MarylandSB 03952026 Regular SessionSenateWALLET

Peer-to-Peer Car Sharing Programs - Insurance and Liability

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Bill Overview

Analyzed Economic Effects

4 provisions identified: 2 benefits, 0 costs, 2 mixed.

Insurance and disclosures for each sharing trip

Beginning October 1, 2026, every car-sharing trip includes liability insurance at least at state minimums, and the policy must cover peer‑to‑peer use. Insurance can come from the owner, the driver, the program, or a mix, and driver claims pay from the first dollar. The program takes on the owner’s liability at least up to legal minimums, unless the owner lied on purpose before the trip. Program coverage cannot wait for a personal insurer to deny a claim, and programs must share crash details to speed claims. Replacement‑car agreements must state in 10‑point bold that the repaired car’s policy is primary and the program’s policy is secondary. Contracts must also list any right to make you pay back losses, say the program’s insurance only covers during the trip, and show daily rates, fees, and any insurance or protection package costs.

No automatic owner liability for sharing

The law follows federal rules and shields owners and platforms from vicarious liability based only on vehicle ownership. You are not automatically liable just because you own a car that is listed on a peer‑to‑peer platform.

Who pays first in car-sharing crashes

Beginning October 1, 2026, the program must pay first for third‑party claims if it fails to give notice, fails to cooperate, harms handling before an insurer takes over, sells applicable supplemental coverage, or misses required disclosures. The old rule that a program’s policy always paid first is repealed. Personal insurers and MAIF can exclude losses during the sharing period, so your personal policy may not defend or pay, and MAIF is not required to cover non‑replacement shared cars. If a personal insurer pays an excluded claim, it can seek contribution from the program’s insurer.

Tolls, fines, and fee transparency

Beginning October 1, 2026, programs can charge the driver for tolls, fees, and fines that happen while the driver controls the car. Ads shown in Maryland must clearly show any pass‑through government fees. For red‑light camera rules, programs are not treated as the vehicle owner; owners or drivers may still face civil penalties, and programs may bill drivers for violations during the trip.

Sponsors & Cosponsors

Sponsor

Dawn Gile
Democratic • Senate

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 162 • No: 0

House vote • 4/3/2026

Third Reading Passed

Yes: 120 • No: 0 • Other: 9

Senate vote • 3/5/2026

Third Reading Passed

Yes: 42 • No: 0 • Other: 1

Actions Timeline

Approved by the Governor - Chapter 49
4/14/2026
Returned Passed
4/6/2026Senate
Third Reading Passed (120-0)
4/3/2026House
Favorable Adopted Second Reading Passed
4/2/2026House
Favorable Report by Judiciary
4/2/2026House
Referred Judiciary
3/6/2026House
Third Reading Passed (42-0)
3/5/2026Senate
Second Reading Passed with Amendments
3/3/2026Senate
Favorable with Amendments {263322/1 Adopted
3/3/2026Senate
Favorable with Amendments Report by Finance
3/2/2026Senate
Hearing 2/11 at 2:00 p.m.
1/29/2026Senate
First Reading Finance
1/28/2026Senate

Bill Text

Enacted
4/14/2026
PDF
Third Reading
3/3/2026
PDF
First Reading
1/28/2026
PDF

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