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Car Rental Agreement Template: Rates, Insurance California Law
Define rental dates, payment, mileage, insurance, and inspections with this Car Rental Agreement.
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Car Rental Agreement Template
Car Rental Agreement ("Agreement")
Agreement Date: [MM/DD/YYYY]
Rental File ID: [Rental File ID]
This Agreement is entered into by and between:
Car Owner / Rental Company: [Full Name / Company Name]
Address: [Address]
Email: [Email Address]
Phone: [Phone Number]
and
Renter: [Full Name]
Driver’s License Number: [License Number]
License State/Country: [Jurisdiction]
Address: [Renter Address]
Phone: [Phone Number]
Together, the "Parties."
1. Rental Snapshot
Start Date and Time: [Start Date and Time]
End Date and Time: [End Date and Time]
Pickup Location: [Location]
Return Location: [Location / Same as pickup]
2. Authorized Driver(s)
Authorized Driver(s): [Renter and any additional drivers]
No unlisted drivers may operate the vehicle.
3. Vehicle Information
Make: [Make]
Model: [Model]
Year: [Year]
Color: [Color]
License Plate: [Number]
VIN: [VIN / N/A]
Odometer at Check-Out: [Mileage]
Fuel Level at Check-Out: [Fuel level]
4. Rental Fee and Payment
Total Rental Cost: $[Amount]
Security Deposit: $[Amount] [Refundable/Nonrefundable; terms]
Payment Method: [Bank transfer / Credit card / Cash / Other]
Late Return Fee: $[Amount] per [hour/day]
Authorized Charges: [Fuel; tolls; tickets; cleaning; damage; admin fees]
5. Mileage and Fuel Policy
Included Mileage: [Mileage per day / Total mileage]
Extra Mileage Charge: $[Amount] per [mile/km]
Fuel Return Standard: [Same level / Full-to-full / Other]
Fuel Charge if Not Met: $[Amount or formula]
6. Insurance and Liability
Insurance Included: [Yes/No; coverage summary]
Renter Provides Own Insurance: [Yes/No; proof attached]
Renter Responsibility: [All damage not covered; deductible; loss of use if applicable]
Fines/Violations/Tolls: Renter is responsible for all charges incurred during the rental period.
7. Vehicle Use Restrictions
Geographic Limit: [City/County/State(s)/Country]
Prohibited Uses: [Illegal activity; racing; DUI; off-road; unlisted drivers; other]
8. Inspection and Condition
The Parties will inspect the vehicle at check-out and return.
Inspection Record: [Appendix A completed; photos link]
9. Appendix A – Condition Checklist
[Complete table and attach additional photos as needed.]
Area / Item | Check-Out | Return | Notes / Photo ID |
Exterior | [OK / Noted] | [OK / Noted] | [Notes; Photo ID] |
Glass/Lights | [OK / Noted] | [OK / Noted] | [Notes; Photo ID] |
Interior | [OK / Noted] | [OK / Noted] | [Notes; Photo ID] |
Keys/Accessories | [Complete / Missing] | [Complete / Missing] | [Notes] |
10. Tolls, Parking, and Evidence Checklist
Toll Handling Method: [Transponder / Plate-billed / None]
Evidence Folder / Link: [Drive/Folder/URL]
Evidence Checklist: [Check-out photos; return photos; odometer photo; fuel photo; receipts; N/A]
11. Breakdowns, Accidents, and Termination
Accident/Breakdown Packet: [If accident/breakdown: police report no.; tow details; claim no.; photos link]
Termination: [Mutual written consent / breach; fees if any]
12. Governing Law and Entire Agreement
Governing Law: This Agreement is governed by the laws of the State of California.
Entire Agreement: This document contains the full agreement between the Parties.
Amendments: Any amendment must be in writing and signed by both Parties.
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the Agreement Date.
Owner / Company Signature
Name: [Name]
Signature: ___________________________
Date: [MM/DD/YYYY]
Renter Signature
Name: [Name]
Signature: ___________________________
Date: [MM/DD/YYYY]
Return Inspector Acknowledgment
Name: [Name / N/A]
Signature: ___________________________
Date: [MM/DD/YYYY]
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Car Rental Agreement Template: Rates, Insurance California Law
Click below for detailed info on the template.
For quick answers, scroll below to see the FAQ.
Click below for detailed info on the template.
For quick answers, scroll below to see the FAQ.
California Car Rental Agreement Template FAQ
What is a Car Rental Agreement?
A Car Rental Agreement (also called a car hire agreement) is a written contract between the vehicle owner (or rental company) and the renter that sets the rules for using a car in exchange for payment. It usually covers the rental period, pricing, deposit, mileage/fuel rules, and whether extra drivers are allowed. It also explains responsibility for damage, accidents, tickets, and tolls, so both sides know what happens if there’s a problem during the rental. A typical car rental agreement also describes how the vehicle’s condition is recorded at pickup and return.
When should you use a Car Rental Agreement?
Use a Car Rental Agreement anytime a vehicle is provided for use in exchange for payment (or other compensation) — through a company, peer-to-peer platform, or a private deal. It’s especially useful when a deposit is collected, the rental lasts more than a day, multiple drivers may use the car, or you need clear car rental terms and conditions for mileage, fuel, and late returns. Written terms set expectations upfront and make disagreements easier to resolve if the car comes back late or in a different condition. It can also clarify required documents and what to do for breakdowns or roadside issues.
What should be included in a Car Rental Agreement?
A Car Rental Agreement should include:
Parties: names, contact details, driver eligibility (ID/license where required)
Vehicle: make/model, VIN/plate, odometer, fuel/charge level
Rental term: pickup/return date, time, location
Costs: rate, taxes, deposit (security vs prepaid), late/cleaning/smoking fees
Mileage & fuel/charge: limits, refuel/recharge rules and fees
Tolls & tickets: how they’re handled + any admin fees
Insurance & liability: coverage, deductible/excess, key exclusions, who pays what
Condition report: inspection checklist + photos at pickup/return
Incidents: steps for accidents, damage, breakdowns, reporting requirements
Use rules: authorized drivers, prohibited use, geographic restrictions
Signatures: date and signed acceptance
Can you cancel or change a Car Rental Agreement after it’s signed?
It depends on the agreement and timing. Before pickup, changes to dates, location, or driver details are usually possible, but availability and price may change. Cancellations follow the stated policy: some rates allow free cancellation within a window; others charge a fee or are non-refundable. After pickup, extensions or early returns typically require approval and updated charges, and refunds aren’t guaranteed. Confirm any change in writing and keep the latest copy, including deposit and refund terms.
How is the vehicle’s condition documented at pickup and at return (photos, inspection form, timestamps)?
The vehicle’s condition is usually recorded with a pickup inspection and a return inspection. At pickup, do a full walkaround, note any existing damage on the inspection form, and take photos/videos of each side, wheels, windshield, and interior, plus the odometer and fuel level. Keep the original files so the timestamps (phone metadata) remain intact. At return, repeat the same angles (similar lighting if possible), then confirm the final notes on the inspection form/receipt and save a copy. If there’s no staff sign-off, send them to the rental company / via the platform/app (email/message) so it’s time-stamped and shared with the other party.
What counts as “normal wear and tear” versus chargeable damage?
Normal wear and tear usually means small, expected signs of regular use that don’t affect safety or function — light scuffs, minor surface scratches, tiny rock chips, and slight interior dirt. Chargeable damag is typically anything bigger, deeper, or caused by impact or misuse, such as dents, cracked glass, deep scratches through paint, curb rash on wheels, ripped upholstery, stains/burns, missing parts, or warning lights after an incident. Definitions vary — your agreement’s damage policy controls. If you’re unsure, compare pickup vs. return photos and report concerns immediately so they’re documented in writing; ask for a note before you leave.
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