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Hertz launches $1,000-per-month car subscription service

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Maintenance, roadside assistance, and some insurance coverage included

Rental Car Companies Stocks Drop Amid Earnings Woes Photo by Justin Sullivan/Getty Images

Hertz is now the latest in an increasingly long line of companies piloting car subscription services. The rental car giant announced Tuesday that it is launching a pilot version of a subscription service called “Hertz My Car” in Austin, Texas and Atlanta, Georgia.

The Hertz My Car subscription service will be offered in two tiers, both of which include full vehicle maintenance, roadside assistance, damage to the vehicle (though with a $1,000 deductible), and limited liability protection. The $999 per month tier includes full-size sedans, small SUVs, and trucks. Luxury sedans, regular SUVs, and larger trucks will be available for $1,399 per month. Subscribers will be able to swap their vehicle twice a month within their own tier (Hertz will allow additional swaps for $75).

The per-month prices are before tax, and Hertz is charging a $250 enrollment fee. There’s also a 2,000-mile monthly allotment. After that, Hertz will charge $0.35 cents per mile. The per-month fees will be applicable to Hertz’s Gold rewards program, though.

Hertz’s announcement comes just a few weeks after rival Enterprise also revealed a subscription service. Enterprise’s service includes 3,000 miles of driving each month and up to four car swaps, but it costs $1,499 per month.

But it’s not just rental car services that are trialing the idea of subscribing to your car like a smartphone. Porsche, Mercedes-Benz, BMW, Audi, Jaguar, Volvo, and Cadillac all have slightly different pilot programs in the works.