PCO car hire contracts for private hire and ride‑hailing drivers typically bundle the licensed vehicle, insurance, servicing, breakdown cover and admin support into one weekly fee. But the exact details and small print can vary a lot between providers. This guide breaks down the main things usually included (and what often isn’t) so you can compare deals with confidence.
If you would like more information on how to rent a PCO licensed car, follow this link.
Understanding PCO Car Hire Contracts
A PCO car hire contract is an agreement where you rent a vehicle that meets TfL/PCO private hire requirements so you can work with platforms like Uber, Bolt or local operators in London.
While every company structures its contracts differently, most PCO hire agreements cover similar areas:
- Vehicle supply and licensing
- Insurance
- Servicing and maintenance
- Breakdown and roadside assistance
- Mileage limits and extra‑mile charges
- Deposits and payment terms
- Driver responsibilities and exclusions
Knowing what is, and isn’t, included helps you avoid surprises and keep more of your earnings.
1. The Vehicle and Licensing
PCO‑Ready, Work‑Ready Car
The core of any PCO hire contract is a car you can start earning with straight away.
Typically, this means:
- The car is already PHV/PCO licensed.
- It meets TfL age and emissions rules
- It’s suitable for private hire work
Paperwork and Operator Requirements
Most contracts will ensure:
- The vehicle has a valid MOT and private hire licence.
- You receive the key documents you need to onboard with your chosen operator.
What’s usually your responsibility:
- Holding a valid PCO/PHV driver licence.
- Keeping your own personal documents up to date: this includes things like your right to work and DVLA licence.
If your PCO licence is coming up to it’s renewal date you can read our guide here on all what you need to know about the process.
2. Insurance: What You’re Actually Covered For
Insurance is one of the most important parts of a PCO hire contract.
Private Hire (PCO) Insurance
Most PCO car hire packages include:
- Private hire vehicle (PHV) insurance suitable for carrying pre‑booked passengers.
- Cover at least for third‑party injury and damage, with many including fully comprehensive cover so your hire car is insured as well.
Typical levels of cover you might see:
- Comprehensive – third party injury/damage plus damage to your own vehicle, theft and fire.
- Third Party, Fire & Theft – no cover for your own damage in an accident you cause.
- Third Party Only – the legal minimum, but less common in bundled hire packages.
What to check in the contract:
- Is cover fully comprehensive or not?
- Are you covered for hire & reward (private hire) at all times?
- Are there any restrictions on personal use of the vehicle?
3. Servicing, MOTs and Routine Maintenance
PCO vehicles cover high mileage, so servicing is a big part of your running costs.
What’s Commonly Included in a PCO car hire contract?
Many PCO hire contracts include:
- Scheduled servicing at set mileage intervals.
- MOT tests when due.
- Basic mechanical maintenance related to normal use.
This is designed to keep the car roadworthy and compliant without you having to organise everything yourself.
What Often Isn’t Included in a car hire contract?
You’ll frequently see exclusions for:
- Tyre & brakes
- Windscreens and glass (unless covered under insurance).
- Damage caused by driver negligence or misuse.
Read the contract carefully to see who pays for what. A cheap weekly rate can quickly feel expensive if you’re paying for frequent tyre changes on top.
Here at Rapid PCO we offer Tyres & brake replacement. To see what else is included in our PCO car hire plans click here.
4. Breakdown Cover and Replacement Vehicles
When your car is your income, downtime matters more than anything.
Breakdown Assistance
Many PCO hire packages include some level of:
- Breakdown cover (roadside assistance).
- Access to support if the vehicle won’t start or breaks down while you’re working.
Points to check:
- Is the cover 24/7, 365 days a year?
- Is there a limit on the number of call‑outs?
- Are call‑outs included in your weekly fee or charged separately?
Replacement Car
Some providers offer:
- A replacement PCO‑licensed vehicle if your car is off the road due to an accident or major fault.
- Temporary vehicles while repairs are carried out.
Others may only provide a replacement in certain situations, or not at all. It’s worth clarifying:
- How long you could be without a car.
- Whether you still pay the full weekly rental during repairs.
- How quickly a replacement is usually arranged.
5. Mileage Allowance and Extra‑Mile Charges
Mileage is where many drivers get caught out.
Typical Mileage Structure
Common approaches include:
- A weekly mileage allowance (e.g. 800–1,000 miles per week).
- An extra‑mile charge for anything above the allowance, often calculated per mile.
Even a small per‑mile charge can add up for busy full‑time drivers. For example:
- An extra 300 miles at 20p per mile = £60 extra in a week.
Some contracts offer high or “unlimited” mileage but always check the small print to see if “unlimited” has any fair usage rules or hidden fees.
6. Deposits, Fees and Payment Terms
Deposits and Upfront Costs
PCO hire contracts usually require:
- A refundable deposit, held against damage, unpaid fines or excess mileage.
- Alternatively, higher non‑refundable upfront payments for rent‑to‑buy style agreements.
Key questions:
- Is the deposit refundable, and under what conditions?
- How long after returning the vehicle will the deposit be released?
Weekly Payments and Extras
Your contract should clearly state:
- The weekly rental amount.
- What is included in this weekly fee
- Any extra charges, such as:
- Admin fees for handling fines and PCNs.
- Late payment fees.
- Charges for missed services or inspections.
7. Contract Length, Notice Periods and Holidays
Minimum Term and Notice
Most PCO contracts specify:
- A minimum hire period, for example 4 weeks
- How much notice you must give to end the agreement
Ending early without proper notice can lead to:
- Additional fees.
- Loss of all or part of your deposit.
Holiday Or Payment Breaks
Some providers understand that drivers need time off and may offer:
- A limited number of reduced‑payment weeks each year (for holidays).
- Options to pause your contract under certain conditions.
If you know you’ll take regular breaks from driving, look for a contract with clear, fair holiday terms.
8. Fines, Penalties and Driver Responsibilities
Fines And Penalty Charge Notices (PCNs)
PCNs are typically sent to the registered keeper (usually the hire company), who will then:
- Reassign the fine to you.
- Charge an admin fee for handling the paperwork.
Your contract should set out:
- How PCNs and fines are processed.
- What admin fees apply.
- Your responsibility for Congestion Charge, ULEZ and clean air zone fees.
Vehicle Condition and Damage
PCO hire contracts usually state that you must:
- Keep the car in good condition, inside and out.
- Report accidents and damage promptly.
- Pay for any damage not covered by insurance
You will almost always be responsible for:
- The insurance excess in the event of a fault claim.
- Any unreported damage discovered at the end of the hire.
For tips on how you can avoid PCNs as a PCO driver, you can read our blog here.
9. What’s Often Not Included (But You Might Assume It Is)
Drivers sometimes assume certain items are included when they’re not. Common examples:
- Tyres and brakes: frequently classed as wear and tear.
- Fuel: always at your own cost.
- PCO/PHV driver licence fees: these are separate from the car hire.
- Personal accident cover: may be limited or optional.
- Food/parcel delivery cover: not all PCO contracts include cover for courier or delivery work.
Always ask directly:
- “If I use the car for food or parcel delivery, am I definitely insured?”
- “Which parts of maintenance are my responsibility?”
10. Key Questions to Ask Before You Sign
Before agreeing to any PCO car hire contract, make sure you know:
- What exact insurance cover is included, and what is the excess?
- What servicing and maintenance is included, and who pays for tyres and brakes?
- Is there 24/7 breakdown cover and will I get a replacement car?
- What is the weekly mileage limit and extra‑mile cost?
- How much is the deposit, and when do I get it back?
- What is the minimum contract length and the notice period to return the car?
- How are fines, PCNs and admin fees handled?
- Am I allowed to do personal use and delivery work in addition to private hire?
Clear answers to these questions will help you compare deals fairly and avoid contracts that look cheap upfront but cost more in the long run.
Want to rent a PCO car?
Rent with confidence with Rapid PCO from just £200 per week.
We offer London based PCO car hire with a whole host of inclusive extras, specially formulated to benefit you. What’s included:
- A PCO licensed car
- Fully comprehensive insurance
- 24/7 Roadside assistance
- Servicing & maintenance
- Tyres & brake replacement
- No credit checks
- Same day collection
You can browse our wide range of PCO cars by following this link or you can call us on 01732 747190 to find out more.
