How to Hire a Car Abroad
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Are you planning to hire a car abroad? We have done it multiple times and enjoyed the freedom to move freely without worrying about tight schedules. Our comprehensive car hire guide offers valuable tips.
Covered in the Article
Car Hire - Freedom and Challenges
Most adult travellers are holders of a national driver's license issued in their home country. Car hire companies are popping out every place like mushrooms. This indicates the increasing demand for car rentals among travellers. Even though you may be driving every day in the country you currently reside in, hiring a car during a vacation in a foreign country can still be challenging. The traffic environment can be strange, and so will be an unfamiliar car, too.
In many destinations, hiring a car is the easiest way to move around. This is true, especially in distant nature destinations with poor public transportation. Going on a day trip via tour package and exploring the sights at your destination is wise, but going on a road trip around the country is even wiser. A hired car gives you more freedom and often becomes a cheaper way to explore.
Who Can Hire a Car?
You need a valid driver's license to hire a car. You often need an international and national driving license issued in your country of residence. That is the case, for example, in Israel. A license from any EU country is often enough in the EU area. Almost all rental companies require the driver's license to be at least 1 year old. Rarely can you find some of the few companies making exceptions to this rule, usually smaller car rental companies.
Younger and older people may need to pay extra fees to hire a car. In some circumstances, those of these age groups find it impossible to rent a car at all. At least, the most expensive cars are often excluded from the young/inexperienced drivers. If a company refuses to let you buy a car because of your age, you may always call them and try to negotiate.
The exact terms vary between car rental companies. Big chains often have stricter terms than small private companies. Big companies may also be unwilling to negotiate. Sometimes, the insurance company sets the terms, so the car hire company can't deal. Before placing a booking, read the terms carefully.
Driving a Hire Car Abroad
Before looking for a hire car, have a little time to do background jobs well. Traffic culture at the destination may differ from your home country, and roads may be more difficult to drive. With enough background information, it will ease your decision about renting a car.
Use Google to find information about the traffic rules in the destination. Find out people's real driving experiences. YouTube is great for videos of people driving in famous tourist spots. Again, with enough information, you are ready to decide whether to drive yourself on holiday.
Things to Understand When Hiring a Car
The car rental process is simple in theory. Find a car, hire and pay for it and then drive. This is how it works in theory, but in the booking phase, there are essential details you need to understand.
Comparison and Booking
Renting anything from a small car to a big van is possible. Naturally, the better car you wish to rent, the higher the price. That's why the first task is to decide the car size you wish to hire. A small car may be enough if you travel alone or with someone. A bigger car is more suitable when the whole family is with you. However, as studies prove, bigger cars are safer than smaller ones in collisions. Large vehicles weigh more and have longer hoods and bigger crush zones, giving them an advantage in frontal crashes.
A small car is more practical if you intend to drive in the mountains.
On car rental companies' websites, you will see a list of car brands with photos. Rarely, you will get the brand you have chosen but a similar car in the same size class. For example, if you rent Toyota Aygo, you may get Citroen C1. Or if you rent Ford Fiesta, they may give you Opel Corsa. The car you'll get is often better than your chosen one.
Our advice is not to get fixed to the brand but to choose the size class. If you wish for a car with extra features like parking radar or automated gears, choose a car class with these features.
It is not enough to compare just cars , but you also need to compare car hire companies. Unfortunately, there are some companies with a bad reputation. Usually, these companies offer cheaper rental fees, but their cars may be in bad condition. If you mistakenly chose such a cheap car rental company, you may pay for the damages you never caused yourself. If a company is badly rated, it is best to skip it and choose a cheaper competitor.
Add-ons and Accessories
Hire car companies are eager to sell add-on services. That is a way how to make their business more profitable.
An extra driver add-on gives another person a right to drive the car. You must buy this service if two people drive the same car. Some rental companies allow many drivers as long as the rental agreement signer stays in the car all the time.
Many other services are also available: GPS, Wi-Fi, child seat, etc. Choose only the ones you need.
Car Hire Insurance
Choosing the right insurance is the most critical decision for a car renter. In Europe, all cars have third-party liability insurance, a Collision Damage Waiver (CWD) and Theft Protection (TP) included in the hire price. However, this is not always the case, so be sure the car has these insurances. For example, some car rental companies rent cars without insurance in the USA.
Your travel insurance may not include a hire car insurance abroad.
If the car lacks insurance, you will be liable for all damages. It would be best to have personal insurance to cover or pay all the expenses with your own money. An accident or a theft can become very expensive, so ensure you have the needed insurance as well.
The insurances also have their traps. It is important to understand that insurance may have an excess, sometimes called deductible. It is the money you need to pay yourself in case of an accident. The insurance company will pay the rest if the repair costs are higher. The excess is normally about 1,000 euros, which is a big amount.
Almost all car rental companies sell super insurances which have a smaller excess. It can be even 0 euros. Then, you don't need to pay anything in case of an accident. Some parts of the car, like windows and tyres, are often excluded from the insurance, and you are always responsible for them no matter which insurance you have. So please read the terms and conditions carefully and understand them well.
Car Hire Excess Insurance
You can also buy a car hire excess insurance from third-party companies. They are remarkably cheaper than hire car companies' super insurances but are also more complicated to use. In case of damage, you first need to pay the excess to the rental company, and afterwards, you need to apply for your money return from the third-party insurer.
Travel Insurance
In an improbable situation during your travel, you may need treatment following a serious illness or incident. It is also wise to have good travel insurance that covers yourself when something unexpected happens. Check travel insurance offers from SafetyWing for an instant quotation.
Picking up the Booked Car
It is practical to hire a car that can be picked up from the airport right after landing. The most expensive car hire companies usually have their s in airport terminals. Still, cheaper companies generally drive airport terminals to their office nearby. Whether you wish to save 30 minutes but pay more is up to you.
In the car rental office, car hire papers will be made. The contract must include at least the car's details, all the drivers' names, and insurance details. These must also be documented if you have bought extra services like crossing borders to another country. You must confirm that all information in the papers is correct before signing it.
Another important task is paying the car rental fee. In addition to the hire fee, the company will block the full excess amount from your credit card. This sum will be returned later if you return the car without new damages.
When the papers have been signed, it's time for the hire car inspection.
Inspecting the Hire Car
You must carefully inspect the hire car's interior and exterior before driving. Often, even seasoned travellers forget to take photos of the car's interior. Doing so can save you from a possible rental car scam later. This is especially true if you get involved in a collision later. Some car hire companies may pass the already existing damages to you as the present car user.
Document also the fuel level and warning lights.
Unfortunately, damages are a source of income for some hire car companies. To protect yourself from fraudulent claims afterwards, it is important to take clear photos and videos of the car's original condition. Make sure all faults are also documented in the rental papers. Fraudulent claims may appear months after your rental period. We recommend sending photos immediately to cloud storage so they will get timestamped and safely stored in case you need them later as proof.
In short, inspect the car well and document its condition through photos and videos, noting for any dents, scratches or other forms of damage. When everything is in order, you can finally start driving.
Super Coverage
Car hire companies typically sell their expensive super coverages when a customer picks up the car. If you don´t have good additional insurance yet, it may be wise to buy super coverage. However, we recommend buying full insurance from a third party when booking a car online.
If you already have additional insurance, you may say: I do not want additional CDW coverage. My booking includes coverage for the deductible and extended coverage.
Challenges with a Hire Car
Keys Left Inside
In an unfortunate situation, locking yourself out of a hire car is possible. You cannot do much if you accidentally leave the car keys inside the vehicle and the doors lock automatically. The only easy solution is to call the rental company and ask them to come to your current location to open the car doors for you.
Many additional insurances cover the extra costs of critical problems.
Fines
Parking fines are easy to get abroad. You may also get fined for speeding because traffic cameras are everywhere. We recommend paying the fines before returning the car to the car rental office in case of these violations. Ignoring the fines may incur additional costs because the car rental company surely sends the bill to your home address and lets you pay for mailing it.
Not Enough Fuel
Returning the car with less fuel than agreed will lead to a penalty. As a consequence, you need to pay a higher price for the missing litres and also a service fee.Therefore, remember to refuel the car with the right fuel amount and correct fuel type before returning it. It is advisable to take a photo of the hire car's instrument panel showing the fuel amount at the start and end of your journey.
Technical Problems
Sometimes, hire cars are not in good condition. We recommend contacting the car hire company immediately if you notice any technical challenges. It is not your task to repair the car or find out what is wrong.
It is essential to document the problems well. Take photos of the warning lights and note the car's behaviours. Call the company so you have evidence that you have contacted them. Write down all the extra costs you incurred from returning the car and picking a new one from their office if this is the case. You then claim these later when you return the car.
Accident with a Hire Car
Car accidents are inevitable ones even though how much careful you are on the road. For this reason, having car and travel insurance in order is a primary concern.
In the event of an accident, the first task is to take care of the people involved in the accident and call for emergency help. Make sure you have a working phone and know the emergency number of the country you are travelling in. Even if there were no injuries, hire car companies normally ask you to call the police to make a report. That is needed to get compensation from the insurance company.
Again, it is wise to carefully read the car rental terms from which you will know how to act in case of an accident.
Minor Scratches
Minor scratches in a hire car can become a huge problem. You must scrutinize the vehicle for scratches before driving. During the inspection, if dents or scratches are found, all of them must be documented together with the staff of the car rental company. Some car rental companies try to transfer the cost of damage done by other drivers or even by their staff onto the next unsuspecting customer.
Failing to do the check-up may lead to a situation in which you are asked to pay the repair costs of the scratches you did not even cause. Limit your excitement to drive hurriedly and carefully inspect the car. Compare the markings indicated in the car inspection papers and immediately notify the car rental company staff to include such missed markings before driving the vehicle. This way, you don't pay for existing scratches or damages you didn't cause yourself. Thanks to smartphones, photographing the car carefully is easy. Make it a practice to do proper documentation before starting the engine of a hire car. In short, ensure all damages have been documented in the car hire rental forms.
Returning the Car
It is important to return the car at the agreed time to avoid penalties. We do not recommend returning the car earlier since small car hire companies may not always have staff present.
Unfortunately, some car rental companies are eager to check the car extra carefully when you return it. They may find minor scratches whose repair costs maybe even 500 euros. Because the insurance usually has an excess, you must pay this amount yourself. Only if you have insurance with 0 euro excess are you safe. You may apply for money back later if you have a third-party extra cover.
Before returning the car, inspect the car yourself so as not to get surprised if the car hire company finds new damages. Keep your previously taken photos ready to prove the existing scratches. Inspect with the car hire company's representative. Never let them inspect the car without you because defending yourself later becomes impossible. Also, insurance companies usually require that you have been present during the inspection if you apply for compensation. That is why it is vital to reserve enough time to document possible damages.
Our Car Hire Experiences
We have hired a car multiple times during our journeys abroad. Everything has gone well without incidents.
Hiring a Car on Canary Islands
On El Hierro Island, we rented a car from Enterprise. We had placed a booking beforehand and fetched the car from El Hierro Airport.
The car cost 40 euros/day and had 0 euros excess included. The vehicle was provided by Cicar, not Enterprise itself. We got a free upgrade to a sporty Opel suitable for mountains. Even though the agreement's fuel policy was full-to-full, we got the car only with a half tank. We were asked to pay for the fuel during the pickup and promised a refund of unused fuel.
Returning the car was smooth, and we were refunded for the unused fuel as promised. However, the refund was a few euros less than we had expected.
Based on our experience, we can recommend Cicar in the Canary Islands.
Hiring a Car in Alicante
In Alicante, we rented a car from Alamo. The Hyunday i10 cost only 16,12 euros/day, but the agreement had about 1000 euros excess. We bought a Super Collision Damage Waiver (SCWD) with 0 euro excess for 16 euros/day.
Also, the fuel tank was not full this time. We were asked to return the car with the same fuel level. That was a fair deal, but actually, we returned more fuel than we had got. The whole rental process was smooth.
Based on our own experience, we can recommend Alamo in Spain.
Hiring a Car in the Azores
On Sao Miquel island, we hired a car from Autocunha Car Rental. We paid about 55 euros/day for a car with 300 euros excess and an additional young driver included. We understood that the company was small and family-owned. The company was not the cheapest, but their customer service was friendly. They put a lot of effort into helping us with our plans before we placed the actual booking. The company followed a full-to-full fuel policy well.
We got also a free car upgrade and the Opel Corsa was a brand new. Everything went as planned.
Based on our own experience, we can recommend hiring a car from Autocunha on the Azores islands (Porto and Sao Miguel).
Hiring a Car in Terceira
On Terceira Island, we rented a car from Autatlantis. We placed a booking first to Rhodium, but this company had a terrible reputation, so we changed the booking to Autatlantis.
We picked up Citroen C1 from Terceira Airport. The car cost 23,60 euros/day and had 800 euros in excess. We were given the car papers inside the terminal and told there were only three (3) scratches on the car. We inspected the car ourselves and found that there were about ten scratches. We informed the staff who came to do a new inspection and corrected the papers. Before this, we had already documented the car's physical condition with multiple photos. Also this company followed a full-to-full fuel policy.
Surprisingly, when we returned the car, no one inspected it. So the car rental was a smooth process.
Based on our own experience, we can recommend hiring a car from Autatlantis on the Azores.
Finding a Cheap Hire a Car
To find an affordable car, you need to compare car hire prices. We do recommend using Discover Cars which compares the prices of many rental companies. They also sell extra covers to reduce the excess to 0 euros. This extra cover is cheaper than bought directly from rental companies, and it covers the car well.
How Does Discover Cars Work?
We almost always use Discover Cars to book cars for our travels. It is simple to compare hire car prices on their website and place a booking. Usually, you pay a small reservation fee in the booking phase, and the rental company will spend the rest during the pickup. Discover Cars allows cancellation, and the reservation fees will be fully returned.
Picking up the car is done with a booking confirmation that has all the agreed details marked.
Car Hiring Checklist
- Find information about the traffic culture in the destination.
- Choose the size class of a car you wish to have.
- Compare cars and prices on Discover Cars.
- Before booking, Google information about the rental company's reputation. If the company has a bad reputation, skip it and choose another company. A big brand does not always guarantee quality.
- Book a car on Discover Cars and get a voucher. Consider buying an extra cover so you can drive with peace of mind.
- Prepare a credit card with enough balance to be able to pay the car hire fee and the excess.
- Fetch the car with the voucher from the chosen location and sign the car hire papers. Inspect the car well, document all damages with the hire car company's representative and photograph the car. Take also slow video.
- Follow the agreed fuel policy to avoid extra charges.
- Return the car and report any possible issues.
Common Questions
- Is hiring a car on a holiday trip a good idea?
- A hired car gives freedom, but it is up to the traveller to decide if they like driving on vacation.
- Who can hire a car?
- You must be over 18 years old, and your driver's license must be at least one year old. Outside the EU, you may need an international driving license. A young driver may need to pay extra fees. Some companies have stricter rules.
- What is the best car hire company?
- We do not recommend any single brand. However, we highly recommend comparing hire car prices online with a comparison tool. Choosing the cheapest car is seldom a good idea. We recommend hiring a car from a reputable company.
- Where can I compare hire car prices?
- Head to Discover Cars and compare the hire car prices of many companies. Remember to buy extra insurance.
- What does excess mean?
- In the case of damage, the excess is part of the repair costs you must pay yourself after applying for insurance.
- What does Deductible mean?
- It is the same as the excess.
- What are CDW, SCDW and TP?
- Collision Damage Waiver (CDW) is car insurance that normally has excess. Super-CDW (SCDW) is insurance with a smaller excess. TP is Theft Protection.
- What is important when hiring a car?
- You need to check and document the condition of the hire car carefully before driving any single metre.
- What is the alcohol threshold for driving a car?
- Do not even think about it. Drinking and driving is not a good combination
- Do I get the car make and model that I hired?
- Usually, you do not get the make you have chosen but another car in the same size class.
- How much does it cost to hire a car?
- It depends on the car and destination. A budget car costs from 10 to 60 euros per day plus extras.
Bottom Line
We recommend driving a car during vacations. It is important to prepare well. Compare prices and book a car only from reputable companies.
Read the hire car terms and understand the insurance's coverage well. It is advisable to buy additional coverages, but they can be bought at a lower price by third parties. For example, Discover Cars sells inexpensive super covers.
As long as you follow the rental terms well, there won't be any extra fees. Also, local traffic laws should be followed to avoid unnecessary fines. We recommend downloading an offline map of the region you are travelling to save data while navigating. Lastly, be willing to give way to over-speeding drivers. Prioritize safety while driving in all cases! Don't drink and drive. Fasten your seat belt and have a happy journey!
Have you hired a car abroad? Please share your experience or any additional tips with us.
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Comments (2)
Thanks to you, I now understand that finding out what local traffic condition looks like on a regular basis is a must to ensure we hire the right vehicle which suits the situation. I'll let my pen pal know about this so he could make a reservation properly after this. He'll be visiting New York for the first time next weekend and wonders if he should drive a car there.
Hi Amy,
Great to hear that you find this article helpful.
I just want to say that you have been ripped off for all your rentals and have paid over twice what I ever have. You should never pay the hire company to reduce your excess as this will normally cost more than the rental. Third party excess reduction insurance normally only costs £40 a year. The most I have paid for a rental was in France for around £25 a day. Cheapest was Croatia for £8 a day. I use economy car rentals to search for cars.
Thank you for a good comment.
We have a yearly 3rd party excess insurance costing less than 30 euros. Sometimes, buying excess insurance from the car hirer has a few benefits: return inspection is fast and dealing with minor scratches simple.
But you are right. Third party insurances become much cheaper.
We have not always chosen the cheapest rental companies. Just because their customer service level reflects the cheap price.