Car Rental Agreement Template

Use this Car Rental Agreement sample when renting a vehicle to an individual for a short-term or temporary period.


This Car Rental Agreement is entered into between [Sender.FirstName][Sender.LastName] (“Owner”) and [Client.FirstName][Client.LastName] (“Renter”) (collectively the “Parties”) and outlines the respective rights and obligations of the Parties relating to the rental of a car.

1. Identification of rental vehicle

You may extend the form with more items like license plate number, odometer reading, fuel level, and existing damage notes for extra clarity.

The Owner agrees to rent to the Renter the following vehicle (the “Rental Vehicle”):

1. Make: [Vehicle Make]
2. Model: [Vehicle Model]
3. Year: [Vehicle Year]
4. VIN: [Vehicle VIN]

2. Rental term

The term of this Car Rental Agreement runs from the date and hour of vehicle pickup as indicated just above the signature line at the bottom of this agreement until the return of the vehicle to Owner, and completion of all terms of this agreement by both Parties. The estimated rental term is as follows:

Estimated start date: [Start Date & Time]

Estimated end date: [End Date & Time]

The Parties may shorten or extend the estimate term of rental by mutual consent.

3. Scope of use

The Renter agrees to:

1. Use the Rental Vehicle for personal or routine business use only
2. Operate the vehicle only on public roads and designated parking areas
3. Comply with all applicable traffic, licensing, and motor vehicle laws
4. Not sublease, rent, or use the vehicle for commercial hire
5. Not take the vehicle outside the permitted location(s): [Geographic Limits]

Renter will not allow any other person to operate the Rented Vehicle unless identified here:

1. Primary Driver: [Name] – DL #: [License Number]
2. Additional Driver: [Name] – DL #: [License Number]
3. Additional Driver: [Name] – DL #: [License Number]

4. Mileage

Mileage of the Rental Vehicle is mileage at the time of commencement of this Car Rental Agreement. Mileage on the vehicle will be limited [Mileage.Limitations]. Any mileage on the vehicle in excess of this limitation will be subject to an excess mileage surcharge of [Excess.Mileage.Fee] per mile.

5. Rental fees

Renter will pay to Owner rental fees for use of the Rental Vehicle as follows:​

1. Base Rental Fee: [Amount]
2. Fuel Charges: [Fuel Policy / Amount]

6. Security deposit

The Renter is required to provide a security deposit of [Security.Deposit] dollars (the “Security Deposit”) to cover any loss or damage to the Rental Vehicle during the term of this Agreement. In lieu of collecting a cash deposit, the Owner may place a hold on a credit card for the same amount.

If the Rental Vehicle is damaged, the Owner may use the Security Deposit to cover the costs of repair or replacement. If the total cost exceeds the Security Deposit, the Renter is responsible for paying the remaining balance to the Owner.

7. Insurance

Renter must provide to Owner with proof of insurance that would cover damage to the Rental Vehicle at the time this Car Rental Agreement is signed, as well as personal injury to the Renter, passengers in the Rented Vehicle, and other persons or property.

If the Rental Vehicle is damaged or destroyed while it is in the possession of Renter, Renter agrees to pay any required insurance deductible and also assign all rights to collect insurance proceeds to Owner.

8. Indemnification

The Renter agrees to indemnify, defend, and hold harmless the Owner from any loss, damage, or legal claims arising from the Renter’s use or operation of the Rental Vehicle during the term of this Agreement. This includes any attorney fees reasonably incurred in connection with such claims.

Additionally, the Renter is responsible for payment of all parking tickets, traffic violations, or other citations received while in possession of the Rental Vehicle.

9. Representations and warranties

Owner represents and warrants that to Owner’s knowledge, the Rental Vehicle is in good condition and is safe for ordinary operation of the vehicle.

Renter represents and warrants that Renter is legally entitled to operate a motor vehicle under the laws of this jurisdiction and will not operate it in violation of any laws, or in any negligent or illegal manner.

Renter has been given an opportunity to examine the Rental Vehicle in advance of taking possession of it, and upon such inspection, is not aware of any damage existing on the vehicle other than that notated by separate Existing Damage document.

10. Jurisdiction and venue

This Agreement shall be governed by the laws of [Country / State].

Any disputes shall be resolved in the courts located in [City, State / Region].

11. Entire agreement

This Agreement constitutes the entire agreement between the Parties regarding this rental arrangement. Any modifications must be made in writing and signed by both Parties.

All required notices should be sent to the contact information provided below.