TL;DR: Renting a car abroad requires an International Driving Permit (11.20 NIS at authorized photo stations), understanding insurance types (CDW, TP, 3PLC, SCDW), a hefty credit card deposit, and watching for hidden fees. You also need to know about ZTL zones in Italy, European toll stickers, left-hand driving, and what to do in an accident. This guide covers everything from booking to return.
Renting a car abroad provides complete freedom of movement, flexibility in planning your trip, and access to places unreachable by public transportation. In this guide, we've compiled everything you need to know to rent a car confidently and save money.
International Driving Permit (IDP)
According to Israeli law, every Israeli driver is required to have an international driving permit when driving abroad. Every year, hundreds of Israelis get stuck at the rental counter and are refused because they don't have an IDP.
Where to Get an IDP in Israel?
- Authorized photo stations across Israel (station locator on the Ministry of Transport website)
- Cost: 11.20 NIS (9.50 NIS in Eilat)
- Validity: 3 years or until your Israeli license expires - whichever comes first
- Must appear in person - cannot send someone else
- What to bring: Valid Israeli driving license
Japan: According to the Israeli Embassy in Tokyo, renting a car in Japan requires an International Driving Permit issued within the last 12 months at an authorized issuing station in Israel. A regular Israeli licence is not valid in Japan, and an older IDP (even though it is valid for 3 years in Israel) will not be accepted.
France, Spain, Austria, Cyprus: There have been cases of Israelis being fined for driving without an IDP, even though they managed to rent a car with only an Israeli license.
Important to Remember: The IDP does not replace your Israeli license - you must carry both while driving!
Insurance - The Most Important Topic
Insurance is the most problematic and often most expensive aspect of car rental. It's important to understand the different types:
Main Insurance Types
Not covered: tires, windshield, undercarriage, roof
Hidden Costs and Traps
Car rental abroad is full of hidden fees that can double the price. Here's what you need to know:
Common Fees
| Fee | Estimated Cost | How to Avoid |
|---|---|---|
| Young Driver (under 25) | $10-65/day | No way to avoid, just check in advance |
| Additional Driver | $10+/day | Spouses sometimes exempt |
| One-Way Drop-off | $50+ | Between airports usually free |
| Airport Pickup | 18-30% more expensive | Pick up outside the airport |
| Fuel - Not Returning Full | 2-4x gas station price | Always return with full tank |
Common Scams
- Pre-existing Damage: Charged for scratches that existed before rental - photograph the car from all angles before and after!
- Fuel: Claiming the tank wasn't full even though you filled it - keep receipts and photograph the fuel gauge
- Unnecessary Insurance: Pressure to buy insurance you already have - know what's covered beforehand
- Fake Companies Online: Prices too low, demanding gift card payment - book only from known sites
Before driving off:
• Photograph the car from all angles (including roof and underside)
• Photograph the fuel gauge and odometer
• Document any existing scratches or damage on the rental form
On return: Photograph everything again and request written confirmation that the car was returned in good condition!
Fuel Policy
There are two main policies - and the choice can save or cost you a lot of money:
Full-to-Full
Receive full tank, return full tank
Prepaid Fuel
Pay for full tank upfront
Tip: Full-to-Full is almost always cheaper. Refuel 10-15 km before returning and keep the receipt as proof.
ZTL Zones in Italy - Important to Know
If you're traveling to Italy with a car - this is the most important section in this guide!
What is ZTL?
ZTL = Zona a Traffico Limitato (Limited Traffic Zone). These are areas in Italian city centers where vehicle entry is restricted or prohibited, designed to reduce air pollution and traffic congestion. There are about 300 ZTL zones in Italy, and automatic cameras record every entry.
This is not a "tourist scam" - Italians get fined too! Bologna alone issues over 30,000 fines to tourists per year, and many tourists are unaware until they receive a fine in the mail months after their trip.
The Fines
- €80-€300 per unauthorized entry
- Fines can arrive up to 1.5 years after your trip
- The rental company forwards your details + charges an additional processing fee
How to Avoid Fines?
- Park outside the city center - use public transport or walk
- Ask your hotel to register your car - send the license plate 48 hours in advance
- Use Waze - better at ZTL alerts than Google Maps
- Choose a rental company outside the city - and take a taxi there
Toll Road Stickers (Vignette)
In many European countries, you must purchase a toll sticker for driving on highways:
Austria
- Mandatory on all highways
- Price: €9.90 for 10 days, €29 for 2 months
- Fine: €120 on the spot
- Rental car in Austria: Usually already includes the sticker
Switzerland
- Annual sticker only: CHF 40 (about €41) - even if staying one day!
- No option for daily or weekly
- Fine: CHF 200 + purchase of sticker
Important: If you rented a car in another country and are driving to Austria or Switzerland - you need to buy the sticker yourself! It's not included.
Money-Saving Tips
Before Booking
- Book 3 months in advance - significantly cheaper
- Compare sites: DiscoverCars, RentalCars, company websites
- Check if longer period is cheaper - sometimes 7 days costs less than 4!
- Pick up outside the airport - savings of up to 30%
During Rental
- Skip the GPS - use your phone with offline maps
- Bring your own child seat - if possible
- Choose Full-to-Full - and return with a full tank
- Document everything - photos before and after
Savings Summary
- Early booking: 20-40% savings
- Outside airport: 18-30% savings
- External insurance (Excess): $10-30/day savings
- Full-to-Full: $20-50 savings per tank
- No GPS: $15/day savings
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