Rudy Maxa August 01, 2010 RudyMaxa.com

Renting a Car in Europe: Secrets You Need to Know
Rules, hidden fees....it's not just Italian drivers you have to worry about.

Renting a car in Europe can be expensive -- as much as 40 percent higher than renting in the US. Add the high cost of gasoline, highway tolls, and value-added taxes of 17 percent or more, and having your own set of wheels becomes a pricey proposition. There are also airport taxes to consider if you're picking up your rental from the airport -- as well as steep parking fees in urban areas.

Having said that, however, there's no better way to explore the European countryside than in a car.

If you're traveling solo, seeing Europe by car is a luxury -- budget travelers should consider trains. But if you're traveling with a companion or family, driving becomes more affordable and allows both door-to-door accessibility and the freedom to come and go at will. Renting can be tricky for first-timers, however. Pricing, choosing a rental company, and deciding where to book your rental are issues you'll want to decide ahead of time. And keep your credit card handy. This is one situation where understanding card-member benefits could save you money on costly insurance coverage.

We asked Contributing Editor Susan Weissman to research this complicated subject and tell you how to get the best deal with the most coverage when renting in Europe.

The players

There are lots of players in the game. Familiar names like Hertz and Avis can provide you with a car outside the US, but don't assume you'll get the same competitive rates you'd get back home. That doesn't mean European rental companies like Kemwell or Thermeon will cost any less. Generally, renting through big-name companies is the most expensive way to go. Compare prices by also checking out consolidators -- companies that negotiate volume discounts with rental car companies, such as National and Hertz -- that can sometimes pass savings of 30 percent or more on to consumers.

Other advantages to renting through a consolidator include more cars to choose from since the fleet is bigger; more locations for pickup and drop-off; unrestricted driving in high- risk countries like Italy and Ireland (Mercedes and other luxury cars excluded); and greater flexibility in insurance coverage and age restrictions. You can even rent specialty vehicles such as luxury cars, SUVs, and motorhomes. EuroDrive and AutoEurope both offer affordable cell phone rental and infant seats.

Where to initiate rental

To get your best deal, book your rental from the US before leaving for Europe. Rates are far better than what you'll encounter if you arrange things after you arrive, and your price will be quoted in dollars. So even if currency fluctuations turn against you, you're protected.

Don't worry if your plans change. Consolidators such as AutoEurope and EuroCar allow you to lock in a price and cancel without penalty 24 hours before pickup. To guarantee your rental, most consolidators require a deposit equivalent to 30 to 50 percent of the rental fee. Once you've put down a deposit, and to avoid confusion when you're thousands of miles from home, make sure you get confirmation in writing. Carry the document with you when you claim your car.

Advance reservations from the US, however, can't be made for rentals in Eastern Europe -- you'll have to finalize arrangements upon arrival.

Expect soaring costs for theft coverage in countries like the Czech Republic, Albania, Rumania, Poland, and Hungary. Italy has the highest rate of car theft in Europe, so don't get any romantic thoughts about renting a convertible Mercedes in Naples to cruise the Amalfi Coast. If you want to drive in Italy, consider renting in a neighboring country such as Germany, France, or Switzerland. That way, insurance coverage provided by most premium credit cards will be in force. Some cards exclude Italian rentals from coverage, but if you rent at, say, the airport in Geneva, you're covered even if you spend the rest of your vacation driving in Italy. In troubled spots such as Bosnia, Herzegovina, and Croatia, you may not be able to rent at all depending upon the political situation when you visit.

We couldn't find any company (American or European) in the States willing to rent cars in Turkey, one of the most dangerous countries in the world for driving. Nor can you take a rental car on a ferry in Europe or on the Chunnel and have your insurance remain in force.

What to rent

If "give me the cheapest thing you've got" are usually the first words out of your mouth, you may want to rethink your choice when renting a car in Europe. With the average speed on French peages, Italian autostradas, and German autobahns close to 80 miles an hour, and driver aggression on the plus side of intense, you might not want to explore unknown lands in a car that looks like a Matchbox toy. But do try to strike a happy medium. A big car may prove burdensome in towns where parking is scarce and streets are winding and narrow. Your best choice is a compact or full-size sedan.

The next question: manual or standard transmission? If you can drive a stick, you'll save 30 to 40 percent. The other advantage to renting a car with a manual transmission is better gas mileage and better handling. On winding mountain roads, you'll be thankful when your car dutifully climbs the mountain -- leaving the automatics grinding in its wake.

The last consideration is air-conditioning. Few places in Europe get as hot as most places in the States during the summer. The exceptions are the areas nearest the Mediterranean: southern France, Italy, Spain, and Portugal. Of course, part of the fun of vacationing on the Mediterranean is the sensuality of the environment. You won't experience much of that as you meander through the lavender fields of Provence with the windows sealed tight.

When and where to pick up your wheels

Rates are cheapest when you observe the following:
- Pick up and return your rental on weekends.
- The longer the length of the rental, the cheaper the rate.
- Try to avoid renting in Italy, Austria, or Eastern Europe.
- Pickup and return to the airport can be more costly than pickup and return to other locations (this is not always the case, so ask).
- Where it's available, rent a diesel because you'll pay less for fuel.

Protecting your rental

Insurance is complicated when you rent in Europe. Don't expect to hand over your VISA and have your credit card company provide the same coverage it offers in the States. Premium cards -- gold and platinum versions of VISA, Mastercard, and American Express -- are your best bets. Check your cardholder's agreement before you book to see what countries might be excluded from coverage with the card you carry.

If you can't find that small-type agreement you received when you first got your credit or charge card, request a copy and carry it with you, especially if you'll be traveling in Ireland, Italy, or Eastern Europe. It is not enough to say that your credit card company provides sufficient coverage if your rental is demolished or stolen. The extent of coverage provided by credit cards varies and is usually subject to certain restrictions like the length of rental and the type of vehicle you rent. And ask your credit card company whether your card covers drivers other than the specific cardholder.

If you're lucky enough to be in Europe for 17 days or more, look into Renault's Buy/Lease program[www.eurodrive.renault.com]. It's hands-down the best deal for long-term rental. Bundled in the cost of your new car -- yes, you buy it and return it -- is insurance. This special situation has the additional benefit of exemption from VAT taxes. Other incentives include a factory-fresh car, the lowest rates of any rental program or consolidator providing cars in Europe, delivery and return to more locations, 24-hour roadside assistance, and very few restrictions as to where you can take the car. You can also choose a diesel to cut down on the cost of fuel. Sound like a flaky deal? Not really. The program has been around since the '80s. Nothing's cheaper if you'll need wheels for more than 17 days. We were quoted just under $400 for the rental of a compact car for 17 days during the first week in August.

Whatever you opt for, when you're abroad, take driving seriously. The "rules of the road" take on new meaning in distant lands. And don't forget to ask if there's a discount for AARP or AAA club members.

What to Ask, Whom to Ask

- Are there age limitations for drivers?

- Is an advanced deposit required to reserve a vehicle? If you cancel your reservation, is your deposit refunded without penalty? How far in advance must you give notice? If there is a penalty, what is it?

- Are you permitted to change pickup and drop-off locations without incurring an alteration or cancellation charge?

- Are airports taxes included in the quoted price if you're picking up your rental at the airport?

- Is there a surcharge for additional drivers?

- Do you receive unlimited mileage?

- Is it advantageous to return your vehicle with a full tank of gas?

- Does your rental agreement exclude driving in certain countries (of the former USSR, say, and Eastern Europe, Turkey, Italy or Ireland)?

- Does the rental company guarantee you'll receive the car of your choice? If not, will the cost of the rental be adjusted?

- If you opt for insurance coverage through your credit card company, will a hold be placed on your card to insure you can pay should damage to the vehicle occur? Some companies will put the entire cost of a car on a credit card at the time of rental, which means your card might be rejected as being "over limit" the next time you try to use it.

Consolidators
Auto Europe, www.autoeurope.com, 888-223-5555
Europcar, www.europcar.com, 877-940-6900

Rental Companies in the US
Avis, www.avis.com, 800-230-4898
Hertz, www.hertz.com, 800-654-3131

Rental Companies in Europe
Kemwell, www.kemwel.com, 877-820-0668
Thermeon, www.thermeoneurope.com/carsplus/index.html , 800-977-1040

Staying Safe When You Drive Abroad
Consult the State Department warnings before you explore unknown territory: http://travel.state.gov/road_safety.html.

Pricing: A Real-Life Comparison

The information that follows is based on a seven-day rental with pickup from and delivery to Paris Charles de Gaulle Airport from Aug. 3-10, 2002. Adding an additional driver costs $2 per day from AutoEurope and EuroDrive and a flat $18 fee from Avis and Hertz. All mileage is unrestricted.

AutoEurope
Compact A/C (Manual)
Airport fees/taxes: $20 airport tax; $10 road tax
Cost per seven days: $223.65; with insurance, $294.00
Restrictions: No driving in E. Europe
Full Size A/C (Automatic)
Airport fees/taxes: $20 airport tax; $10 road tax
Cost per seven days: $529.20; with insurance, $919.01
Restrictions: No driving in E. Europe or Italy

EuroDrive
Compact A/C (Manual)
Airport fees/taxes: $20 airport tax; $10 road tax
Cost per seven days: $289.57; with insurance, $348.51
Restrictions: No driving in E. Europe
Full Size A/C (Automatic)
Airport fees/taxes: $20 airport tax; $10 road tax
Cost per seven days: $759.00; with insurance, $1,059.00
Restrictions: No driving in E. Europe

Avis
Compact A/C (Manual)
Airport fees/taxes: $20 airport tax; $10 road tax
Cost per seven days: $243.00; with insurance, $331.00
Restrictions: No driving in E. Europe
Full Size A/C (Automatic)
Airport fees/taxes: $20 airport tax; $10 road tax
Cost per seven days: $898.00; with insurance, $1,311.00
Restrictions: No driving in E. Europe or Italy

Hertz
Compact A/C (Manual)
Airport fees/taxes: $20 airport tax; $10 road tax
Cost per seven days: $265.00; with insurance, $339.00
Restrictions: No driving in E. Europe
Full Size A/C (Automatic)
Airport fees/taxes: $20 airport tax; $10 road tax
Cost per seven days: $901.00; with insurance, $1,264.00
Restrictions: No driving in E. Europe or Italy

June 2002


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