SB 1720 Summary

• Establishes comprehensive regulatory framework for peer-to-peer car sharing in Arizona by adding Chapter 31 to Title 28, defining shared vehicles, owners, drivers, and car sharing programs with liability protections for platforms and vehicle owners.

• Requires peer-to-peer car sharing programs to maintain motor vehicle liability insurance covering minimum amounts required by section 28-4009 during car sharing periods and assume liability for bodily injury or property damage to third parties.

• Prohibits authorized insurers from denying coverage on personal vehicle liability policies for peer-to-peer car sharing use, but allows exclusions if properly documented in policy terms.

• Makes peer-to-peer car sharing programs responsible for collecting and remitting transaction privilege tax and rental surcharges on shared vehicle transactions, with exemptions available for individual-owned shared vehicles.

• Requires verification that shared vehicles have no outstanding safety recalls, driver license validation, six-year record retention of car sharing transactions, and notification to vehicle owners about potential lien holder contract violations.