SB224 Summary

• Private motor vehicle rentals (peer-to-peer car sharing) are subject to all existing insurance, taxation, and licensing requirements that apply to commercial vehicle rentals.

• Program providers must procure group liability insurance with minimum coverage equal to personal passenger vehicle requirements under Alabama law, with coverage automatically extended to renters and authorized occupants during rental periods.

• Program providers are deemed vehicle owners for liability purposes during rental periods and must register with the Department of Revenue and remit privilege/license taxes; rental vehicles must be assessed as Class II property for ad valorem tax purposes.

• Program providers must verify vehicles have no unrepaired safety recalls, notify owners of recall requirements, and remove vehicles from the program within 72 hours of receiving notice of any safety recall.

• The act becomes effective on the first day of the third month following passage and gubernatorial approval.