning a lump sum amount every month. 

The average daily rates of some popular cars at Turo are as follows:

• Porsche Boxster: $99
• Tesla Model 3: $90
• Jeep Grand Cherokee: $72
• BMW 2-Series: $108

Anyone renting these cars or similar models at Turo is likely to make hundreds of dollars every month, which is great. Note that renters have to pay a security deposit before renting a car at Turo, which ranges between $500 and $1,500; this gives peace of mind to vehicle owners. 

Turo Host Requirements

Whether you wish to rent a luxury car like Ferrari or other cars like Ford, there are certain requirements that you must meet to become a Turo host. You must:

• Have a valid driving license
• Be above 21 years of age
• Possess a car that meets vehicle requirements put forth by Turo

Like every traditional rental car company, you cannot register just any vehicle at Turo. Some vehicles which you can’t rent on Turo are as follows:

• Motorcycles
• Off-road use vehicles
• Limousines
• Construction Equipment
• Recreational vehicles
• Box trucks 
• Farm equipment

The Pros Of Renting A Car At Turo Compared To Traditional Rental Car Companies

So, is Turo car rental worth it or not for registering your car? Here’s why the Turo car-sharing company is better than other car rentals. 

1. User-Friendly App And Website

Not every app and website designed for rental cars is intuitive or easy to use, which makes it challenging for non-tech-savvy individuals. Thankfully, the Turo website isn’t complicated; rather, it has a user-friendly layout that makes it easy for lessors to register their cars without much hassle. 

Not only for lessors, but the website and app are designed so that renters also don’t face trouble while making reservations. You can change listings, send messages, and get paid with just a few clicks. 

2. Larger User Base

There’s no shortage of customers when it comes to Turo as compared to traditional car rental companies. In fact, Turo is among those few companies that have garnered a large customer base because of its lower prices and availability in various countries. 

The Turo app was downloaded about 400,000 times in June 2022– now that’s a new one! With such a large user base, you’ll be presented with numerous opportunities to lease out your vehicles compared to other car-sharing rental companies. 

What’s more, you get to engage with people worldwide, contributing to a pleasant experience. 

3. Earn Extra Money

We bet you’d agree with us– life in today’s times is much more expensive than it was in bygone days. 

So, if you can’t make ends meet despite hustling nine-to-five, renting a car at Turo can help you earn a few dollars more. Simply list your vehicle in the Turo app and rent it out whenever you’re not using it, and that’s it! 

The Cons Of Listing Your Car On The Turo Car Sharing Marketplace

1. Competitive Market

You aren’t the only car owner who’s going to register their vehicle at Turo– there are tons of other people who’ll register their cars at the company. As the industry is filled with fierce competitors, you will have to strive to ensure your first rental delivers an unmatched experience to people. 

Besides maintaining online visibility, you’ll have to keep in touch with people who are most likely to rent your car for their trips or running errands. You will also have to design a successful marketing strategy to attract clients, so keep a close watch on the techniques employed by others. 

2. Turo Customer Service Isn’t Much Active

Another downside of Turo is that its customer service isn’t active, despite its claim of 24/7 availability. So, if things go south, you must keep in mind that your matter won’t settle quickly. It will take longer than expected because it’s a peer-to-peer platform. 

In case a renter damages your vehicle– intentionally or unintentionally– you’ll have to generate a “ticket” and wait for the executives to reply to address queries via email. As such, getting matters resolved at Turo is a lengthy procedure; let’s be honest, no one has time to wait in this fast-paced world. 

The least you can do to prevent landing in such situations is to screen renters thoroughly. In case you find any red flags, refrain from renting your vehicles to them because it’s better to be safe than sorry. 

Turo Protection Plan– Is It Worth It?

So, you’re planning to list your vehicle on the website and app of Turo? If yes, you must be thinking if the Turo protection plan is worth the money or not. 

Turo provides five different protection plans to hosts, each of which offers different benefits. Whichever plan you opt for, remember that the company will deduct a small sum from the trip price and pay for the insurance. So, the more expensive the plan, the less money you’ll make from the company. 

60 plan, 75 plan, 80 plan, 85 plan, and 90 plan– every plan comes with third-party liability insurance of $750,000. Note that this insurance plan is secondary, so having personal auto insurance coverage is necessary. 

The answer to if the Turo protection plan is worth the money or not is subjective. Some may find it fruitful, while others would consider it a waste of money– so it depends on personal preference. 

Still confused if you should purchase the protection plan or decline it? Then before making a decision, weigh the prospective costs of repairs and replacements against the sum of the protection plan. If the cost of the protection plan exceeds the costs of repairs, buying the insurance plan would be of no use. 

Turo Hosting– How Much Money Can You Make By Being A Turo Host?

The amount you can earn from Turo by renting your vehicle depends upon many factors. Besides the time and location, the type of vehicle you’re renting will determine the money you can take home from Turo. 

Like other car rental companies, Turo charges commissions from every rental, ranging between 15% and 40%. Supposedly, if a Turo host lives in New York and rents out their car at $50 per day, they would earn about $1,125 after the 25% cut per month– not that bad!  

To get a clear picture, you can use the Turo calculator and understand better how much money you can earn from the company. 

Buying A Car For Turo– Is It Worth It?

To earn money from Turo, you must have a functional car to rent it out to people in need of it. And if you don’t have one, you must be thinking of buying one to list it at Turo to earn passive revenue– right?

There are certain factors that you must consider before buying a car to rent at Turo car rental company. 

1. How Frequently Do You Intend To Rent Your Car?

Buying a car will be a sound decision if you reside in a crowded city, where you’re sure the car will be rented by someone almost every day. But it wouldn’t make much sense to buy a car only to rent it out occasionally. 

2. The Type Of Car You Wish To Buy

The majority of vehicles you’ll find at Turo rentals are high-end models. As such, if you wish to make up for the expense of a vehicle with luxury features, purchasing a high-end model explicitly for Turo makes sense. 

But, if you want to rent a vehicle to earn money, you can purchase any standard car and list it at Turo. 

Conclusion– Is Turo Worth It To Rent Out Your Car?

So, is Turo car rental worth it to lease out your car? Well, that’s something you’ll have to decide for yourself because the answer to this question is subjective. 

While it is a great platform to make hundreds of dollars every month, there are plenty of aspects that you need to consider before hopping aboard the platform. 

Besides insurance information, you’ll have to take into account a lot of small print and then decide if it’s worth a try. And if you decide to give it a go, be sure to do your research, check for host reviews on multiple third-party sites, and then make a decision.