Jul 17, 2012 06:51 PM EDT
GM, OnStar Make Private Car Rentals Easier

GM car-owners who are also customers of OnStar can now offer their own customers an enhanced experience if they choose to rent out their cars when not using them.

RelayRides, a peer-to-peer car sharing service that launched in Boston and San Francisco in 2010, has partnered with the American car giant and its communications-services subsidiary to allow renters skipping a step or two to picking up the cars they have reserved. Rather than having to meet for a key-handoff, renters can now unlock reserved OnStar-enabled cars by using their smart phones or by replying to text messages.

The rental service's developers were allowed access to GM's proprietary application proprietary application program interface (API), which becomes available to other third-party developers later this year.

"General Motors, through OnStar, and RelayRides have joined forces to create an entirely new mobility solution for US drivers interested in more affordable, sustainable and collaborative automobile options," Nick Pudar, OnStar's strategy and new business development vice-president, said in a statement. "Our exclusive relationship with RelayRides provides an exciting new choice: the first automobiles to run on collaborative consumption."

"Using the OnStar API to access GM vehicles empowers RelayRides to make car sharing even safer and more convenient," said Shelby Clark, RelayRides founder and CEO. "The sheer number of vehicles eligible for the program allows us to greatly expand across the US and introduce the economic, environmental and community benefits of car sharing to regions that car sharing services have previously been unable to serve."

Under RelayRides, vehicle owners are covered under a $1 million insurance policy during the rental period, while renters are covered under a $300,000 policy.

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