How does Modo’s insurance work?

Modo’s fleet is insured up to $5 million under a Third-Party Liability policy from ICBC and is self-insured for damage to our own vehicles.

Members are subject to a Damage Fee in accordance to their membership type for any damage that occurs to the Modo vehicle during their bookings. We know accidents happen, that’s why Modo offers options to cover the Damage Fee.


Do I Have To Pay For Damage That Occurs During My Booking?

If the damage to the Modo is a result of an accident with another vehicle and the third party is deemed at fault by ICBC, no damage fees will apply.

For all other damage incidents (Yes, that includes at-fault accidents, hit and run, vandalism and damage to the tires.) you will need to pay the Damage Fee.

How To Avoid Paying The Damage Fee?

First and foremost, don’t forget your walk-around inspections at the start and end of your booking! That could save you from unexpected damages fees.

Members choose Damage Fee options when signing up online and can adjust them under their Account Settings at their convenience. There are two options available for members to reduce your out-of-pocket damage cost to $0:

+ Modo Damage Pool

+ Collision loss damage insurance (CLDI)


Of course, with all coverage, there are always some exceptions. Modo’s insurance is no different. Especially in instances that put people or our vehicles at risk. In such cases, both the Damage Fee cap and the Damage Pool are invalidated. As a reminder – and as per our Carsharing Handbook – you will be responsible for the full costs of the damage incident in the situations described below:

  • The Vehicle is damaged through improper use, for example, by moving cargo in and out of an undersized Vehicle or by an animal in the vehicle;
  • The Vehicle was used on a back country or forest service road, or any road or off-road area not generally used by regular passenger vehicles;
  • The Vehicle was left unsecured;
  • The Vehicle was used in the committing of a crime;
  • The Vehicle was used to transport explosives and/or flammables;
  • The Vehicle was used in a race, competition or comparable event;
  • The driver of the Vehicle was intoxicated;
  • The driver was speeding excessively;
  • The driver was charged with a vehicle-related offense under the Motor Vehicle Act or Criminal Code;
  • Unsuitable fluids were introduced into the Vehicle, such as diesel fuel into a gasoline powered vehicle;
  • The Vehicle was otherwise misused, or the driver’s behaviour was inappropriate in Modo’s sole determination;
  • The driver fails to notify Modo of an accident or damage that occurs during their booking;
  • The Vehicle was used to provide ride-hailing (passenger-directed) services.