As with any damage and loss protection, there are exclusions. It's important that you understand a few common-sense rules for using Car Next Door cars.


You will not have any damage and loss protection if you use a Car Next Door car to:

  • drive to the snow, on roads where a reasonable person would use snow chains**
  • drive off-road or on an unsealed surface**
  • tow a trailer, caravan or other device**
  • carry passengers or property for hire, fare or reward

You will also not be covered for towing in the event that the car breaks down more than 500km from its home address, unless you have notified the owner and Car Next Door in advance and you have received given permission to go beyond 500km.

Other exclusions are detailed below

Driving for rideshare or courier services

You may not drive for Uber, other rideshare services or Uber Eats or other courier services in a Car Next Door car that you have borrowed.

You may drive your own car for rideshare or courier services as well as listing it for rent on Car Next Door. If you're on our Instant Keys Plus+ or legacy $60/month sharing plans, you'll need to have separate insurance to cover any rideshare or courier activity.

Car Next Door's damage and loss protection will not cover you if you carry passengers or property for hire, fare or reward.

Other exclusions

You will not be covered, and so may be responsible for the full cost of any loss or damage, if you:

  • Use the car to tow anything**
  • Drive off-road or on an unsealed surface**
  • Drive through water or on the beach
  • Drive above the snow line during snow season, or in any place where a reasonable person would use snow chains**
  • Drive for rideshare or courier services or competitive driving
  • Drive with a warning light on or after becoming aware of a mechanical fault, or when the car is in an unsafe or unroadworthy condition
  • Drive the car more than 2 hours after your booking has ended**

  • Drive under the influence of drugs or alcohol, or refuse to submit to a test

  • Drive while using a device (e.g. texting)

  • Allow anyone to drive the car who is not an approved Car Next Door member

  • Drive, or allow others to drive, a manual car without having at least two years' manual driving experience

  • Pick up hitch-hikers

  • Carry more passengers or cargo than the car is designed for

  • Carry anything dangerous or illegal, or use the car in connection with any illegal activity

  • Use the car in a reckless or dangerous way or contravene traffic regulations

  • Damage the underbody or the roof of the car**

  • Leave the car unlocked or fail to secure the key in the Lockbox when returning the car

  • Put the wrong fuel in the car

  • Jump start the car, or use it to jump start another car

  • Commit fraud or fail to provide information that is relevant to an insurance claim

  • Flee the scene of an accident

**Owners on our Instant Keys Plus+ or Legacy sharing plans are covered for these activities

This is a summary of the exclusions listed in the Member Agreement, for your convenience. If there is any difference between this summary and full terms set out in the Member Agreement, then the Member Agreement will prevail. 

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  • Please provide direct link to the section of Member Agreement which contains all details.

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  • Good point Ehsan - I've added a link. The relevant clauses are no. 9 and 10 in the Member Agreement.

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  • Thanks for prompt response, this is much more helpful now.

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  • My house is on an unsealed street in Aireys Inlet. Am I insured if I drive the car to my door?

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  • There are numerous off-road/SUVs on Car Next Door, yet we cannot drive a borrowed car on unsealed roads, most of which can be safely driven on with any normal car. I find this rather strange, and also limiting.

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  • What happens if a Borrower uses the car, and there is injury to a 3rd party person in an accident?
    i.e. is that covered by the Borrower's compulsory 3rd party, or must it come under the Owner's compulsory 3rd party, or is it already covered in this policy with Car Next Door (for legacy $60/month plans)?

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  • Hi Jackson,

    Every Car Next Door Car Owner must have CTP insurance in place, and arrange this themselves.

    The CTP Insurance covers injury to third parties if a Car Next Door car is involved in an accident while it is with a Borrower.

    You can learn more, here:

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  • The summary says that the car is not covered if the borrower travels 500 km away without permission. The only reference in the Member Agreement is in relation to towing, not insurance coverage. Would you please confirm which is correct?

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  • Hi Andy, you're right, it's only about the towing in the event of a breakdown. I'll update the article. Thanks!

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  • Does the exclusion for unsealed roads apply only to damage the occurs on unsealed roads or is a borrower who has driven on an unsealed road/driveway liable for any damage even occurring on a normal sealed road?

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  • There are currently three sections of roadworks on the road I need to travel, I travel this road in my own vehicle, am I restricted with the hire vehicle from travelling this road?

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  • Hi Shirley, that won't be a problem. By unsealed roads, we mean dirt roads.

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