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GM Car Owners With OnStar Now Can Be Their Own Rental Agencies
The Los Angeles Times reports that the world of micro-rentals just got a whole lot more crowded, with the introduction of a nationwide partnership between GM and ride-sharing company RelayRides. RelayRides has been arranging short-term car sharing in just a few cities for several years; car owners can sign up to make their own cars available for short-term rentals to others, so their expensive investment (especially in cities where parking is like a second apartment's rent) isn't sitting idle. Now, the two companies are rolling out that system in a much larger market: the rest of the U.S. Owners of GM cars new enough to be equipped with OnStar monitoring systems will be able to sign up to take part with the OnStar system providing the ability to unlock and track those cars remotely, which might make the bargain more attractive to many owners who'd like to earn money from their cars (and reduce the total number of cars needed in a given area), but reluctant to hand the keys to a stranger. (Cars without the system can still be enrolled, but will require a key hand-off.)
Erm...no, it's covered by RelayRide's car insurance.
RelayRides will take a 40% cut and provide a $1-million insurance policy for the owner and $300,000 for the renter.
Great news for people who want the shit beat out of their cars by random strangers.
Even though this seems like a good thing, there is a corporation involved so I'm sure there is evil involved.
Gentlemen of Slashdot, affix your tinfoil hats and let's start dissecting this!
1) Find car you'd like to steal or strip.
2) Social engineer the car to be a part of this "rental agreement".
3) "rent" car using the usual fake ID stuff (or just tell them you're an illegal and they're not allowed to discriminate against you).
4) Drive to steel walled warehouse or just strip the parts you want, after all they have fake ID.
5) Profit!
I am virtually certain GM is not prepared for the security implications of this.
Another interesting topic is I rent the Home Depot truck when I'm transporting garden manure etc. I wonder how they handle borderline situations where its not illegal or wrong, but...
The last topic I've never been able to understand is there used to be intense publicity about civil forfeiture, where you'll lose your car non-judicially just because a cop wants it. Now this could happen to anyone walking down the street, but how do these rental deals handle having the cops steal a car from a renter?
"Science flies us to the moon. Religion flies us into buildings." - Victor Stenger
Seems like a lot of trouble. Wouldn't it be much easier to steal the car the old-fashioned way? Presumably your method would result in the organisation having a picture of you (from your fake id), and the monitoring system would reveal the car mysteriously disappearing when entering your steel walled warehouse. So basically the police now know your face and your hideout.
Even if that does not lead to your capture, they can put your picture in a database and the next time you attempt to steal a car you'll get flagged and arrested.
So when my car is rented by someone who slips the clutch like a driver's ed student and puts five years worth of wear on the clutch plates in two days, I'm supposed to be happy about this because hey, Onstar?
No thanks.
You don't have an automatic, unlike 94% of cars sold? That's easy, this program is not for you. I bet they wont even enroll a standard transmission car, it's not worth the hassle of requiring another check box on the web form.
If I'm renting my car out under this arrangement, how can I be sure that the renters aren't abusing it in subtle or hard-to-detect ways? Burning up the brakes, doing donuts in parking lots, weird stuff with the transmission... there are lots of ways to damage a car that won't be immediately apparent. By the time it's noticed, it may be too late. And even in the case of overt damage, expect a major fight with the insurance company over just who caused it and whether your insurance or Relay Rental should pay. Dealing with insurance companies is always a nightmare, every time.
For rental recipients, this poses its own set of problems: how do you avoid being blamed for damage you didn't cause? How can you be sure that the car isn't missing basic functionality – you wouldn't be happy to get a rental in the middle of July with broken A/C.
I have purchased 2 cars through Hertz's Rent 2 Buy program. The first purchase was a very specific minivan that had a tow package installed (suspension but not a hitch). I bought it with about 40k miles on it. It was at least $2000 below KBB, and I've had it for 2 years now. It has given me NO trouble whatsoever. I just purchased a small SUV from their program and it was basically cherry. Again, $2000 below KBB and it too has been wonderful so far.
I've had a lot of people raise their eyebrow at this. They typically recount a story where they treated their rental like crap. But they've rented many cars. Most are rented at the airport by business people who drive to a hotel and an office, and back to the airport to go home. Most rentals are like that minus the horror stories you hear.
The nice thing about the Hertz program is that you rent the vehicle after finding it online near you. You can rent it for 3 days at $50/day. You get to drive it and see if the tire pressure sucks, or the car shimmies, or the tranny doesn't shift right. You bring it to a garage and have them inspect the car for damage and general road worthiness. If you decide to buy, you go to their website, click "Buy" and keep the car. They send you an fedex with all the paperwork, and even do financing through Chase or BoA. After you send them the downpayment, they send you the completed registration and plates for your state. You can even transfer your old plates if you sell your old car separately. I dumped a 100k+ mileage Honda Accord hybrid on CarMax. They paid me 4k for it, and the AC didn't work and there was significant body damage. We now have a 2011 late model SUV with 37k miles, the AC works, and the car has been like a dream in comparison. Gets the same mileage, and is from a reputable Japanese manufacturer.
For all those who are going to reply that the car will be trouble down the road, I'd ask you to tell me how you treated your last lease vehicle. That is what you're going to get on a used car lot. One driver who didn't change the oil, and didn't give a crap about the car because it was just a lease and they will trade up in 3 years anyway. Is there really any appreciable difference? Yes. The rental company had an incentive to make sure the car was in its rental fleet, and so they did the maintenance regularly. It all depends on your POV... if you want to roll the dice that you got a good lease car over a bad one, okay. Or, you can buy the rental for thousands less, with the chance that a small number of drivers abused the car, while most treated it with care lest they end up having to pay the rental company for damage. I'll take the latter.
Brawndo: It's what plants crave!
"2) Social engineer the car to be a part of this "rental agreement"."
Uh-huh, because if you want to strip a car, you're not just going to smash the window and hotwire the car with the little box you bought off of e-bay in under 5 minutes. Riiiight.
Of course not. That little box you bought on eBay likely came from some sweatshop in China and, for all you know, contains lead (a product known to the State of California to cause Cancer).
A little social engineering is pure, American made goodness (or maybe Nigerian, but hell, we're all free marketeers here, right?).
Why do you hate America?
Faster! Faster! Faster would be better!
Its worth remembering what happened to a poor boston student who rented her car for a carshare out using relay rides (and their liability insurance (same 1 million dollar liability insurance GM is using):
http://www.nytimes.com/2012/04/14/your-money/relayrides-accident-raises-questions-on-liabilities-of-car-sharing.html?pagewanted=all