A significant drawback to gig driving is that drivers are on the hook for fuel. You can implement measures to lessen the impact of your fuel consumption, including Gridwise Gas, and use driving tips to help you save money, such as those revealed in a recent Gridwise blog post, 13 Ways to Save Money on Gas as a Rideshare or Delivery Driver.
Another drawback, a larger one, is the miles you put on your car. Some gigs are kinder than others to your odometer. Rideshare is the most mileage-intensive gig driving activity. Full-time drivers can put 250 to 300 miles a shift on their rideshare cars, and sometimes more. That’s over 60,000 miles a year.
That kind of mileage accelerates the depreciation of your car.
There are other drawbacks, which we’ll discuss later in this blog.
Is there an alternative? Car rental for gig workers is an option to consider. That’s the subject of this blog post. Topics include
- rideshare car rental
- delivery driving car rental
- a brief look at the gig car rental landscape
- other details
- Gridwise helps you achieve the income that supports a rideshare rental
Rideshare car rental
Is rideshare rental worth it for Lyft and Uber?
Good question. Suppose that as a full-time rideshare driver, you fall into the category of a top performer. You have a strategy, know how to work the bonuses and incentives, make decent tips because you provide excellent customer service, collect an occasional referral bonus, and incorporate Gridwise into your gig driving. It’s possible to average $1,000 to $1,200 a week. Remember, though, this is as a top-performing rideshare driver.
Renting a car, however, costs you between $250 and $300 a week, possibly more. What do you save with a gig car rental?
The first is miles on your car. Worse yet, most of those miles are stop-and-go, which is brutal on a car. If you put 60,000 miles a year on your odometer in two years, it’s time to look at a new car. You save a lot of miles and depreciation on your vehicle by using a rideshare rental.
Secondly, with most rental agreements, maintenance ceases to be your problem. If you need a new set of tires, call the rental company. When the brakes start to squeal, call the rental company. If the transmission emits a loud CLUNK and falls into the road, your first call should be to the rental company. These issues are no longer your concern. (BTW, for some cosmic reason, most rental cars for rideshare drivers come with worn windshield wipers, something you just have to live with.)
Some rental deals allow you to put personal miles on the car. This is a nice perk. You might not even have to own a car at all.
There is another benefit to driving a rental. The rental companies typically provide insurance. That’s another saving.
For a more detailed look at renting a car for rideshare, check out the Gridwise blog post, Gig Driver Guide: Renting a Car for Rideshare or Delivery.
What do the rideshare companies say about rideshare rental cars?
Both Lyft and Uber are open to you driving a rideshare rental car. They are so open to the idea, in fact, that both companies maintain rental programs. It’s their way of saying, “These are the best rideshare rental companies.”
Both Lyft and Uber make it easy, too. You can sign up over the app, and the weekly rideshare rental comes from your weekly earnings before you are paid. You never see it.
Considerations
Choices are limited. Lyft and Uber limit drivers to rental companies on their approved list. Uber car rental companies comprise Hertz, Avis, Kinto, and Getaround. You can’t use a car rented from another service.
For Lyft, your choices are more narrow. Hertz and Flexdrive are the two approved companies for Lyft Express Drive, and they are not available in all cities. Like Uber, you cannot use a rental car for Lyft rideshare that is not obtained through Lyft Express Drive.
Your best option is to review your app and see what is available in your rideshare region.
You may not be able to multi-app. Verify if you rent through Uber or Lyft whether you are covered if you multi-app. It is unclear whether either rental program will cover you if you are driving for another gig at the time of an accident.
Delivery driving car rental
This is the best info we have on the requirements of the most prominent delivery companies.
| Service | Allows rentals | Comments |
| DoorDash | Yes | Website says that drivers can use “any car.” |
| Grubhub | Yes | Requirements make no specification about a vehicle. |
| Uber Eats | Yes | You can rent a car outside of Uber’s partner companies, but “the insurance and registration must be in your name.” |
| Instacart | Yes | Website only requires “consistent access to a vehicle.” |
| Shipt | Yes | Website says that you do not need to own a car to drive for Shipt, only that whatever car you use has insurance that covers you as the driver. |
| Amazon Flex | Yes | Website does not address rental vehicles. Only requires that “you have a mid-sized or larger vehicle.” |
| Roadie | Yes | Website makes no requirement that you own a vehicle. |
Rental cars are a shifting landscape
Keep in mind that the relationships between providers of rideshare rental cars and the companies that use gig drivers are constantly in flux. Expect things to change. Roadie, at one time, had an arrangement with Fetch Truck Rentals. Fetch has a nationwide presence, but the agreement covered only the Atlanta area. It’s unclear whether Roadie required drivers in that region to use only Fetch for truck rentals, or whether the program has since been extended to other regions. As of press time, an email to Roadie was unanswered.
A brief look at the gig car rental market
In case you haven’t been paying attention, the rental car market is no longer relegated to Hertz and Avis (although these companies are eager to provide car rentals for gig workers). Smaller ones are out there, and many are specially tailored to gig drivers. This article looks at just a smattering of what’s available.
One more detail
Before we look at the companies, there is another item frequently not mentioned until the last minute. The prices you’re quoted for car rental are subject to local taxes. Hertz quotes you $214 a week for a rideshare rental, briefly mentioning local taxes. The truth is, those local taxes average about $50 a week. Now you’re paying $264 for your rideshare rental car. This charge is standard, varying a few dollars from city to city. We have not discovered a way around it. Some agencies listed here match privately owned cars with gig drivers. Payment is handled online. Gridwise cannot substantiate that all these rental companies are subject to local taxes and fees; some may have figured out a loophole.
Hertz
Despite a recent bankruptcy, Hertz is still in the business of gig car rental. The firm is part of the Uber rental program. You order the car through your app.
- Rentals are renewed weekly.
- Liability insurance is included.
- A $200 security deposit is required.
- A credit check is involved, but the rumor is that the restrictions are lower than usual.
COST: Weekly prices start at $214.
Avis
Avis is part of the Lyft rideshare rental car program. Rental terms are by the week and automatically renew. Terms include unlimited mileage, but Avis is unclear about whether this pertains only to miles driven while on the app or personal miles, too. If it includes personal miles, that’s a good deal.
- You must be at least 25 years old to rent.
- You must possess a valid credit card or debit card.
- A soft credit check is required if you use a debit card.
COST: Weekly prices start at $260.
HyreCar
HyreCar matches drivers with private owners interested in making an extra car available for gig car rental. The firm is part of the Uber rental program. Agreements start at daily rates and go up from there (there may be discounts for longer periods). This is a flexible arrangement. You may drive a five-passenger sedan as your rideshare car most of the time, but you can upgrade to a seven-passenger SUV to drive Uber XL for special events like a music festival or sports event and command a higher rate.
- Download the HyreCar app.
- Terms vary by owner and can include mileage.
- Verify with the owner that the car is being used for gig driving.
COST: Prices vary by owner. Hyre adds a 15% handling fee to the listed rate. Insurance is also extra. All prices are computed online.
KINTO Share
KINTO Share is another one of the Uber car rental companies. They maintain a fleet of cars, all of which are for rideshare and other gig driving. KINTO is a Southern California company, and at this time is limited to that region, though it does have plans to expand.
- Deposit required
- Rental terms are for four weeks and can automatically roll over.
- Extensions are available on the length of the term.
- Hybrid cars are available.
COST: Weekly prices start at $260.
Getaround
Getaround is like HyreCar, part of the peer-to-peer sharing economy and one of the companies Uber selected for its gig car rental program. You get insurance and unlimited mileage (again, unclear whether that includes personal miles or only those incurred on the app).
- Drivers under 25 pay a premium for car insurance.
- 28-day rental agreements are available.
COST: Not stated, but probably similar to other programs offered by Uber.
FlexDrive
Lyft acquired Flexdrive in 2020 for $20 million and the assumption of all debt. Before that, Flexdrive was a partner in the Lyft Express Drive Program, so the two companies have a history.
- Drivers must be at least 25 years old.
- Drivers must have a debit card or credit card.
- Drivers must use the car for rideshare purposes only.
- A refundable security deposit is required.
COST: Not available, but probably similar to other programs offered by Lyft.
Zipcar
If you drive Uber Eats in Atlanta, Chicago, Denver, Los Angeles, Philadelphia, Portland, San Francisco, and Washington, DC, Zipcar offers you an option if your car is out of commission for a day or two. Reserve a Zipcar through the mobile app, travel to the car’s location, and unlock it with the app. You’re ready to go.
- Uber Eats drivers get special discounts.
- Stay under 180 miles a day.
Cost: Rates start at $10 an hour.
Fast Track Mobility
Fast track mobility is an example of a regional program Uber and Lyft offer for rideshare rental cars, available only in the New York City metro area.
- Rental agreements include insurance.
- Pick from mid- and full-size sedans as well as SUVs, including SUV models that seat seven (for those drivers who like Lyft Lux and Uber XL).
- No limit on mileage.
- Accepts drivers as young as 21.
COST: $400/weekly and up. Prices depend on the model chosen.
Other Details
Does renting work for you?
We said this before, but make sure that your gig driving income supports the cost of a gig rental car. Otherwise, you might get yourself into a financial hole.
Buyer beware
There are many more gig car rental companies out there. Make sure the car you select is acceptable for the gig in question. It’s your responsibility. Double-check everything you’re told, including insurance. Verify mileage caps and any other limitations. Salespeople can be overzealous and promise things that might not be completely true, or they may not understand the requirements of the gig driving industry.
Don’t be surprised if you see different rates than those quoted here
Both Uber and Lyft experiment with varying rates for rideshare rental in different regions. You might also see a rental company available for Lyft or Uber rideshare drivers other than those listed here. These, too, are often test programs.
Keep a clean driving record
Rental companies do look at driving records. A recent DUI will probably exclude you, as will a poor history with too many citations.
Pay attention to rental agreements
Most rideshare rental cars are on a week-to-week agreement. Many renew automatically, while others require you to make a phone call. Ensure you stay on top of this, particularly if you’re in a peer-to-peer arrangement. At the end of the agreed period, the owner may want their car returned. If you did not prepare for this, you could find yourself scrambling to find another vehicle.
Cars come and go
Part of the business model of the car rental industry is selling their cars. There is a sweet spot where they can unload these cars for the maximum dollar. If you have a car for any length of time, expect a call where they’ll want to trade you for a car with fewer miles.
Going on vacation?
Weekly rent is charged whether you drive that week or not. If you go on vacation or you’re not driving for some other reason, make arrangements with the rental company to return the car. Provided that you adhere to all the rules, you should have no problem getting a car when you’re ready to drive again.
Deposits
Many rental companies charge a deposit. Don’t be surprised if it’s close to the weekly cost of the car. These deposits are generally refundable, but make sure.
How do you pay for your gig car rental?
If you rent a car through the Lyft or Uber program for $260 weekly, the first $260 you make on the app covers the rideshare rental cost. Some drivers schedule a marathon day early in the work week with the goal of paying for the car by the time they finish that evening. That way, they drive for the rest of the week, knowing it’s all profit.
Service
Limit yourself to rental agreements in which service is the responsibility of the rental agency or owner (in a peer-to-peer sharing arrangement). The bigger companies such as Hertz and Avis will let you know when service is due but don’t take this for granted. A vehicle that is well cared for is reliable and will have a longer lifespan.
Insurance
Review the coverage and watch for areas where you might be exposed. Often your personal auto insurance can give you protection at minimum cost.
Be kind
This is always good advice, especially if you find yourself repeatedly working with the same office of a rental company. Be nice to the people behind the desk. They can take care of you and work miracles in a pinch.
Gridwise helps you achieve the income that supports a rideshare rental
Gridwise has everything rideshare drivers need in one place; a mileage tracker, earning and expense tracker, insights into hot spots, and a carefully hand picked list of discounts just for you.
In the market for a rental? Gridwise has partnered with HyreCar to offer an exclusive 15% off your first car rental!
Try Gridwise for free and claim your 15% off
And have fun out there.
One Response
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