How to rent a car for traveling in a different country.

Renting a car abroad can be both incredibly freeing and a little intimidating—especially if it’s your first time. In this post, we’ll share everything we’ve learned about navigating car rentals in foreign countries, so you can hit the road.

Renting a car abroad has taken us to places no tour bus or train ever could—like quiet mountain villages, empty coastal roads, and roadside fruit stands that became unexpected highlights of a trip. But it hasn’t always gone smoothly. We’ve learned the hard way about surprise insurance charges, tiny cars on steep hills, and figuring out foreign road signs on the fly.

These experiences taught us what really matters when booking a rental and what you can skip without worry. If you’re dreaming of your own road trip adventure, this guide will help you avoid the stress and enjoy the ride.

1. Pick the Right Car

When renting a car abroad, choose the type of vehicle that fits your needs and suits the region, road conditions, and terrain you'll encounter. For example, if you're traveling in Europe, a compact car makes navigating narrow streets and tight parking spaces much easier. In contrast, if you're exploring off-the-beaten-path areas in India, a jeep or SUV would be more practical.

Remember that larger vehicles like SUVs typically come with higher rental fees, additional insurance costs, and greater fuel consumption. To compare prices and find the best option for your trip, we recommend booking through Rentalcars.com — it’s the platform we personally use and trust when traveling.

2. Insurance Coverage

Understand the insurance options available to you and make sure you’re properly covered. We advice you to read everything, even the small and tiny letters. You can ask at the rental, if you are not sure on which to choose.

Collision Damage Waiver (CDW): This protects you against damage to the rental vehicle in case of an accident.

Theft Protection: Covers theft of the car or any parts of it.
Liability Insurance: Covers injury or damage to others or their property.
Personal Accident Insurance (PAI): Covers medical expenses for the driver and passengers in case of an accident.

READ | In our dedicated guide we explain how your travel insurance covers for damages for car rentals.

3. International Driving Permit (IDP)

We recommend you to check, if the country you are traveling to requires an IDP. I many countries, your regular driver's license may be enough. Some countries like Japan, even require an official translation of your IDP depending where it was issued. You normally can get it IDP your country’s motor vehicle or licensing authority.

4. Credit Card

Most car rental companies prefer or require a credit card for pickup, as it provides security for potential damages or extra charges. Credit cards often come with insurance benefits and fraud protection, making them the safer choice. While some companies accept debit cards, they may impose stricter requirements, such as higher deposits or additional documentation. Be sure to check the rental company’s policies in advance to avoid surprises.

READ | How we travel more by spending less

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5. Understand the Terms of the Rental Agreement

Keep in mind that you should check and understand the possible “hidden fees” which sometimes include insurance fees, fuel charges, one-way rental fees, additional driver fees, young driver fees or late return fees.

6. Driving on the Left or Right Side

Most of the world drives on the right side of the road, this means the steering wheel will be on the right side of the car. If you need to drive differently as you are used to, it may take a little time to adjust to.

Left-Side Driving: Countries like the UK, Ireland, Australia, Thailand, Japan and India drive on the left side.

7. Understand the Local Driving Laws

Driving laws, traffic signs, and speed limits can vary widely from country to country, so it's important to familiarize ourselves with the rules before hitting the road. For example, in Argentina, it’s mandatory to drive with headlights on during the day. We once got stopped by a police checkpoint and found ourselves in a bit of trouble for not following this local regulation. Knowing these small but crucial details can save us from fines or unexpected issues during our trip.

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8. Check the Car Thoroughly Before Driving

To avoid any surprises, we advice you to check thoroughly. We made the huge mistake of not checking our spare tire in India and we realized too late, when we of course had a flat tire.

TIP | Take pictures and videos of the fuel level, mileage, scratches, spare tires and any other specifics to avoid misunderstandings when returning the car.

9. Know your Fuel Type

Make sure you know what type of fuel your rental car requires. Here are the most common:

Petrol (Gasoline): Most cars, especially in Europe and the Americas, run on petrol.
Diesel: Diesel cars are more common in certain regions, such as Europe or being used for bigger engines.
Electric or Hybrid: In some countries, you may rent an electric or hybrid car. These vehicles require charging, and charging stations may not be as abundant as petrol stations, so plan your route carefully and check for available charging points along the way.

10. Park Mindfully

We recommend you to know if the country you are traveling about where and when you can park. Pay attention to parking signs to avoid fines or towing. In some countries, you’ll need to pay at parking meters or use parking apps. Keep in mind that in some cities, it's easier to use public transport for sightseeing rather than dealing with parking issues.

TIP | We search for accommodations with a parking spot or parking options nearby.

View of mountains shot from inside a rental car.

11. Navigating with a GPS or Maps

Make sure you have access to maps, either digital or physical, to help you navigate. Many countries have limited or no cell phone service in some areas, so having an offline map as a backup is a good idea.

TIP | We download the region we will explore on Google Maps and this allows you to see the map and shops, restaurants, tank stations and so on even without signal.

12. Traffic Cameras and Fines

Many countries use speed cameras or surveillance cameras to enforce traffic laws, including running red lights, speeding, and illegal parking. Some rental companies will charge you a fee if you’re caught by a camera, even if you’re not immediately aware of the infraction. We had this experience in Brazil and got a big fine which the car rental charged from our credit card a month later.

13. Emergency Numbers

You never know when you might need them, and we hope you don’t. But it is always helpful to know the local emergency numbers for police, medical assistance, and fire services.

You can usually find them online or on the back of your rental contract.

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