There have been peer to peer car rental companies operating in the UK for over 10 years. Entering this market is difficult as the insurance regulations in the UK are much tougher than in most other countries. The combination of car and driver must be insured at all times and most UK insurers are slow to innovate meaning there are few policies available that are fit for purpose for a peer-to-peer service.
Below is a rough timeline of the rise and fall of these companies in the UK
Thoughts on the fallen
WhipCar was arguably the world’s first peer-to-peer car rental company and survived four years on a mere £1m in funding, in a time when the sharing economy and peer-to-peer services were not widely known or understood by the general public.
Despite being backed by web heavyweight Rocket Internet, RideLink shutdown a mere six months after raising £1.1m of funding causing some upset among their investors.
easyCar Club also ran for four years. It’s funding was primarily through it’s parent company the easyGroup so it is difficult to determine how much they raised and spent. Ultimately they failed because they could not secure an insurance policy to continue trading.
Hiyacar was not the first peer to peer car rental company, and still more will inevitably join us in this market. We are in it for the long-term, building a sustainable business. Having learnt from the mistakes of the fallen, we’ve built a platform that is safe, secure & trusted and we’ve partnered with other like-minded companies with fit for purpose products to help us achieve our purpose of connecting drivers to a car when and where they want one.