Iceland is the most expensive country to rent a car in, new study reveals

New research from Confused.com has looked at the cost of renting a car in 58 countries around the world. The study reveals the average cost of hiring a vehicle in each of the countries analysed, as well as the average cost of a tank of fuel, to reveal the countries where it’s most and least expensive to hire a car for your next road trip.

Iceland is the most expensive country to hire a car in
Iceland ranks as the most expensive country to take a road trip in, with the cost of car hire averaging 1,259 euros a week to rent a car and fuel it with a tank of petrol. Iceland was followed by popular travel destination New Zealand, with it costing just over 1,000 euros a week (1,146.10 euros) to rent a car in the country. Argentina, Jamaica and Israel complete the top five most expensive locations, with the cost of car rental ranging from 694.68 euros up to 974.24 euros a week for rental and fuel expenses. 

Along with Iceland, several other European countries made the top 10 destinations where it costs most to rent a vehicle, including Switzerland, Austria and Ireland, where costs of hiring a car average over 590 euros a week. In fact, European countries dominated the overall top 20 most expensive countries to rent a car in, with 10 destinations from the continent featuring in the top rankings. 

Ranking in 16th position was the United States of America, where it costs 550.66 euros a week to rent a car – less than half of the cost of renting a car in New Zealand or Iceland. With just over 40 euros between them, popular European holiday-maker destinations Malta, Greece and Italy follow the US, with it costing between 509.51 euros and 538.56 euros to borrow a vehicle and see the sights from the comfort of your car. 

Thailand is the cheapest country to hire a vehicle in 
The cost of renting a car in Thailand, the cheapest country to hire a vehicle in, equals just 11% of the cost of renting a car in Iceland, the most expensive destination. Costing just 150.07 euros on average for a week’s rental and fuel, those looking for an adventure on wheels could roam around the tropical southeast Asian country for over eight weeks, and still not spend as much as if they were to drive a vehicle in Iceland for one week.  

Following closely behind is Azerbaijan, with average costs of 190.01 euros, and Lebanon ranks in third position with costs of 222.68 euros for the week period.

Just missing out on making the top 25 most affordable countries to rent a car in, the UK ranked in the middle of all the countries analysed in the research, with car rental in the country costing 409.06 euros overall. 

Alex Kindred, car insurance expert at Confused.com, comments: “Driving around your holiday destination of choice can be a great way to see a city on your own terms. With the right playlist, a good snack selection and a nice car to drive in, a road trip really can be the best way to travel! 

“However, if you’re planning to hire a car abroad it’s important to do your research beforehand and be prepared. Drivers from the UK will need a full driving licence, their driving licence code, proof of address (such as a bank statement) and photo ID to rent a car in Europe. If renting a car further afield, then you may need documents such as an International Driving Permit. And of course, you’ll need car insurance wherever you’re looking to rent a vehicle.  

“When collecting your rental car, you may be offered a range of optional extras, including breakdown cover, music-system cover and more. Some of these can be useful, some less so. To avoid getting pressured into signing on the dotted line at a tourist desk, make sure you know what you’re covered for, what extras are available and which of them you want before travelling.”

Tatiana Rokou

News Editor - TravelDailyNews Media Network | + Posts

Tatiana is the news coordinator for TravelDailyNews Media Network (traveldailynews.gr, traveldailynews.com and traveldailynews.asia). Her role includes monitoring the hundreds of news sources of TravelDailyNews Media Network and skimming the most important according to our strategy.

She holds a Bachelor's degree in Communication & Mass Media from Panteion University of Political & Social Studies of Athens and she has been editor and editor-in-chief in various economic magazines and newspapers.

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