Have you heard about HyreCar or Turo and thought seriously about renting out your car for passive income each month?
If so, you likely have plenty of questions about choosing between the two carsharing services.
- Which service might work best for you?
- Can you truly make money renting out your vehicle?
When evaluating HyreCar vs Turo, things can get confusing.
Let’s answer all your questions so you can make an educated decision.
What Is Carsharing?
A car-sharing service is a form of peer-to-peer car rental.
Instead of renting a car from the standard car rental companies like Enterprise or Hertz, for example, people rent directly from someone like you who’s willing to rent out their cars.
In short, it’s like Airbnb for the car rental market.
Renters enjoy it because it’s more flexible than the traditional car rental industry.
You can rent out your car for only a few hours or an entire weekend.
Renters pay only for their usage.
This comes from the distance traveled and how long the car is in use.
In return, you earn a side income and gain tax deduction benefits.
To understand how the two carsharing titans stack up, we first need to look at what each company offers individually.
Let’s start with HyreCar.
What Is HyreCar?
HyreCar focuses its services on renting out vehicles to people who want to turn around and drive for GrubHub, Postmates, Uber, or Lyft.
You’re renting to people who have a driver’s license but don’t own a vehicle.
They’ll use your car to earn income with one of the various delivery or rideshare services.
Reasons to Choose HyreCar
You’ll choose HyreCar if you don’t have any problems with a renter using your car to drive for Lyft, Postmates, Uber, or any other similar service.
HyreCar adds in normal wear and tear and depreciation costs when setting rental fees.
HyreCar is available in all 50 states and allows you to rent your vehicle out for longer periods.
You’re allowed to list your vehicle on other carsharing apps and marketplaces.
Your renter must provide a $200 deposit to rent your car. Y-Risk, a subsidiary of The Hartford, protects you with a liability insurance policy when you use HyreCar.
Reasons to Skip Hyrecar
Since your renter is using your car to drive for Uber or Postmates, you need to consider that they’ll put plenty of miles on the vehicle.
If you’re concerned about how this affects the life of your car, then you might not enjoy renting out via HyreCar.
You can’t get a person on the phone when you need customer support.
HyreCar uses a customer service platform that only allows for email communication.
Now how does Turo differ?
Here is some basic information on Turo.
What Is Turo?
Unlike HyreCar, Turo car rental operates more like a traditional car rental company.
People renting your vehicle on Turo are typically using it for a weekend getaway or some other conventional reason for renting a car.
Reasons to Choose Turo
Turo is a popular peer-to-peer carsharing app.
Almost 15 million people already know about it and use it.
You have a built-in audience ready to rent your car.
You do not have to use Turo’s suggested rate.
The app allows you to select your desired rate to charge renters.
Three are five Turo insurance options.
These are liability insurance coverage plans offered via Liberty Mutual.
The company also does a background check on all drivers before they can rent from you.
Reasons to Skip Turo
Although Turo is available in over 5,500 cities throughout the United Kingdom, United States, and Canada, you can’t use it in New York.
You must choose to use Turo exclusively.
The company doesn’t allow you to rent with any other carsharing app.
HyreCar vs Turo
Let’s discuss some of the differences between Turo and HyreCar.
1. Vehicle Selection
As an owner, you will get your vehicle inspected based on Uber and Lyft requirements and register it with HyreCar.
A driver can then browse HyreCar’s app to find your car.
They click “Book Now”, and then you have 24 hours to approve or decline their request.
It’s simple to list your car on Turo.
Create an account, upload photos with your car’s description, and list your car’s availability.
Drivers can then find your listing, book the car rental, arrange to meet you for their pickup, and then they return the vehicle to you at the end of their rental period.
There isn’t any set cost for either platform.
HyreCar and Turo are marketplaces.
The specific location and what renters expect to pay in that particular city set the rates.
Related: Turo fees you can expect to pay when renting a car on the peer-to-peer car sharing marketplace.
3. Rent Duration
HyreCar comes with a minimum rental duration of two days.
Your renter can continue to extend the rental period by reaching out to you.
Turo doesn’t come with any minimum rental duration, and your renter can contact you to shorten or extend their trip duration.
HyreCar insurance includes a $2,500 deductible to drivers if damage occurs.
The policy covers up to $300,000 for liability and up to $25,000 for vehicle damage.
The insurance kicks in at the rental’s start time and ends when returning the vehicle to you.
Lyft and Uber rideshare insurance coverages override the HyreCar policy when your driver has passengers in the car.
As the car’s owner, you can’t list your car with Turo unless you carry personal auto insurance.
Drivers don’t need their own insurance.
Turo’s insurance is considerably more complex than HyreCar’s insurance.
It includes five plans for you to choose from:
- 60 Plan: Earn 60% of the trip price in exchange for 100% of damage paid by Turo (no deductible)
- 75 Plan: Earn 75% of the trip price in exchange for 100% of damage paid by Turo ($250 deductible)
- 80 Plan: Earn 80% of the trip price in exchange for 100% of damage paid by Turo ($750 deductible)
- 85 Plan: Earn 85% of the trip price in exchange for 100% of damage paid by Turo ($1,625 deductible)
- 90 Plan: Earn 90% of the trip price in exchange for 100% of damage paid by Turo ($2,500 deductible)
Each of the above plans gives you $750,000 in liability coverage.
Your renter can choose between three plans:
- Minimum ($10/day minimum)
- Standard ($12/day minimum)
- Premier ($14/day minimum).
5. Customer Service
HyreCar customer service is fairly robust.
The easiest way to contact support reps is by sending an email to [email protected].
One nice aspect of HyreCar’s customer service is how they greet new applicants.
You can expect a call from one of their representatives after signing up to rent your car on the platform.
They run through the process with you, make sure your questions get answered, and that you don’t feel confused about any of the operations.
Turo customer service, on the other hand, is even more robust.
Unlike many other companies in the industry, Turo offers customer service at 415-965-4525.
The company also provides chat services on the app by tapping the purple dialogue button at the bottom of the screen.
5. Cancellation Policies
HyreCar allows you to cancel up to two trips per month.
Be careful in this regard because you may incur cancellation fees or risk deactivation of your account if canceling too often.
Drivers can cancel trips before or after you approve them.
If drivers cancel rental services after picking up your car, HyreCar gives them a reimbursement based on the time left on the rental.
You can cancel a trip with Turo by notifying the driver and the company’s support staff 72 hours ahead of the trip’s pick-up time.
You’ll incur a fine of $50 if you cancel less than 72 hours before the trip.
You also risk account termination.
Drivers get 100% of the trip price returned if they cancel seven days before the trip starts.
They’ll receive a 90% refund if canceling after seven days.
A driver doesn’t receive any refund if they cancel less than 24 hours before the trip begins.
Final Verdict: Our Choice
Choosing between HyreCar and Turo comes down to what your overall purpose is.
HyreCar is your solution when you want to hire your car out to business-minded individuals who will turn around and earn incomes via Lyft, Uber, Postmates, or other such services.
If you think you’d rather stick to renting your vehicle out to people looking to take a weekend trip or use the car for other personal purposes, then Turo is your choice.
Frequently Asked Questions
Let’s discuss typical questions that arise when comparing HyreCar to Turo.
Is HyreCar legitimate?
Yes, HyreCar is a legitimate car rental marketplace operating in all 50 U.S. states.
A reputable insurance company, The Hartford, offers insurance for the peer car sharing service via its subsidiary called Y-Risk.
Can I use Turo for Uber?
No, you can’t use Turo for any ridesharing or food delivery services.
You must use HyreCar for those purposes.
How much can you make with HyreCar?
There isn’t any specific amount that HyreCar can promise you regarding monthly or annual income.
However, the company estimates that staying active on the app allows you to earn $1,000 or more each month.
Can you put a financed car on Turo?
Yes, you can use a financed or leased car on Turo when renting out to others.
Keep in mind that you must check the terms of your agreement to make sure you don’t violate any of its terms.
You can’t rent a vehicle over 12 years old.
Your rental vehicle must have less than 130,000 miles as well.
Can I use HyreCar for personal use?
HyreCar exists to offer a vehicle to anyone needing it to drive for a ridesharing or food delivery service such as Uber or Postmates.
Turo is the best option when a vehicle is for personal use.
Does HyreCar require a deposit?
Yes, HyreCar charges a refundable deposit of $200 when a renter uses a debit card.
Now that you understand the difference between HyreCar and Turo, it’s time to make your decision.
Both platforms come with advantages and disadvantages.
Take your time and ask yourself which platform meets your needs in the best way.
Remember that you’re becoming an independent business person when earning money through one of these carsharing apps.
You should consider which type of customer you might enjoy working with best.
Do you think you want to deal with people using your car for personal use?
Go with Turo if that’s the case.
Would you rather work with other business-minded people looking to use your car to earn money as a food delivery driver or rideshare driver?
In that case, you’ll want to sign up on the HyreCar app and start making money there.
No matter which app you select, you have the opportunity to earn a nice side income via HyreCar or Turo.