Hi T.,
What a great idea! Well, with gas prices the way they have remained and the economy not much better. This is a good way to be able to help with your recreational vehicle. Which is "why" I'm sure your doing this right? I can imagine anyone wanted to do this just to do it. For so many of the reasons already listed.
Wow! you have gotten some great advise. I think the best thing to do besides obviously the Insurance and properly safeguarding yourselves. Is to also be realistic from a "Renters" prospective. I think some of the things suggested were just a little unreasonable. Some people would see so many stipulations that they may not want to rent it. It would not be worth it to them. Keep in mind your competition too. There are many RV Dealerships and RV Rental Companies that do this for a living. Find out their prices and what they do.
OK, so this is something my family would like to do "Rent and RV" and go to Disney World or the East Coast. I have a couple of friends who have done that and have heard the "Renters" side. Some dear friends of ours from CA rented this past Fall to go to the Grand Canyon etc.. and really researched who to rent from. They ended up going with someone similar to yourself and ended up having problems. The heater went out in November in the Grand Canyon with kids! Of course, the owner had no idea but they also did not think to check that with the owner to see if those things were working before they left.
Years ago, we had owned a small RV that we could no longer keep. We sold it to some dear friends and they lent it to us a couple of times. It was a sweet deal because we sold it to them for a great price. They put the money into it that it needed plus he was a mechanic. But when we had originally bought it plus when we re-sold it it came with the dishes, Pots and Pans, cleaning rags, sheets, blankets, etc. Pretty much everything you would need to take it out minus food and maybe a few other things you might use like a small hand held vac.
Keep in mind if you don't own an RV you don't know really what it needs and what will work well with it. If you don't have it stocked at least with the staples people may not have the right pots to fit the cabinets or stove etc.. You also may run into people using things in it or on something that could scratch or ruin your fixtures etc.. People don't always clean like one does so if you leave cleaning supplies you more less dictate how and what you want them to use to clean. I know we always kept a small hand vac. in ours because we used it to not track stuff in. You can suggest that so that they can maintain the carpets.
So in the end take most of the advise received with out the "fear" factor but have a proper balance! Look at it as what you would want or expect if your family wanted to Rent and RV for a vacation and I think you will have a nice little business especially with Summer around the corner. It is our dream to do just that but financially we are going to have to wait a couple years before we can afford to do it. Maybe we can rent yours then.
Much Wisdom and Blessings on your new venture!
A.