AL SB109

Establishes the Peer-to-Peer Car Sharing Program Act to regulate platforms that connect vehicle owners with drivers for vehicle sharing in exchange for payment, effective October 1, 2026

Requires peer-to-peer car sharing programs to assume liability for bodily injury or property damage during the car sharing period and ensure minimum insurance coverage meeting Alabama's financial responsibility requirements under Chapter 7 of Title 32

Mandates programs verify shared vehicles have no unrepaired safety recalls, verify driver licenses, and maintain records including usage frequency, pick-up/drop-off locations, fees, and revenues for at least the personal injury statute of limitations period

Allows insurers to exclude coverage for vehicles used in peer-to-peer car sharing from standard motor vehicle policies, placing insurance responsibility on the sharing program during active sharing periods

Subjects peer-to-peer car sharing transactions to the 1.5% automotive vehicle rental tax only when the shared vehicle owner did not pay applicable sales/use taxes at purchase, and requires collection of local rental taxes beginning October 1, 2026