Senate approves legal framework for peer‑to‑peer car sharing; platforms provide insurance backstop

Senator Dickey presented a conforming amendment and asked that House File 2497 be substituted for Senate File 2290 to establish a legal framework for peer‑to‑peer car sharing in Iowa. The measure creates regulation for internet platforms that connect vehicle owners with drivers who pay to use them.

During floor discussion Senator Peterson asked the sponsor several detailed questions about how insurance and liability would work when a noncommercial owner allows a driver to use the owner’s vehicle. Senator Dickey explained that the person renting the car would provide proof of insurance to the platform, and that the platform would act as an intermediary and provide a backstop up to stated policy limits (platforms discussed on the floor included Turo as an example). When an owner participates, the platform’s requirements determine whether additional insurance is needed; the platform’s coverage is intended to make an owner whole in cases where a renter’s insurance is inadequate, up to policy limits.

The substitute bill and amendment were adopted and the Senate recorded a final vote of 44 in favor and 1 opposed. The sponsor then asked unanimous consent to immediately message the bill.