SB 109 Alabama Senate · 2026 Regular Session

Peer-to-Peer Car Sharing Program act; requirements for the operation of peer-to-peer car sharing programs, provided

SB 109 establishes Alabama's first legal framework for peer-to-peer car sharing platforms, authorizing services that connect vehicle owners with drivers for financial gain. The bill requires these platforms to meet specific standards, including minimum insurance coverage (matching Alabama's financial responsibility requirements), tax compliance, safety recall reporting, and consumer protection disclosures. It directly affects platform operators, vehicle owners using the service, and drivers, while explicitly excluding traditional rental companies and commercial leasing operations. Key provisions ensure liability coverage for third-party injuries or property damage during the shared vehicle period and mandate clear operational rules for all parties involved.

Issues: ✓ Transportation

Bill status signed all 5 stages cleared

Introduction

Jan 2026

Committee Review

Feb 2026

Senate Passage

Jan 2026

House Passage

Feb 2026

Signed into Law

Feb 2026

Introduced Jan 13, 2026 Signed Feb 25, 2026

Maddy AI version diff · 1 comparison

What changed between versions

Introduced → Enrolled · 5 edits · Feb 25, 2026

MODERATE

The bill has progressed from introduction to its final enrolled version, incorporating significant substantive changes to the definitions of car sharing programs and vehicles. The primary updates clarify which business models are excluded from regulation, specifically adding exemptions for rental companies and individuals facilitating rentals under specific state laws. Additionally, the definition of when a car sharing trip ends now includes scenarios where vehicles are returned to alternative locations agreed upon by both the owner and driver.

Scope change

The scope of the bill was refined to explicitly exclude certain types of rental transactions and business models from the new Peer-to-Peer Car Sharing Program Act, narrowing the regulatory focus to specific peer-to-peer arrangements.

DEFINITION

The definition of 'Peer-to-Peer Car Sharing Program' was expanded to include new exclusions for persons facilitating rental transactions under specific Code of Alabama sections, clarifying that these entities are not subject to the new program requirements.

The definition of 'Peer-to-Peer Car Sharing Program Agreement' was updated to explicitly exclude motor vehicle rental agreements and agreements with licensed rental companies, ensuring these traditional rental models remain separate from the new sharing regulations.

The definition of 'Car Sharing Termination Time' was modified to include a new condition where the trip ends if the vehicle is returned to an alternatively agreed-upon location, providing more flexibility for shared vehicle usage.

The definition of 'Shared Vehicle Driver' was updated to clarify that individuals renting vehicles from licensed motor vehicle rental companies are not considered shared vehicle drivers under this act.

The definition of 'Shared Vehicle Owner' was revised to exclude lessors and licensed motor vehicle rental companies, ensuring these entities are not treated as owners under the new sharing program rules.

Floor votes

How they voted

This bill passed the Senate by voice vote (no roll call recorded).

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Feb 12, 2026

Lower · Passed

Motion to Read a Third Time and Pass - Adopted Roll Call 415

lower

Feb 3, 2026

Lower · Passed

Reported Out of Committee Second House

lower

Jan 27, 2026

Lower · Passed

Pending Committee Action in Second House (Commerce and Small Business)

lower

Jan 27, 2026

Upper · Passed

Motion to Read a Third Time and Pass - Adopted Roll Call 161

upper

Jan 20, 2026

Upper · Passed

Reported Out of Committee House of Origin

upper

Jan 13, 2026

Upper · Passed

Pending Committee Action in House of Origin (County and Municipal Government)

upper

1 primary · 0 co-sponsors