SEOUL, Oct. 17 (Korea Bizwire) — Car-sharing businesses are suffering from massive financial losses due to careless users.
Car-sharing vehicles owned by SOCAR Inc., a car-sharing service provider, last no more than three years on average, a mere 20 percent of the average lifespan of automobiles in South Korea.
Smaller car-sharing platforms have a vehicle lifespan lower than two years.
The mobility industry blames careless users for dragging down the average lifespan of shared cars, who are often responsible for smoking or spitting in cars, leaving behind food waste in the summer, and throwing away used diapers.
SOCAR imposes penalties or restricts car sharing if users are found smoking or littering in the vehicle.
However, a lack of indoor surveillance works as a loophole for some users to evade accusations.
The Korea Insurance Research Institute reported that the rate of shared car accidents is as high as 149.6 percent, indicating at least 1.5 accidents for each shared vehicle.
The rate is 10 times the average rate among non-shared vehicles (13.8 percent), or six times the average among rental cars (24.2 percent).
Kevin Lee (email@example.com)