Getaround car rental looks to rent personal vehicles

Getaround car rental looks to rent personal vehicles

A new startup company called Getaround hopes to jump into the car rental business with a fleet of rentals comprised of customer-supplied personal vehicles, similar to how home owners rent out their houses to other homeowners for vacation.

Getaround co-founder Sam Zaid says that vehicles in the United States sit idle for an average of 22 hours every day. And that by signing that car up for use as a rental vehicle, the owner (and Getaround) can turn that idle situation into one that makes money.

The car sharing system works by creating a network of users who are connected via iPhone app and the Getaround website. Those wishing to rent their vehicles will receive a car kit that sits on the dash. When customers have selected a car they want to rent, they locate it on a map and use the iPhone to unlock the vehicle and access to a hidden key.

Rates vary by vehicle. For example, a Mini Cooper will costs $5.50 per hour, a BMW Z4 $15 and a Tesla Roadster $50 per hour. Insurance is covered by Getaround, thanks to backing from an unnamed provider.

Rental fees are broken down so that Getaround takes in 60 percent of the profit while the car owner receives the other 40. Getaround is currently beta testing the program in San Francisco and San Diego, California.