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SF2650 (Legislative Session 94 (2025-2026))

Peer-to-Peer Car Sharing Program Act establishment

Related bill: HF2752

AI Generated Summary

Purpose of the Bill

The bill aims to establish a framework for peer-to-peer car sharing programs in Minnesota. It sets out regulations that differentiate these programs from traditional car rentals and provides guidelines for insurance, liability, record-keeping, and consumer protection.

Main Provisions

  • Definitions: The bill defines various terms related to car sharing, distinguishing peer-to-peer car sharing from traditional car rentals. It clarifies concepts such as car sharing period, shared motor vehicle driver, and peer-to-peer car sharing program.

  • Insurance and Liability: The bill mandates that peer-to-peer car sharing programs provide insurance coverage for both the vehicle owner and driver during the car sharing period. This coverage must meet or exceed the minimum amounts required by Minnesota law and include liability, property damage, and personal injury protection.

  • Program Responsibilities: Car sharing programs must verify vehicles for any safety recalls and ensure repairs are completed before the vehicle is shared. They are also responsible for any equipment installed in the vehicle like GPS systems.

  • Consumer Protections and Disclosures: Car sharing agreements must include clear disclosures about insurance coverage, fees, and any implications for vehicle owners with existing liens. Programs must ensure drivers have valid licenses and keep records to facilitate any claims or investigations.

  • Exemptions and Tax Adjustments: Peer-to-peer car sharing vehicles are exempt from certain fees and taxes applicable to traditional rental vehicles.

Significant Changes

  • Repeal of Existing Law: The bill repeals a subdivision of Minnesota's insurance statutes, suggesting an adjustment to current regulations to better align with the new peer-to-peer car sharing framework.

  • Consumer Protection Enhancements: New requirements for detailed consumer disclosures and safety recall management expand on existing protections to ensure transparency and safety in car sharing.

Relevant Terms

peer-to-peer car sharing, insurance coverage, liability, car sharing period, car sharing program agreement, consumer protections, safety recall, shared motor vehicle, personal injury protection, exemptions, repealer

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 16, 2025SenateFloorActionIntroduction and first reading
March 16, 2025SenateFloorActionReferred toCommerce and Consumer Protection

Citations

 
[
  {
    "analysis": {
      "added": [
        "Clarification that peer-to-peer car sharing programs are not considered auto rental companies."
      ],
      "removed": [
        ""
      ],
      "summary": "The bill amends the definition of an auto rental company under section 72A.125.",
      "modified": [
        "Specifically excludes peer-to-peer car sharing programs from the definition of auto rental companies."
      ]
    },
    "citation": "72A.125",
    "subdivision": "subdivision 1"
  },
  {
    "analysis": {
      "added": [
        "Exemption for vehicles part of a peer-to-peer car sharing program."
      ],
      "removed": [
        ""
      ],
      "summary": "The bill amends tax exemptions for vehicle leases or rentals under section 297A.64.",
      "modified": [
        "Clarifies exemptions for certain types of vehicle rentals and leases, including those not subject to section 297A.62."
      ]
    },
    "citation": "297A.64",
    "subdivision": "subdivision 4"
  }
]

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