Israel – Car Rental

What are the rules and requirements for renting a car in Israel?

Hiring a car in Israel generally requires you to present a valid full driving licence, a passport, and a major credit card bearing your own name. The primary driver must use a major credit card in their name to cover the deposit; cash payments, prepaid cards, and debit cards are not typically accepted. Before you travel, it is worth confirming the exact payment conditions with your chosen rental company.

The minimum age requirement at most rental operators is 21, though this can rise to between 23 and 25 depending on the vehicle category. At certain providers — such as Enterprise/Eldan at Ben Gurion Airport — the standard lower age limit across all vehicle types is 24, with no upper age ceiling, although drivers aged 18 to 23 may be permitted to rent from smaller vehicle categories.

A young driver surcharge is levied on renters between 18 and 23 years of age, and applicants in this bracket must have held their licence for at least two years. Exact fees and age thresholds differ between operators and are liable to change, so always verify the latest information directly on the relevant Israeli company’s website or at the rental desk (as of 2025).

Every driver is required to present a legible licence in English that is appropriate for the hired vehicle category, includes a photograph, has been valid for at least two years, and will remain valid for a minimum of one year from the date of entry into Israel. Where a licence is not in English, the renter must also supply an International Driving Permit alongside the national licence issued in their country of origin.

Israel enforces a nationwide seat belt law and a blanket prohibition on using a mobile phone while driving. Children younger than eight years of age — or below a certain height — must be secured in an appropriate child seat or booster at all times; fines for failing to comply with this rule are substantial. For the most up-to-date licence conditions and road traffic regulations, visit the Israeli Ministry of Transport and Road Safety.

Rental vehicles must remain within the borders of the State of Israel and may not enter areas classified as Area A under the accord between the State of Israel and the Palestinian Authority. This restriction is written into every rental contract — crossing these boundaries will invalidate your insurance and constitute a breach of agreement.

Which major car rental companies operate in Israel, and where can I find them?

Israel is served by a broad mix of rental providers, from globally recognised brands such as Sixt, Avis, Budget, and Hertz to a variety of homegrown operators, the largest of which is Eldan. All major companies maintain offices in the principal cities, including Tel Aviv, Jerusalem, Haifa, and Eilat.

Ben Gurion International Airport (TLV), situated between Tel Aviv and Jerusalem, serves as the primary gateway for the majority of international travellers. The Israel Airports Authority publishes a list of rental operators available at the airport on its official website. A shared shuttle service runs at regular intervals between the terminal and the rental village, where the main operators are clustered together; additional companies can also arrange collection or delivery at Ben Gurion Airport.

The table below summarises the principal operators along with their online contact details:

A common recommendation among seasoned visitors to Israel is to book via the Israeli-localised version of a company’s website — preferably one with a .co.il domain — rather than through international comparison platforms. These local sites are more likely to display the total price inclusive of all compulsory local insurance and fees, which significantly reduces the chance of encountering unexpected charges when you collect the vehicle.

How does car rental pricing work in Israel, and what should I watch out for?

Car rental pricing in Israel generally follows the standard daily or weekly rate model used elsewhere, but there are several locally specific practices that can surprise renters who have booked through international aggregator sites. The advertised base rate commonly excludes mandatory insurance charges that Israeli law requires to be attached to every rental. Always request a fully inclusive price before making a reservation.

A compulsory airport service fee — which stands at 18% at Ben Gurion Airport for certain operators — is applied to all rentals collected from airport locations. Where additional drivers do not hold a tourist visa, the rental will also attract VAT. Israel’s VAT rate currently stands at 18% (as of 2025) — confirm the prevailing rate with your rental company, as it is subject to change.

An additional authorised driver charge may also be applicable — at some operators, this is around $5 USD per day up to a maximum per rental period. These fees vary between companies, so verify the precise amount when making your booking (as of 2025).

Fuel policy is another area deserving close attention. Vehicles are ordinarily supplied with a full tank, and renters are expected to return them in the same condition; a potentially significant refuelling surcharge may be levied if the tank is not full on return. Unlike parts of Europe or North America where prepaid fuel packages are commonly offered, Israel predominantly operates on a full-to-full basis, so make sure to stop for fuel shortly before dropping the car off.

An additional administrative fee is charged when processing unpaid parking fines, traffic penalties, and toll road charges. Tolls on roads such as Highway 6, the Carmel Tunnels, and the Highway 1 fast lane are billed at the occasional-user rate — which is higher than the subscriber rate — plus a service fee for each billing cycle.

One-way rentals between branches are generally possible, though they may incur a supplementary charge. Automatic transmission vehicles are in strong demand among visiting drivers and are widely available, albeit at a modest premium over manual options. If an automatic is essential for you, confirm both availability and the price differential when you book.

The Israel Consumer Council is the relevant authority for consumer rights issues and rental disputes in Israel. The Israel Ministry of Tourism also publishes helpful guidance for visitors that may be worth reviewing.

Do I need an International Driving Permit (IDP) to rent a car in Israel?

The IDP question comes up frequently among travellers planning to drive in Israel, and the answer is not entirely uniform — it depends partly on the language of your licence and partly on the individual rental company’s requirements.

Visitors to Israel are permitted to drive on a valid foreign licence accompanied by an IDP where local regulations demand one. If your licence is not printed in English, Hebrew, or Arabic, an IDP may be required for translation purposes. This is consistent with the policy stated by rental companies at Ben Gurion Airport, which require non-English licences to be accompanied by an IDP issued by the driver’s country of origin.

The situation is further nuanced by the country from which your licence was issued. Holders of a UK driving licence, for example, are required to carry a 1968 International Driving Permit when driving in Israel, whereas US licence holders are not. Specific requirements depend on which international road traffic conventions your country has ratified. It is always advisable to verify the current requirement for your particular licence with the Israeli Ministry of Transport and Road Safety or directly with your rental company before departure (as of 2025).

Even in cases where your government does not mandate an IDP, individual rental companies in Israel may still require one before handing over the keys. Obtaining an IDP prior to travel eliminates this risk. Carrying one is therefore strongly recommended as best practice for any renter whose licence is not in a Latin script or in English.

If you intend to visit Israel, it is advisable to apply for an IDP through the appropriate authority in your home country well ahead of travel. An IDP is not a standalone document — it must always be carried together with your original national licence. IDPs issued under the 1968 Vienna Convention are valid for up to three years, while those issued under the 1949 Geneva Convention remain valid for one year; confirm which convention applies to your country before applying.

What types of roads and driving conditions should I be prepared for in Israel?

Israel’s road network is modern and well developed, making it relatively easy to travel between different parts of the country by car. Traffic drives on the right, and road signs are displayed in three languages: English, Arabic, and Hebrew. This trilingual signage makes navigation considerably more accessible than in destinations where only a non-Latin script is used.

The country measures roughly 470 km from north to south and up to 135 km across at its broadest point, making it ideally suited to multi-region road trips. The compact size means that even the furthest-flung destinations — such as the Negev desert to the south, the Galilee region to the north, or the Dead Sea to the east — can be reached from the main cities within a matter of hours.

There are three toll roads in Israel: Route 6 (Highway 6), the Carmel Tunnels, and the Highway 1 Fast Lane. None of these roads use traditional toll booths; charges are instead recorded against the vehicle’s licence plate and, since you are driving a rental, billed directly to your credit card via the rental company. Highway 6, which runs roughly north to south, costs up to around $15 for the full length; the Carmel Tunnels near Haifa cost a few dollars; and the dynamic-pricing express lane on Highway 1 between Jerusalem and Tel Aviv can range from approximately $2 to $20 depending on traffic demand. These figures are approximate — refer to your rental agreement for the exact billing method and current rates (as of 2024).

For parking: kerbs painted in red and white indicate no parking is permitted; blue and white kerbs denote paid parking zones; and unmarked kerbs without a no-parking sign may generally be used. Apps such as Pango and Cellopark are widely used to pay for on-street parking.

Speed limits vary by road type: 50–60 km/h within built-up areas, 90–100 km/h on rural roads, 100 km/h on motorways, and up to 110 km/h on certain designated stretches. Always observe the posted signs, as limits can differ along specific sections of road.

Israeli drivers have a reputation for assertive, purposeful driving, which can feel unsettling to visitors accustomed to more leisurely road cultures. Navigation apps are highly recommended. Waze and Google Maps are both widely used in Israel for real-time routing and traffic information. If you intend to explore rural or northern regions, note that some routes involve unpaved surfaces; selecting the “avoid unpaved roads” option in your navigation app is sensible if you are not driving an SUV.

When it comes to vehicle choice, compact cars work well in city environments where parking can be tight; mid-size models offer a useful balance between comfort and agility; and SUVs are a practical option if you are heading into desert terrain or travelling with substantial luggage.

What insurance do I need when renting a car in Israel?

Car rental insurance in Israel operates quite differently from many other markets, and this is one aspect of hiring a car where advance preparation is particularly important. A key distinction from countries such as those in Western Europe is that multiple forms of coverage are compulsory — not optional add-ons — and must be included with every rental agreement.

The three mandatory coverage types are: Third-Party Liability Coverage (3PLC); Collision Damage Waiver (CDW), which covers damage to the rental vehicle subject to a deductible; and Theft Protection (TP). Every car rental company in Israel requires all three of these categories to be in place for all rentals, without exception.

An optional Super CDW is also available, which covers the excess left by the standard CDW, effectively bringing your personal liability for vehicle damage down to zero — except in cases of deliberate damage or unlawful use. This additional coverage can offer worthwhile peace of mind on extended rentals.

Holding a credit card does not automatically mean you are covered — it simply means that your rental insurance in Israel might already be provided through your card’s benefits. Whether this is the case depends entirely on your specific card, since not all credit cards extend car rental coverage to Israel, and many explicitly exclude it.

Israeli rental companies frequently require written confirmation of credit card coverage — typically a letter or email from your card issuer stating that CDW and TP insurance are included and that Israel falls within the covered territory. Many credit card programmes omit Israel from their car rental insurance schemes, so you should contact your card provider before travel to request this documentation if you intend to rely on card-based cover.

Even where a credit card does cover CDW and TP, you will still be required to purchase Third-Party Liability Coverage independently, as credit card policies do not extend to liability for damage caused to other parties. In practice, this means that even comprehensive credit card coverage will not fully substitute for all three mandatory Israeli insurance requirements.

Driving into East Jerusalem is not recommended, as theft and damage coverage will be voided. Vehicles are also prohibited from entering areas under Palestinian Authority control, including the West Bank and Gaza. Travelling into these zones will invalidate your insurance and place you in breach of your rental contract.

Are there any specific rules for expats or long-term residents renting cars in Israel?

The conditions governing car rental in Israel differ depending on whether you are visiting as a tourist or residing in the country on a longer-term basis. Short-term visitors can generally access rental vehicles with relative ease, but those living in Israel for an extended period should be aware of additional requirements that may apply to them.

For travellers on tourist visas, a foreign driving licence — supported by an IDP where necessary — is sufficient to rent and drive in Israel throughout their stay. Renters holding a valid tourist visa are not liable for VAT on their rental, which amounts to a notable saving at the counter compared to those without tourist status.

For those residing in Israel on a longer-term basis — whether on work visas, residency permits, or following aliyah — the position is more involved. Israel requires new residents to replace their foreign licence with an Israeli one after a set period of residency. The precise timeline and procedure depend on both the applicant’s country of origin and their immigration status. Some countries have bilateral agreements with Israel permitting a straightforward licence exchange without a driving test, while applicants from other nations may need to sit a local road examination.

If you are living permanently or for an extended period in Israel, you are obliged to comply with local driver licensing rules, even if you still hold a valid foreign licence. Most jurisdictions require residents who take up employment or formal residency to obtain a local licence.

For current information on converting a foreign driving licence to an Israeli one, contact the Israeli Ministry of Transport and Road Safety directly, as the requirements vary by country of origin and are subject to revision (as of 2025). Once you hold an Israeli licence, that document becomes your standard credential for all car rental purposes within the country.

Expats who are registered Israeli residents renting a car without a tourist visa should also account for VAT at 18% on the rental cost (as of 2025), and should confirm with the rental company whether any other terms apply specifically to resident rather than tourist renters.

Frequently asked questions

What is the minimum age to rent a car in Israel?

The minimum rental age at most companies is 21, though some operators set the threshold between 23 and 25 depending on the vehicle type. At certain providers — such as Enterprise/Eldan at Ben Gurion Airport — the standard minimum age across all vehicle categories is 24, with drivers aged 18–23 potentially able to rent smaller categories subject to a daily supplement. Check the specific policy of your chosen company before booking, as these thresholds can vary (as of 2025).

Can I drive a rental car across the border into Jordan or Egypt?

No. Rental vehicles may not be taken outside Israel’s borders under any circumstances, including into Palestinian territories. If you are planning to visit neighbouring countries, separate transport arrangements will be needed. Cross-border driving restrictions are a standard term in all Israeli rental contracts.

What happens if I am involved in an accident in a rental car in Israel?

If you are involved in an accident, stop your vehicle, take all necessary safety precautions, contact the police if there are injuries or significant damage, and call your rental company’s emergency line without delay. Photograph the scene thoroughly and exchange contact and insurance details with any other parties. Your ability to make an insurance claim — including under CDW — may be compromised if you fail to report the incident promptly, if the accident occurred in an area excluded by your rental contract, or if someone not listed on the agreement was driving at the time.

What if I return the car with less fuel than when I collected it?

Vehicles are normally provided with a full tank and should be returned in the same condition. If the tank is not full on return, a substantial refuelling surcharge may be applied — at some operators, for example, a 40% surcharge on the cost of the missing fuel. To avoid this charge, fill up at a petrol station shortly before returning the car and retain the receipt as evidence.

Are toll roads included in my rental cost?

No. Charges for Israel’s three toll roads — Highway 6, the Carmel Tunnels, and the Highway 1 Fast Lane — are not incorporated into the base rental rate. There are no toll booths on these roads; instead, charges are recorded against the vehicle’s licence plate and added to your rental invoice for billing to your credit card. An additional administration fee per billing cycle may also be levied by the rental company. Review your rental agreement for the precise billing arrangements.

Do I need to speak Hebrew to drive in Israel?

No. Road signs in Israel are written in English, Arabic, and Hebrew, so navigating the country without Hebrew is entirely feasible. Navigation apps such as Waze and Google Maps are popular among drivers in Israel and provide real-time routing. While Hebrew literacy is not required, some road signage and GPS prompts may include Hebrew, so setting up a reliable navigation app on your phone before you set out is strongly recommended.

Can I use my credit card to cover rental insurance in Israel?

Your credit card may cover certain elements of car rental insurance in Israel, but this varies significantly between cards — many explicitly exclude Israel from their coverage. Even where a card does provide CDW and theft protection, you will still be required to purchase Third-Party Liability Coverage separately, since all three mandatory insurance types must be in place. Contact your card issuer before travelling, and if coverage is confirmed, bring a written letter specifying that Israel is included within the covered territory.

Is it safe to drive in Israel as a new arrival?

Driving in Israel is generally accessible for international visitors, though local drivers tend to be assertive and fast-paced, which can initially be a lot to take in for those from more relaxed driving cultures. The road network is well maintained and signs appear in multiple languages. Taking time before your first journey to review local speed limits, parking regulations, and toll road signage will help you feel more confident. If you are new to the country, building up gradually — starting with shorter urban trips before progressing to longer routes through the desert or mountains — is a sensible approach.