Renting a Car in Mexico: Where and How to Book + Useful Tips

Are you considering renting a car in Mexico? Look no further. I have lived in Mexico for a long time and sold my car years ago. So, I rent a car whenever I get the itch to explore some of Mexico’s finest wonders, Pueblos Mágicos, and other landmarks.

Therefore, in this post, I will provide you with all the information you need to know about renting a car in Mexico, including the exact process of renting a car, how to avoid scams, and how to drive like a pro in Mexico.

Understandably, driving in a foreign country where you are unfamiliar with roads, laws, and overall driving etiquette can be scary. This may be even more intimidating in Mexico, where general safety concerns can be a significant issue.

In fact, many friends and family ask me, “Is it safe to rent a car in Mexico?”

My response is always, yes, it is! However, there are certain precautions you should always take to ensure yourself a great, safe experience when renting a car in Mexico. (More on that below)

My Experience with Renting a Car in Mexico

I have lived in Mexico for over 13 years, and I always love driving around here, mainly in the Yucatan Peninsula and Baja California. I have always felt very safe, even safer than when taking a taxi or a bus.

I wrote a post about driving in Mexico, hoping to debunk the myth that driving in Mexico is dangerous because it’s not!

In this article, I am sharing helpful tips for renting a car in Mexico and how to choose a reliable car rental company that won’t rip you off.

When I was living in Cancun for about 7 years, I had my car and drove around the region often. However, it took me 2 years to save up for that little car, during which time I used car rentals when I wanted to explore.

Needless to say, I have plenty of experience renting cars in Mexico.

I am used to renting cars in new places because I drive a lot everywhere I go, for work or vacation, and I believe it’s by far the best way to get to know a place.

Through my travels, I have learned the hard way that car rental companies in Mexico, and really everywhere, sometimes play tricks, and you can find yourself paying for something you shouldn’t, especially when it comes to insurance.

I was ripped off once or twice in my early days here, primarily due to being distracted or overwhelmed. I don’t want this to happen to you, so I am writing this post to help you figure out everything you need to know when renting a car in Mexico.

If you are wondering how to rent a car in Mexico, you’ve come to the right place, as I will share everything I’ve learned over my numerous years of experience about renting a car in Mexico.

Aerial view of Laguna Bacalar's vibrant turquoise waters, lush greenery, and a road running alongside the shoreline in a serene landscape.
Driving in Bacalar Mexico

Renting a car in Mexico: how and where to book

I have seen too many people get stressed out when considering how to rent a car in Mexico.

But please, don’t worry. I’m here to help you understand exactly what you need to do to rent a car in Mexico.

So, let’s start with the very first step of your car rental in Mexico experience. Where do you book your car rental in Mexico?

I have used a few different sites and had great experiences with all of them.

But Discover Cars is my go-to. It’s an aggregator, which means that its website allows you to compare different car rental companies and their prices to choose the one you like best.

I have always found using Discover Cars to be an easy, pain-free experience and a great way to find good deals on rental cars in Mexico.

However, keep in mind that the insurance they sell is via a third-party service, not with the car rental company itself, which can make things a little tricky.

Essentially, what this means is that if you are booking with Discover Car Rentals and you book the full insurance, you will need to pay for damages, and they will refund you afterward.

Sometimes, this can be convenient, depending on the car rental company you ultimately choose.

Another option is Mex Car Rental, one of the most popular Mexican car rental companies. I have used them several times, including for my road trip in Baja California, and found them very reliable and affordable.

However, I have noticed that they have been increasing their rates recently, so keep that in mind.

That is why there is no absolute best car rental company in Mexico, and that’s also why I suggest using a company such as Discover Car Rentals so that you can compare prices and other factors in one place.

I recommend checking all the available Mexican car rental sites and comparing, keeping in mind that there can be hidden prices, so make sure you read through the clauses and fine print very well. Read my Discover Cars Mexico Review for further information.

Car rental in baja
My car rental in Baja California

Renting a car with an aggregator (such as Discover Car Rentals)

Pros – It’s great to compare prices among different companies.

Cons – Although third-party companies are handy, in Mexico, car rental companies prioritize direct bookings and may not honor third-party insurance. (See the below section on insurance)

Make a booking directly with the rental company

If you have time to do a little research, you can check directly on each car rental company’s website to see if there is some promotional rate, but always make sure to check what that rate includes, as some offers may be traps.

Pros – You can find great deals and get priority over third-party customers.

Cons – You need more time to search and might get inaccurate information.

Direct (in-person) booking – Walk-in

Finding special deals can often be easiest if you walk into the car rental office (just not at the airport).

However, you might want to avoid doing so during major holidays like Easter Week or even summer when you don’t want to risk finding yourself without a car and your itinerary plans completely spoiled.

Pros – You may get yourself great deals. (or you may not)

Cons – You run the risk of ending up without a car or spending more in high season.

RENTING A CAR IN MEXICO

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How much does it cost to rent a car in Mexico?

When renting a car in Mexico, cost is always something I look at first.

You will likely find many promotions for car rentals “starting from” 5 USD. If it sounds too good to be true, it probably is, as the old saying goes.

The thing is that the promotional price NEVER includes insurance, fees, and many other additional taxes that can add up.

That’s why I always say to read through all the clauses before confirming the car rental booking.

A more realistic price when renting a car in Mexico, which includes full insurance, should start from about 40-50 USD per day for a basic car model.

Luxury models and larger vehicles may be more expensive.

RENTING A CAR IN MEXICO

What’s the cheapest car rental company?

In Mexico, there are many car rental companies, and the best way to find the cheapest car rentals is through an aggregator such as Discover Cars Mexico, where you can select your dates and then check out which car rental company offers the best deals.

Among the cheapest options, you will find both Mexican rental companies and international companies since prices change daily and always depend on many factors.

Despite what people may think, renting a car in Mexico can become quite expensive sometimes, especially during peak tourist season.

Usually, big international companies such as Hertz and Europe Car are the most expensive ones, in my experience.

Car rental
The top rated car rental site

Discover Cars Mexico Review

Discover Cars is one of the most popular car rental for many reasons, among which:

RENTING A CAR IN MEXICO

What’s the best rental car company in Mexico?

I am afraid there is no absolute best rental car company in Mexico. I have rented with numerous different car rental companies, including car rentals at Cancun Airport and car rentals in Tijuana. Luckily, I haven’t had major issues with any of them.

I believe you can consider a rental car company to be good when they deliver good, well-maintained cars and manage any issue promptly and honestly.

They shouldn’t have hidden costs and should explain what is included in the rental car insurance and what is not included.

The rental car companies I have been renting with (those I recommended) have been quite all right. However, I can’t say which one is best.

Car in Yucatan
Road-Tripping in Yucatan
RENTING A CAR IN MEXICO

Scams to avoid when renting a car in Mexico

Unfortunately, sometimes, you may believe the insurance fully covers you only to find out it doesn’t, or the company may attempt to charge you for some pre-existing damage, which, of course, isn’t your fault.

That happened to me during my last car rental in Cancun with America Car Rental. I was charged for two damaged tires. I did damage one, but the other was not my fault.

Unfortunately, I forgot to do what I usually suggest everybody do, which is take a picture, or better yet, a video, of the entire car, inside and out.

That way, you can prove that the damage was already there. This one time, I forgot completely, and I paid for it. Fortunately, that was the worst Mexico car rental experience I have had.

These are the typical Mexico car rental scams you might encounter. So please carefully examine the insurance options and take photos and videos of the vehicle to protect yourself, even though these scams are not overly common.

Do I need travel insurance in Mexico? Yes, you do! I can never stress enough what a lifesaver it can be in unexpected situations. Although I hope I never need it, it gives me peace of mind to know that whatever happens, I am covered. I have been using  Safety Wing, and I find it quite fair, covering a lot for its pricing level. Depending on your needs or you can compare different insurance companies on this useful site, TRAVEL INSURANCE MASTER. Make sure you read carefully what’s included before making the purchase. If you are undecided yet, you can read my post on the best travel insurance for Mexico for more clarity.

Also, if you can, check and mark any damages on paper and sign your name. The car insurance company often presents you with a paper diagram of the car, where you can point out damaged spots.

And not to beat a dead horse, but please take clear pictures and videos of the car, focusing on anywhere you see the slightest scratch or dent (especially near the wheels). So, if they accuse you of any damage, you have solid proof that they are wrong.

For more advice on avoiding other scams on the road in Mexico, you can refer to my posts on driving in Mexico, where I discuss Mexico car rental scams and other types of scams in greater detail.

Carizarillo beach in oaxaca - an enclosed bay with green water surrounded by a tropical vegetation
Lovely Mexican Beach
RENTING A CAR IN MEXICO

What kind of insurance do I need to rent a car in Mexico?

I can’t stress enough that having insurance is super important when it comes to traveling in general and renting a car in Mexico as well, and everywhere else, to be more accurate.

I have been talking to several Mexican car rental companies and have tried several different kinds of Mexican car rental insurance myself.

Luckily, I haven’t had to use any of my insurance plans, but I have done my homework and understand how the system works.

This is what you need to know about Mexico car rental insurance:

✔ Full coverage + zero deductible

When renting a car in Mexico, always ask for full coverage with zero deductible. This way, if you damage the car for whatever reason, you won’t have to pay a dime for it.

Normally, window or tire damage and the loss of keys are not covered or may require you to purchase extra insurance.

Also, most car rental companies, such as America Car Rentals, exclude what they call minor damages from the insurance coverage, which is tricky because how can you define minor damages? It’s very subjective.

So this is one of the things I would consider a scammy practice or at least another way to make more money (for the rental car companies, of course)

In any case, make sure you cover those as well.

You will know if there is zero deductible because the deposit you would be required to leave from your credit card will have a minimum of no more than 500 USD, but always make sure you ask for a breakdown of what the car insurance covers.

Basic insurance requires you to leave a deposit that ranges from 700 to 1500 USD, depending on the deductible amount.

✔ It’s always more convenient to purchase the full package car rental + full coverage directly with the car rental company instead of the third party.

The insurance purchased through the third-party company is not with the car rental company; it’s never FULL coverage, and you would need to pay for the damages first before receiving reimbursement.

✔ Credit Card Insurance

Another important point I have learned is that the insurance offered by your credit card company is not always valid for renting a car in Mexico.

In other words, if you don’t purchase the insurance with your car rental, you will still have to pay for damages out of pocket and then claim a refund with your credit card.

Therefore, I would check with your credit card company to see if they will cover your car rental in Mexico.

Also, for most Mexican rental car companies, it’s mandatory you purchase basic insurance with them, regardless. Some will include basic car insurance in the cost of the car rental.

RENTING A CAR IN MEXICO

What kind of insurance does the basic insurance include

Basic insurance sometimes includes a collision damage waiver, theft protection, and third-party liability, or sometimes one or two of these.

It all depends on both the car you choose and the legislation of the area where you are renting a car in Mexico.

There is no general rule. Below, I will try to explain each of them and what they mean.

✔ What is personal liability insurance?

Rental car insurance liability coverage protects you from lawsuits if you’re in an accident. For example, if you cause an accident and someone sues you for medical bills.

Keep in mind that while the liability insurance doesn’t provide any protection for damages suffered by you, your passengers, or the car (only the third party’s), the personal accident coverage includes medical, ambulance, and death benefits for you (the rental car driver) and your passengers.

Different car rental companies offer different levels of coverage, so you should inquire with the car company when you are renting the car.

✔ What’s Collision Damage Waiver (CDW)?

A Collision Damage Waiver (CDW) is a waiver most car rental companies include in the car rental price.

This waiver limits the customer’s responsibility during the rental period and sets the maximum amount of money the customer will have to pay for potential damages, which is the deductible.

Also, for the CDW, whether it is included in your rental agreement or not depends on the type of car you select. That is where the full coverage comes in. If you want to reduce the maximum cost of damage to zero, you should ask for full coverage with 0 deductible.

Keep in mind that not all car rentals offer this option! So, if it’s paramount for you to have it, you should ask before renting a car in Mexico.

✔ What is theft protection?

Theft Protection (TP) is a waiver that limits your liability up to the vehicle’s deductible/excess amount in the event the car is stolen.

TP is frequently included in the car rental price, but, again, if you want to bring your liability down to 0, you need to ask for extra insurance.

Regardless, for the TP to be applicable, you usually need to provide the police report as well as the car keys.

Auto theft can be an issue in some parts of the country and something to consider when renting a car in Mexico.

RENTING A CAR IN MEXICO

Car rental insurance pro tip

Keep in mind that no matter what kind of insurance you pay for, even the highest level of insurance won’t cover you in case of negligence, such as drunk driving or generally breaking local traffic laws.

So, it’s best to adhere to all local rules and regulations to be in full compliance while renting a car in Mexico.

A travel friend once asked me how to avoid paying car rental insurance in Mexico, and I had to break the news that it’s impossible, as Mexican law mandates at least basic liability insurance any time you rent a car.

So, please also keep that in mind.

If you have any concerns, ask your car rental provider for further details on your coverage.

a girl by a car with door open at a gate
One of my Car Rentals in Mexico
RENTING A CAR IN MEXICO

Hidden costs of renting a car in Mexico online

This is a crucial point to consider when renting a car in Mexico because sometimes we believe we are getting ripped off or scammed when it’s really just our lack of information, aka, our fault.

I know what you are thinking now. Who the heck is reading the entire car rental contract and the fine print?

True that, but unfortunately, it can turn against you if you don’t. That is where some car rental companies are not acting entirely honestly.

For example, when I rented the car with America Car Rental, I was told that the insurance wouldn’t cover the costs if something happened, and I didn’t report it immediately to their assistance number.

If the person who delivered the car hadn’t told me, I wouldn’t have known because I hadn’t read the fine print! My bad!

When you book online, sometimes you can find ridiculous rates, such as 8 USD per day for a standard car rental or 15 USD for a luxury car rental in Mexico.

However, once you pick up your car, you will notice the rate has been inflated, or better said, brought back to a reasonable market rate.

Why?

That’s because those third-party companies receive a commission from the car rental company but not from the taxes and additional fees, and that’s why they are added to your final bill directly in the car rental office.

For this reason, I would always encourage you to read all the rental clauses, sometimes included in tiny letters or “fine print.”

Staying informed is a great way not to get scammed when renting a car in Mexico. (Hence, this article 🙂

ROad to las ventanas
Road-Tripping in La Paz, Baja California
RENTING A CAR IN MEXICO

Is it safe to rent a car in Mexico?

I would say it is relatively safe to rent a car in Mexico, but you need to know where you are going and ask locals about the area you are planning to explore.

Mexico is a huge country, and there can be massive differences between one area and another.

You can read my guide to driving in Mexico for more details.

The first rule, though, is to respect the speed limits and the basic international rules, including wearing a seat belt and not using your phone while driving.

The stories that you hear about the police stopping you with any excuse to try to bribe you are, unfortunately, true.

Therefore, try to avoid offering them an excuse for stopping you.

I have been stopped quite a few times and have never paid a bribe once because I don’t like to support this unethical practice.

Sometimes, they let me go with a surprisingly kind verbal warning; in other cases, I just paid the fine.

If you get pulled over while renting a car in Mexico, be courteous and polite, but also be firm and don’t agree to any cash payments. That would be my advice.

Mexico city zocalo By night
Downtown Mexico City
RENTING A CAR IN MEXICO

Renting a car in Mexico City

Friends often ask me questions like, “Is it worth renting a car in Mexico City?”

My answer is: It depends. – If you are planning to rent a car in Mexico City, to use within the city, I would strongly discourage you from doing it for many reasons, but there are three main ones:

✔ Mexico City has a tremendous amount of traffic, which causes severe pollution and congestion. That means as more cars are circulating, you will breathe more horrible, unhealthy air, but also, you will never get to where you want to go because of traffic.

✔ Parking is impossible for the above-mentioned reasons.

✔ There is Uber in Mexico City, which is relatively safe, incredibly convenient, and cheap. Drivers know how to avoid traffic and can get you wherever you want in less time than you would, for sure.

While there is no shortage of rental cars in Mexico City, it’s just not worth the hassle, in my opinion. Unfortunately, the car rental Mexico City experience is too much of a headache, but public transportation is more than sufficient.

However, if you are planning to explore the surroundings I would definitely recommend renting a car in Mexico City.

Among the places you can visit near Mexico City here are my favorites:

Click on the links to learn more about those places.

RENTING A CAR IN MEXICO

Renting a car in Riviera Maya

Looking for the best rental car in Cancun, Playa Del Carmen, or Tulum?

You’re in luck. Renting a car in Riviera Maya is my favorite way to explore the area, as you get the freedom to move around freely, explore cenotes and more remote beaches, and the chance to drive around the Yucatan Peninsula.

If you are staying in the Riviera Maya, you could rent a car either at Cancun Airport, Cancun Downtown, Playa del Carmen, or Tulum.

Unlike most other places, the Cancun International Airport doesn’t have higher prices than city car rental companies, so it’s really up to you, wherever you feel more comfortable.

When parking in the Riviera Maya, keep in mind that if you park in prohibited areas, they will remove your license plate and leave a note on your windshield commanding you to pay a fine. If you pay within 3 days, you will get a 50% discount.

In recent years, more and more places in the Riviera Maya have begun to charge for street parking. So, if you’re renting a car in Mexico and visiting this area, check the street parking signs or ask your hotel for additional parking details.

► You can also read: Renting a car in Tulum Mexico: Best deals and other practical tips

road in baja california
The Open Road in Mexico
RENTING A CAR IN MEXICO

Renting a car in Merida

If you are staying in Merida and you want to explore the Yucatan state with all its amazing cenotes featuring crystal clear waters and gorgeous sandy beaches near Merida, the best way to do it is by renting a car.

The majority of international and Mexican car rental companies have an office at the Merida airport, which is easily reachable with an UBER ride if you are already in the city.

Again, while there is no one best car rental in Mexico, Discover Cars operates in Merida and offers what are likely the best prices you’ll find.

Although Merida is a busy city, it’s easy to drive around with the help of Google Maps, and that is why I always suggest getting a Mexican SIM card as it will be much cheaper to use your phone data, and you will be able to drive around anywhere without getting lost.

Merida is also one of the safest cities in the country, making it a great place for renting a car in Mexico.

Read my Yucatan Itinerary for an amazing road trip idea.

On the Road in Baja California Sur
Baja California Sur, Mexico
RENTING A CAR IN MEXICO

Renting a car in Baja California Sur

Baja California Sur is one of the best states to rent a car in Mexico and an excellent place to drive around while taking in the sights.

I went there a couple of times and had an amazing time road-tripping up and down the peninsula, whale watching, and enjoying the spectacular beaches in La Paz.

I wouldn’t have had the same fantastic experience if I didn’t rent a car.

You can rent a car at Cabo Airport or La Paz Airport, but you can also find many car rental companies downtown in both cities.

Usually, renting a car at the airport in Baja California Sur is slightly more expensive due to airport taxes.

Either way, renting a car in Baja California Sur is sure to be an amazing experience.

You may be interested in my amazing Baja California Road Trip Itinerary

Mexico city
Traffic in Mexico City

Is renting a car in México worth it?

I believe it is. Even if you are just in Cancun enjoying the spectacular beaches and turquoise waters.

If you rent a car, you can go and explore places where tours don’t go, and local transportation doesn’t provide a service with convenient schedules.

I hope this small guide on renting a car in Mexico was helpful for you. If you have any questions, please feel free to ask me in the comments below. 

on the road baja california sur
Freedom on Mexico’s Open Road

Renting a car in Mexico FAQs

Is it ok to rent a car in Mexico?

Yes, renting a car in Mexico is relatively easy, affordable, and safe.

I would certainly recommend renting a car while traveling in Mexico.

What is the best way to rent a car in Mexico?

When traveling in Mexico, there isn’t necessarily one best way to rent a car.

However, I’d recommend checking out Discover Cars Mexico, an aggregator service that compares pricing options and other features among Mexican car rental companies.

This will allow you to find the best option for your pricing, insurance, and vehicle-type needs.

Can you rent a car in Mexico with a US driver’s license?

Yes, renting cars in Mexico is allowed with a US driver’s license.

Driving in most places in Mexico with a US driver’s license is generally considered legal. However, some areas may have restrictions at certain times.

In fact, most international driver’s licenses are accepted in most of Mexico. But depending on where you’re from, obtaining an international driving permit before traveling to Mexico may be a good idea.

What insurance do you need when renting a car in Mexico?

By law, all car rentals in Mexico come with a form of basic insurance or “third-party liability” insurance. This is usually included in your initial car rental fees, but not always. (They could be added when you pick the car up)

However, this basic insurance may only cover you minimally, so many renters choose to pay extra for additional coverage, like added collision and theft coverage.

It’s best to read the specific insurance guidelines with each rental company and ask any questions you may have.

Generally, I recommend choosing the full coverage with zero deductible option when renting a car in Mexico.

Does my credit card cover rental insurance in Mexico?

Some credit cards may cover rental insurance in Mexico. However, this isn’t universal.

I encourage you to call your credit card provider and ask them first, as policies vary wildly between companies.

Can you rent a car in Mexico at 18?

The legal driving age in Mexico is indeed 18. However, whether or not an 18-year-old can rent a car depends on the specific rental car company and its rules.

Some Mexico car rental companies may add “young driver fees” for drivers under 25. So, be sure to check with the specific agency before you book.

Is renting a car in Mexico safe?

Yes, renting a car in Mexico is safe.

Just agree to a price upfront, photograph the car before you leave the lot, follow local driving laws, and be aware of your surroundings.

I have driven all over Mexico and had very few problems, if any.

I’m quite sure you’ll enjoy driving a rental car in Mexico, as it’s an excellent way to view this huge country and truly experience the unique culture.

How much does it cost to rent a car in Mexico?

A standard Mexico car rental, with basic insurance coverage, should cost about 40-50 USD per day.

It will be more if you want a luxury car or a larger vehicle, like an SUV.

Additionally, prices can fluctuate based on the season and specific location.

What do you need to rent a car in Mexico?

In order to rent a car in Mexico, you’ll need a valid driver’s license in your home country or an international driver’s license.

Additionally, you’ll need a major credit card, a valid passport, and insurance coverage (which you can purchase through the car rental company).

Some Mexican car rentals may also have age restrictions, so be sure to double-check that you meet their requirements.

Can you tell me how to rent a car in Mexico?

I recommend you start by comparing Mexico car rental prices with Discover Car Rentals, an aggregator offering various rental options where you can find great deals.

Then, look into the insurance policies available with your chosen car rental company.

If everything checks out there, and you find no hidden fees, added costs, or other concerns, go ahead and book.

Show up at the rental office with your driver’s license, passport, credit card, and camera phone to ensure a smooth process.

Examine the car and photograph/video it, making note of any damage.

Then simply enjoy your car rental and your time driving in Mexico! It’s going to be a whole lot of fun!

Should you rent a car in Mexico?

Yes, 100%. Renting a car in Mexico is a good idea.

If you want to get out and explore some more remote parts of Mexico, you should absolutely rent a car.

That way, you have the freedom and mobility to do what you want when you want.

Many people understandably ask, “Is it safe to rent a car in Mexico?”

And the answer is yes. In general, renting and driving a car in Mexico is safe.

Planning on traveling to Mexico soon? Check out my guides on Traveling to Mexico by Month.

JANUARY | FEBRUARY | MARCH | APRIL | MAY | JUNE | JULY | AUGUST | SEPTEMBER | OCTOBER | NOVEMBER | DECEMBER


Renting a car in Mexico: final thoughts

I hope this post helped you figure out the best things you can do when renting a car in Mexico for the best experience and to avoid getting scammed.

2 Comments

  1. Lori Vittitow says:

    I too rented a car through America /NUCAR rental in Cabo Mexico.I was charged an additional 424.$ after I prepaid thru Expedia. My credit card, , Expedia,NUCAR no one would help me. Total scam and rip off . I ended up paying 678$. For a 6 day rental .
    Super shady scammers .

  2. Hello Lori, I am sorry to hear about your negative experience. Did you eventually find out what the charge was for? They should tell you at least.

Comments are closed.