Car2go insurance

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Car2go provides car rentals and car sharing services to drivers and riders across Europe. The company’s headquarters are based in Germany but services countries across Europe and North America, including the U.S. and Canada. Car2go also offers insurance through its partnership with Allianz.

Its insurance is offered to all Car2go customers who are renting a car. Car2go’s insurance policy covers up to the state’s minimum requirements. Anyone who does not own a car, uses rental services or car sharing services may benefit from Car2go’s services and insurance. However, you must be a member in order to use Car2go’s insurance and service.

What is Car2go insurance

Car2go insurance is a car-sharing service. With car-sharing, you do not have to commit to a purchased or leased car. Drivers can rent a car with Car2go’s app for as long as the car is needed. Cars are available at designated locations across the U.S., Canada and Europe. Car2go insurance is designed for those who do not have their own vehicle. It is for anyone who enjoys using car sharing services like Car2go.

Car2go provides insurance for members who are registered with Car2go’s rental service. The insurance offered by Car2go includes liability of the state’s minimum insurance requirements. Therefore, each person will have different insurance coverages from Car2go depending on the state he or she resides in. In order to be eligible for a membership with Car2go, you must provide:

  • A valid driver’s license
  • Personal information that must be verified
  • Driving history
  • Driving record
  • Confirmation that you will abide by all of Car2go’s rules.

How does Car2go insurance work

After you register to become a member of Car2go, its Share Now service is simple to use. You can locate a vehicle that you would like to use and reserve it using the Car2go app. When you are finished driving the car, you can return it safely to a designated area. Since after you reserve a vehicle, other members will not be able to select the vehicle you have chosen, you may be charged a fee to reserve the vehicle. Drivers also have the option to just walk up to the vehicle without reserving it, however, another member may reserve the vehicle beforehand so reservations are always recommended.

In the U.S. and Canada, Car2go offers liability insurance that is in line with each state’s minimum requirements. The liability insurance provides protection for liability coverage for third-party bodily injury and property damage, basic no-fault benefits and uninsured motorist bodily injury coverage where mandatory. The terms of Car2go’s insurance and coverage limits vary by state requirements as Car2go will always go with the state’s minimum insurance requirement.

You can also have your own personal insurance carrier. It may be useful to combine your own insurance policy with Car2go in the event that claimed losses exceed the limits of Car2go’s insurance policy. If you do not have insurance, it may be a good idea to obtain a non-driver insurance policy to protect yourself from any costs that exceed the liability coverage.

How much insurance does Car2go offer?

In the U.S. and Canada, Car2go offers liability insurance that is in line with the state’s minimum requirements. The liability insurance provides protection for liability coverage for third-party bodily injury and property damage, basic no-fault benefits, and uninsured motorist bodily injury coverage where mandatory. The terms of Car2go’s insurance and coverage limits vary by state requirements as Car2go will always go with the state’s minimum insurance requirement.

Since Car2go only covers up to the driver’s state minimum insurance requirements, gaps may be present. For example, some states do not require uninsured motorist coverage so Car2go’s insurance will not include uninsured motorist coverage in those states. If you live in a state that does not require uninsured motorist coverage, and you get into an accident with an uninsured motorist while driving a car from Car2go’s service, then you will have to pay for damages if you do not have any other form of insurance. Therefore, obtaining another car insurance to combine with Car2go, and obtaining uninsured motorist coverage may be a good coverage option to consider.

What does Car2go insurance cost?

In order to use Car2go’s insurance, you will have to register to be a member. Car2go has a membership fee and a member application fee. Car2go charges $35 for new applicants to submit an application. If you want to reserve a car with Car2go, the service charges a $15 per hour rate and a $59 per day rate. Additionally there is a driver protection fee of $1 per trip.

Looking at the costs associated with Car2go, it may be a cheaper option, especially for those who do not drive often and do not own a car. Insurance companies’ rates differ by location and personal characteristics such as driving record, credit score, age and driving history. If you are considered a high-risk driver, then the insurance quote you obtain can be significantly higher than how much you would have to pay with Car2go. However, the downside of Car2go is that it does not offer add-ons to its insurance. The only insurance you will receive is your state’s minimum liability requirements.

Is Car2go insurance right for me?

You may be wondering if Car2go insurance is right for you. If you do not own a car and are not planning to commit to owning or leasing a car anytime soon, Car2go may be a good option. Additionally, if you do not drive a lot and are looking for a convenient and quick ride sharing service that offers insurance, Car2go may be right for you. However, if you will be driving a lot, you may want to consider combining another personal car insurance with Car2go to protect you from claims that exceed Car2go’s liability coverage.

Additionally, if you are looking for comprehensive car insurance coverage and add-ons like roadside assistance, uninsured motorist coverage, and more, then Car2go insurance may not be right for you or you may want to consider combining Car2go with another car insurance.

Written by
Grace Kim
Insurance Contributor
Grace Kim has two years of experience in writing for finance and insurance domains such as The Cheapest Car Insurance Companies in New Jersey at Bankrate and Reviews.com. She has written about auto, homeowners, renters and life insurance. She holds an M.Sc from New York University in Corporate Communications and has spent most of her professional experience writing about finance and tech topics.