What Insurance Do I Need for Turo?

If you’re new to hosting, insurance is the first big question and usually the biggest source of confusion. You’ll see terms like Turo protection plans, commercial insurance, and personal auto coverage, often used as if they’re interchangeable. They aren’t. And choosing the wrong path can cost you money, time, and even your listing.

Below is a clear, host‑focused walkthrough of how coverage actually works on Turo, when to stick with Turo’s plans, when a commercial policy makes sense, and why your personal auto policy is almost never the answer while a car is on a trip.

How coverage works on Turo (plain English)

Turo lets you choose a host protection plan for each car. Think of it as an insurance package administered through Turo’s partners. In exchange for keeping a smaller percentage of each booking, you get liability coverage and varying levels of physical damage protection if something goes wrong during a trip. You can also decline Turo’s protection but only if you carry a valid commercial rental policy that meets platform requirements in your area.

What about your personal auto policy? In most jurisdictions, personal auto insurance excludes commercial use like short‑term rentals. If you rely on it for Turo trips, a claim will likely be denied. Personal coverage matters when you are driving the car off‑platform, but not when a guest is driving on a Turo trip.

Turo protection plans: what you’re actually buying

Turo’s host plans are designed around a simple trade‑off: the more protection you choose, the smaller your host take per trip. The lighter the protection, the more of the booking you keep and the more financial responsibility you accept if there’s damage.

Common structure (names and details can vary by region):

• 90 plan: You keep more of the trip price, carry more financial responsibility if there’s a claim.
• 80 plan: A balanced middle ground many new hosts pick.
• 60 plan: Maximum protection and lowest out‑of‑pocket risk, but you keep a smaller share per booking.

All plans typically include liability coverage and physical damage protection subject to plan limits and deductibles, plus roadside assistance for the guest. The specific dollar limits and deductibles vary by plan and region, so always check the current details in your Turo dashboard before you publish pricing.

When this is ideal:

• You’re starting with one car and want a simple, platform‑integrated solution.
• You don’t want to source or manage a separate policy.
• You value straightforward claims handled through Turo’s process.

Commercial insurance: when scaling changes the math

As you add more vehicles, you’ll notice two things: your premium per car often becomes more efficient on a fleet policy, and your operational flexibility improves. A commercial policy can cover your vehicles during downtime, off‑platform driving, and even on other channels if you diversify. You also keep 100% of the trip price because you’re declining Turo’s protection.

When this is ideal:

• You’re running a business with multiple cars (often 10+), or plan to get there soon.
• You want consistent terms across platforms, or you need specific endorsements (e.g., hired/non‑owned, storage lot coverage).
• You want control over claims relationships with your own insurer.

Trade‑offs to expect:

• More paperwork and underwriting.
• You must meet minimums and safety standards required by commercial carriers.
• You’re responsible for compliance and proof of coverage on the platform.

Personal auto insurance: why it almost never applies on trips

This is the tough love part. Personal auto policies are priced and underwritten for personal use, not commercial rental. If a guest crashes during a Turo trip and you attempt to file under personal coverage, the insurer can deny it. That leaves you exposed and can even jeopardize your policy. Use personal insurance for your own driving; use Turo protection or a commercial policy for rentals.

Real‑world situations hosts actually face

1) First‑time host, one car, minor curb rash
You list a Corolla, take the 80 plan, and a guest returns with wheel and tire damage. Under the Turo plan, you file a claim, pay any applicable host responsibility or deductible per the plan, and repairs are processed through the platform. You keep hosting and learn what photos and documentation speed things up next time.

2) Weekend wedding trip, luxury SUV, late‑night incident
You list a premium SUV under the 60 plan. A guest calls at 1 a.m. with a flat and bent rim. Roadside gets dispatched through Turo’s partner, the guest returns safely, and you begin the claim with comprehensive documentation. The 60 plan cushions your out‑of‑pocket cost so one incident doesn’t wipe out your month.

3) Scaling to a fleet, mixed vehicles, multiple platforms
You now operate 12 cars some economy, some premium and you’re eyeing airport partnerships. You move to a commercial policy, decline Turo’s protection, and keep 100% of the trip price. You invest more time up front in underwriting, driver eligibility standards, safety procedures, and record‑keeping, but your per‑car economics improve and you have consistent coverage across platforms.

Comparison table: Turo plans vs commercial policy

Note: plan names, host take, deductibles and limits can vary by region and over time. Always confirm current details in your Turo account and with your insurer.

Simple cost model: same car, different coverage choices

Assume $2,000 in monthly trip revenue for the same vehicle.

On high‑utilization vehicles, a commercial policy can edge out the Turo 80 plan on net. On low‑utilization months, the Turo 80 or even 60 plan may be safer for cash flow. The right answer changes with your fleet size, local premiums, loss history, and risk tolerance.

How to choose (a practical framework)

Start with simplicity and speed if you’re new: a Turo plan gets you live faster and keeps claims inside one workflow. As you add cars and your bookings stabilize, run the numbers with a broker on a commercial policy to see when it overtakes the platform plan on net profit. Revisit the math quarterly insurance costs and utilization shift with seasons, rates, and your claims history.

Above all, document everything: pre‑ and post‑trip photos, mileage, timestamps, and communications. Good documentation is as valuable as coverage when something goes wrong. If you use fleet tools to automate that record‑keeping and get proactive alerts, you’ll reduce both incident frequency and claim friction.

FAQs about Turo insurance

Do I need insurance before listing my car on Turo?
You need coverage in place, but that can be Turo’s host protection (selected in your account) or your own commercial policy. You cannot rely on a personal policy for trips.

Does personal auto insurance cover Turo trips?
In most cases, no. Personal policies typically exclude rentals and other commercial use.

Which Turo plan is best for new hosts?
Many beginners choose the 80 plan to balance earnings with protection while they learn the workflow.

When should I switch to a commercial policy?
Usually when you operate multiple vehicles with steady utilization, want cross‑platform flexibility, or your broker shows a clear net benefit after premium and deductibles.

What happens after an accident on a Turo trip?
With a Turo plan, you file through the platform and its insurance partner. With a commercial policy, you work directly with your insurer. In both cases, thorough documentation speeds resolution.

Final take

Insurance for Turo hosting isn’t one‑size‑fits‑all. Plans inside Turo are the fastest way to start with clear guardrails. Commercial coverage unlocks better unit economics at scale, but demands more admin discipline. Personal insurance almost never applies on trips and shouldn’t be your safety net. Choose the path that protects your cash flow today and supports the business you want to run six months from now.

Next read: If you’re weighing whether hosting is truly worth it long‑term, don’t miss this analysis:
Turo: A Profitable Opportunity If You Do It Right

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