(Radio Iowa) – A bill to establish state guidelines for a relatively new way of renting vehicles is on its way to the governor after winning nearly unanimous support from the House and Senate. Privately owned vehicles are being offered for rent through smart phone apps like Turo, Zipcar and Car2Go. Representative Jacob Bossman of Sioux City says the bill sets up the liability framework for peer-to-peer car sharing.

“This is essentially Airbnb for vehicles,” Bossman said. “This system exists in the state currently, but it’s kind of the wild west. There’s not any rules around it, so this bill sets up those rules.” For example, Bossman says the bill creates clarity about when a rental period begins and ends. “It has insurance provisions, like requiring a platform to ensure that the vehicle is constantly covered by insurance and there are some safety measures, disclosures that are required,” Bosssman said. “A driver’s license is required. You have to disclose any active recalls.”

Under the bill, the car sharing platform must confirm that the vehicle owner and the person renting the vehicle have liability insurance. Supporters of car sharing say is a way for vehicle owners to earn extra money. Others note it may be an option for young adults, as some rental car companies charge extra to drivers under the age of 25.