Renting Car From Thai Resident

[Arandora]

We stay in Thailand for 5 months each year, usually renting a car at best rates from one of Phuket based operators. For our return next year, our Thai friend has offered to rent us her car with Full Insurance at very advantageous rates so that she can use what we pay her towards buying herself a new small car as the trade-in she has been quoted for her existing SUV is derisory. Could someone advise please whether this is this OK i.e. legal?

Thanks in advance.

[whybother]

Have a read of this as an example of what might go wrong.

I would think that it's not legal for her to rent out her car, but it shouldn't be a problem for you to borrow her car.

[Bedrockguesthouse]

I would suggest u rent yr car from a car rental agency. if you have an accident and it comes out she rented the car to u then i'm fairly

sure the insurance company will say the insurance is void. Then you will be footing the bill. Also u dont know what type of insurance she has

e.g. comprehensive or 3rd party.

Do it the easy way.

good luck no matter what u do

cheers mark

[onnut]

Rent from a real company just to be safe. You never know what can happen.

[Arandora]

I know the insurance will be First Class (i.e. Comprehensive) and I know I can borrow it and drive it on that insurance but I am not prepared to take the risk of the insurance being voided if I rent it. I think you guys have pretty much confirmed my fears so I'll be renting from car rental agency again!

What if I bought the car off her and paid her back over next couple of years. Can I do that and obtain insurance in my name?

[whybother]

I know the insurance will be First Class (i.e. Comprehensive) and I know I can borrow it and drive it on that insurance but I am not prepared to take the risk of the insurance being voided if I rent it. I think you guys have pretty much confirmed my fears so I'll be renting from car rental agency again!

What if I bought the car off her and paid her back over next couple of years. Can I do that and obtain insurance in my name?

Just borrow it. You will be covered by insurance.

Also, while you're there, ask if you can rent a suitcase off her.

[Arandora]

Also, while you're there, ask if you can rent a suitcase off her.

Sorry, that's gone over my head!

Edited March 27, 2011 by Arandora

[whybother]

Also, while you're there, ask if you can rent a suitcase off her.

Sorry, that's gone over my head!

In Australia, there used to be laws where most shops were not allowed to open on Sundays. One of the exceptions was book shops.

To get around this law, one guy sold books, and with each book he gave away a free pool table.

The point is, you want to pay her, but you can't pay her to rent the car, because that could void the insurance. So, borrow the car, and pay her for something else.

[Arandora]

Gotcha. So pay more for bungalow we rent.

[Arandora]

Thanks for all help and suggestions.

[nithisa78]

Have a read of this as an example of what might go wrong.

I would think that it's not legal for her to rent out her car, but it shouldn't be a problem for you to borrow her car.

It doesn't seem legal as it isn't a business but you can always borrow a friends car.

[Arandora]

So, so long as I make no direct payment for the hire or enter into a "hire agreement" and so long as it is insured with Full Insurance, I can borrow the car for a full 5 month period and I will be driving legally and insured legally and fully?

[robert121]

I don’t think it is legal to rent a car from a non authorized company as they don’t have license of doing that. I know it will be a really cheaper deal as well as a lucrative one but you can get into trouble by taking that car on rent. Always hire from an authorized company to avoid any legal consequence. You can try renting at http://www.thailandcarsrentals.com/ as they of good service and are well known car Rental Company.

[ericthai]

First two years I was here I rented my friends car. He got a new job which came with a company car so he was not using his. We never did a contract I just paid cash each month and was told if I get into an accident he was letting me use his car. Well the day came I got into an accident and I told the police it was my friends car and i was borrowing it, when insurance guy showed up said the same thing and no problems at all. i would not worry about it if you know for sure she has good insurance and the car is up to date on registration. Had that happen too, my friend forgot to renew the registration and I was stopped, a good ole 200B and away I was, but of course calling my friend to make sure he renewed the registration right away.

Good luck!!!