No, you cannot legally lease a car and then rent it out to others. This practice, often referred to as subleasing, is explicitly prohibited by the terms of every standard automotive lease agreement. The core reason is that the leasing company (the lessor) retains ownership of the vehicle, and your lease contract grants you specific, non-transferable rights to use it. Renting it out constitutes a breach of contract that can lead to immediate termination of your lease, repossession of the car, and significant financial penalties.
The prohibition is rooted in several major risks for the leasing company. First is the insurance liability. Your personal auto insurance policy is not designed to cover commercial rental activity. If a renter gets into an accident, the insurance company may deny the claim, leaving the leasing company's asset unprotected. Second, they have no control over the renters' driving habits, maintenance adherence, or mileage usage, all of which directly impact the vehicle's residual value—the predicted value at the end of the lease upon which your payments are based. Excessive wear and tear or mileage overages diminish this value, causing a financial loss for the lessor.
Attempting to use platforms like Turo or Getaround to rent out a leased vehicle does not circumvent these rules. In fact, leasing companies are increasingly vigilant in monitoring these sites. The potential consequences are severe and far outweigh any short-term income. You would be responsible for all fees and the remaining lease payments, and you could face legal action for unauthorized use of property. If you're interested in generating income from a vehicle, exploring a commercial rental business structure or using a service that specifically partners with car owners are the only legitimate paths.
