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Car Rental Agreement Template: Rates, Insurance Texas Law
Set allowed area, drivers, fee schedule, mileage, fuel, and accident reporting in Texas.
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Car Rental Agreement Template
Car Rental Agreement ("Agreement")
Agreement Date: [MM/DD/YYYY]
Rental Reference ID: [Rental Reference ID]
Owner / Rental Company: [Full Name / Company Name]
Address: [Address]
Email: [Email Address]
Phone: [Phone Number]
Renter: [Full Name]
Driver’s License Number: [License Number]
License State/Country: [Jurisdiction]
Phone: [Phone Number]
Email: [Email Address]
1. Vehicle and Allowed Operating Area
Vehicle: [Year Make Model]
License Plate: [Number]
VIN: [VIN / N/A]
Allowed Operating Area: [State(s)/Counties/Cities]
Allowed Road Types: [Paved only / Paved + maintained gravel / Other]
Out-of-Area Use Requires Written Permission: [Yes/No]
2. Rental Period
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]
Early Return Refund: [Yes/No; terms]
3. Driver Eligibility
Primary Driver: [Full Name]
Additional Driver(s): [Name(s) / None]
License Verification Method: [Visual check / Copy on file / Other]
No unlisted drivers may operate the vehicle.
4. Payment Terms and Fee Schedule
Base Rental Cost: $[Amount]
Deposit: $[Amount] [Refundable/Nonrefundable; conditions]
Payment Method: [Credit card / Bank transfer / Cash / Other]
Fees apply as listed below.
Fee Type | Amount | Trigger / Notes |
Late return | $[Amount] per [hour/day] | [After scheduled return time] |
Fuel shortfall | $[Amount or formula] | [Based on fuel policy] |
Cleaning | $[Amount] | [Excessive dirt/odors/stains] |
Smoking/vaping | $[Amount] | [If evidence present] |
Tolls/tickets admin | $[Amount / None] | [Processing/forwarding cost] |
Damage not covered | $[Amount / estimate] | [Based on inspection/photos] |
5. Mileage and Fuel
Odometer at Check-Out: [Mileage]
Included Mileage: [Miles/km per day or total]
Extra Mileage Charge: $[Amount] per [mile/km]
Fuel Return Standard: [Same level / Full-to-full / Other]
Fuel Level at Check-Out: [Fuel level]
6. Condition and Inspection
Inspection Record: [Photos and/or checklist attached]
Existing Damage at Check-Out: [List; Photo ID]
Odometer and Fuel at Return: [Mileage; Fuel level]
7. Insurance, Responsibility, and Violations
Insurance Included: [Yes/No; summary]
Renter Insurance Provided: [Yes/No; carrier; policy no.]
Renter Responsibility: [Damage not covered; deductible; loss of use if applicable]
Violations/Fines/Tickets/Tolls: Renter is responsible for all charges incurred during the rental period.
8. Use Restrictions and Towing/Hauling
Prohibited Uses: [Illegal activity; racing; DUI; off-road; ride-share/delivery; other]
Towing/Hauling Allowed: [Yes/No]
If towing/hauling is allowed: [Trailer type; weight limits; hitch type; approval required]
9. Traffic Stops, Accidents, and Reporting Packet
Stop/Impound Details: [If stopped/impounded: location; agency; case no.; fees]
Accident Packet: [If accident: police report no.; other party info; photos link; claim no.]
Repairs: [No unauthorized repairs; emergency repairs only with approval]
10. Termination and Recovery
Early Termination: [Mutual written consent / breach; fees if any]
Vehicle Recovery/Repossession Costs: [Chargeable/Not chargeable; terms]
11. Governing Law and Entire Agreement
Governing Law: This Agreement is governed by the laws of the State of Texas.
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]
Vehicle Release (Check-Out)
Released By: [Name / Title]
Initials: [Initials]
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Car Rental Agreement Template: Rates, Insurance Texas 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.
Texas 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.
What should I do if the rental car breaks down during the rental period?
If your rental car breaks down, prioritize safety first: pull over to a safe spot, turn on hazards, and document the issue with photos/video (dashboard lights, warning messages, location). If you’re in an unsafe situation or there’s an accident/injuries, call 911 first. Then contact the rental company or the platform’s roadside assistance — use the number in your agreement/app — and follow their instructions before arranging repairs or towing. Avoid authorizing repairs yourself unless they approve it in writing. Keep receipts and note names/timestamps of calls or messages. If you need a replacement car, ask about swap procedures, charges, and whether your rental time or fees will be adjusted.
Can I extend my rental after pickup, and what extra charges typically apply?
Usually, yes — if the rental company approves and you request it before the scheduled return time with written confirmation (email/app message). Extra charges often include additional daily/weekly rates, taxes/fees, and sometimes a rate change if the original promotion no longer applies. Your deposit/authorization hold may be increased or re-authorized, and mileage limits (if any) may update. Late requests can trigger late return fees or an extra day charge. Don’t keep the car past the return time without approval — fees may apply and coverage may be affected. Confirm the new return time, updated total, and any changes to fuel, mileage, or return location terms.
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