At a glance
You could save on your holiday car hire by booking in advance.
You’ll need your UK driving licence and passport at pick-up, and possibly an International Driving Permit outside of the EU.
Basic insurance is often included in car hire abroad, but check the terms.
Work out what extras you need and see if you can get them cheaper elsewhere.
Plan ahead when hiring a car abroad
Organising your car hire abroad before you go could save you time, money and stress.
Queuing up at a random car hire desk on arrival is unlikely to get you the best deal. It may also mean not getting your preferred choice of car.
You also might not have time to read the terms and conditions. Many car rental companies add extras that bump up the cost and if you’re flustered at the desk, you may be more susceptible to the hard sell.
Planning ahead allows you to do your research and compare car rental companies to get the best price.
It also means you can work out exactly what extras you need, so you don’t have to make any decisions on the spot.
Look for a deal with free cancellation and then you won’t have to worry about being left out of pocket if plans change.
Top tip
Travelling with children? It might be cheaper to take your own car seat, rather than renting one.
Most airlines let you check your child seat into the hold free of charge – but check beforehand.
What do I need to hire a car abroad?
It depends on where you’re going and the car hire company, but to hire a car abroad, you’ll usually need:
A valid UK driving licence – for all drivers on the policy
A valid passport
An International Driving Permit (IDP), depending on the country you’re visiting
A credit or debit card in the main driver’s name to cover the security deposit and any outstanding rental costs.
Some car rental companies may ask to see your driving record.
To see if this is necessary check with the car rental company. If it is, you’ll need to get a DVLA code. The code is valid for 21 days and gives the car rental company one-off access to your online driving licence record.
To access your driving licence code, visit the ‘check code’ page on the DVLA website.
Do I need an international driving permit?
It depends where you’ll be hiring the car and which countries you plan on driving in.
You don’t need an International Driving Permit (IDP) to drive in the EU, Switzerland, Norway, Iceland or Lichtenstein if you have a photocard driving licence issued in the UK.
However, if your UK driving licence was issued in Gibraltar, Guernsey, Jersey or the Isle of Man, you’ll need an IDP to drive in EU countries and Norway.
And if you still have a paper licence, you’ll either need to upgrade it to a photocard licence or get an IDP to drive outside the UK.
If you’re planning on hiring a car outside the EU, you’ll likely need to get an IDP. But confusingly, there are three different types available, so make sure you get the right one for your destination of choice.
You can find more information on the GOV.UK website.
You can get an IDP from certain shops that have PayPoint. It costs £5.50. To buy one, you must be over 18, a UK resident and have a full UK driving licence.
Do I need insurance when hiring a car abroad?
When you rent a car abroad, insurance is usually included. But this is usually basic cover and often includes a high excess.
Most car hire companies will try to talk you into buying a ‘super collision damage waiver’ (SCDW) to lower your excess.
It’s often cheaper to buy your own excess reimbursement insurance from an online insurance provider. This lets you claim back any excess you have to pay if you damage the car.
It’s important to understand what any insurance policy included in the car hire covers – and what it doesn’t.
You may be offered extra insurance to cover damage to tyres and wheels, or the windscreen. These extras can be confusing and unclear – particularly after a long flight – so make sure you understand any add-ons before you buy.
You might find you don’t need some insurance add-ons as you’re already covered.
For example, your travel insurance should cover your medical costs and may include personal accident insurance (PAI), which could pay out if you or your passengers are seriously injured.
It won’t cover your liability though – that’s why you need to make sure you have at least the minimum cover required to drive abroad, as well as a travel insurance policy.
What are fuel costs for hiring a car abroad?
When you rent a car abroad, it’s important to know how you’ll be charged for fuel. There are two main options:
Full-empty: some hire car companies expect you to pay upfront for a full tank and return it empty. This could be stressful (you don’t want to run out of petrol before returning the car) and expensive as you won’t be refunded for any petrol in the tank.
Full-full: many car-rental companies operate this policy, where you receive a car with a full tank and return it full. You’ll need to find a petrol station near the rental-car drop-off where you could fill up before returning it.
Try to avoid airport petrol stations, which tend to be expensive and busy for this reason. It’s worth taking the time to fill up though – there’s usually a heavy ‘service charge’ if you don’t.
How should I pay when hiring a car abroad?
It’s worth paying by credit card when hiring a car abroad.
That way, if there’s an issue, your payment might be protected under Section 75 of the Consumer Credit Act, which covers purchases of more than £100 and up to £30,000, although this isn’t guaranteed.
If you’re given the choice, pay in the local currency so you can avoid unfavourable exchange rates.
What should I know about hiring a car abroad?
Hiring a car abroad is usually simple, but there are a few factors to consider. Before you drive away, always:
Check the car for damage and take photos or a video as evidence
Have any damage noted on the rental agreement
Understand how the car works – if not, ask for help
Check what your insurance covers and, if possible, get comprehensive cover
Look out for any mileage limits and make sure they’re sufficient for your plans
Have an emergency contact number in case of a breakdown or accident
Check the rules of the road for the country you’re driving in and that the car has the right equipment. For example, if you’re driving to a ski resort in winter, you may need reflective jackets, a warning triangle, snow tyres and snow chains.
It’s also worth keeping all petrol and toll receipts in case there are any issues once you return the car.
What else do I need to consider for visiting Europe?
Here are some things to bear in mind when you’re preparing for travel to the EU:
You can travel in Schengen area countries for up to 90 days in any 180-day period without a visa
You must have at least three months left on your passport on the day you plan on leaving the EU and returning to the UK
The Global Health Insurance Card (GHIC) has replaced the European Health Insurance Card (EHIC), although you can use your EHIC if it hasn’t expired
A GHIC isn’t a replacement for travel insurance that covers medical expenses as it covers care that the GHIC doesn’t, as well as emergency repatriation
You may need to register your biometric details the next time you enter the Schengen area under the new Entry/Exit System (EES).
The EES is replacing the system of manually stamping UK passports on arrival into the EU.
The new system is being phased in between 12 October 2025 and 9 April 2026, so you might not notice any changes straight away.
How are entry requirements for the EU expected to change?
From late 2026, UK passport holders will need to complete a European Travel Information and Authorisation System (ETIAS) application with their personal details and trip details before travelling to the Schengen area.
Applying for an ETIAS travel authorisation will cost €20. It will be valid for up to three years or until your passport expires, whichever comes first.
Compare travel insurance
If you’re planning a road trip abroad, don’t forget to pack travel insurance.
It could cover pre-paid car hire costs as well as flights and accommodation bookings if you need to cancel for a covered reason.
We can help you compare travel insurance quotes from a range of leading providers so you can search for one that works for your trip and your budget.
FAQs
Can I drive a car in Europe with a UK licence?
Yes, it’s fine to drive a car in Europe with a UK licence. But you’ll need to carry it with you.
Can I drive a UK hire car abroad?
If you want to rent a car in the UK and drive it to Europe, you’ll need permission from the car hire company.
Some will let you take the car from the UK into the EU for an extra fee, but several won’t.
You’ll need a VE103 document to legally take a hired car abroad. If your car rental company allows you to travel to Europe in your hire car, they should be able to help with this.
Can I rent a car and drive it across Europe?
Most rental companies will let you drive your car across multiple countries, but you’ll need to let them know first and you’ll need to pay an extra charge.
Do I need a green card to drive in Europe?
You don’t need to carry a green card to drive in the EU and other European countries like Norway, Iceland and Switzerland, but you may need one to drive in Turkey, Morocco, Albania and Ukraine.
How old do I have to be to drive a car in Europe?
In most European countries, the minimum legal driving age is 18 years old, but you’ll often need to be a few years older to hire a car.
Although you need to be at least 21 to rent a car in the UK, in France and a few other European countries you may be able to hire a car at 18.
You’ll need to check the rules of the country you’re travelling to and the terms of the car rental company.
If you’re under 25, you’ll probably need to pay an extra charge and you may have a smaller choice of cars.
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With more than eight years’ experience in writing and sub-editing content, Karen started her career in fashion before making the move to insurance. She now specialises in producing clear, engaging content that helps people make better financial decisions.
Karen’s areas of expertise include insurance products, such as car insurance, travel insurance and life insurance, as well as utilities such as energy comparison.
Stephen Maunder is an experienced personal finance editor, having spent more than a decade working for consumer print and online titles. He won several industry awards for his personal finance features at Which?, before becoming Deputy Editor at Compare the Market.
An experienced commercial leader with nearly 20 years’ experience in digital comparison and consumer services, Tom Lyon is a trusted voice in industries that affect millions of households. Tom’s made appearances on BBC, ITV, Channel 4 and Sky News, as well as programmes such as Watchdog, The One Show and Good Morning Britain.
Tom’s areas of expertise include travel insurance, as well as utilities and digital products such as energy, broadband and mobile.
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