Peru – Car Rental

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

The majority of car hire companies in Peru set the minimum driver age at 21 and require that the applicant has held a valid licence for at least one year. Certain operators raise this threshold to 25, and drivers younger than 25 may face a supplementary young driver fee regardless. It is always worth confirming the exact age policy with your intended provider well before you make a reservation.

When you arrive to collect your vehicle, you will generally need to produce a passport or Peruvian Foreign Resident Card, a valid driving licence showing at least one year of issue history, and a credit card in the driver’s name to serve as a rental guarantee.

Peruvian law permits foreign nationals to drive using their home-country licence for a maximum of six months from the date they enter the country. There is an important caveat, however: if a migration official restricts your permitted stay to less than six months, your foreign licence is only valid for that shorter authorised period. Always check the entry stamp in your passport to understand exactly how long you are permitted to remain.

A standard set of road rules applies to all drivers in Peru. Seat belts are compulsory for every occupant of the vehicle, using a mobile phone while at the wheel is prohibited, highway speeds are capped at 100 km/h (with lower limits in built-up areas), and the legal blood alcohol threshold is 0.05%.

Peruvian law is also specific about where children must be seated. Any child under the age of 12 must travel in the back seat, and children under three years old must be secured in an age-appropriate child restraint system at all times.

Rental agreements in Peru typically contain geographical restrictions defining which roads and regions the vehicle may be driven in. These may include limits to paved roads or specific parts of the country. Read your contract carefully before departing. For the most up-to-date regulations, consult the Ministerio de Transportes y Comunicaciones (MTC).

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

Peru is served by several large international rental brands, mostly through desks at the country’s principal international airports and through city offices in Lima, Cusco, and Arequipa. Booking online ahead of your trip is the best way to secure both availability and competitive pricing.

Avis maintains a presence at Lima’s Jorge Chávez International Airport, Cusco’s Alejandro Velasco Astete International Airport, and a number of other major cities across the country. Their fleet covers a broad spectrum from economy hatchbacks through to SUVs and premium vehicles. You can explore their Peruvian offering at avisperu.com.

Budget likewise operates at Jorge Chávez International Airport in Lima, Alejandro Velasco Astete International Airport in Cusco, and other key urban centres. Their vehicle range includes economy cars, SUVs, and higher-end options. Reservations can be made at budgetperu.com.

Hertz, one of the world’s best-recognised rental brands, operates at Lima’s Jorge Chávez International Airport, Cusco’s Alejandro Velasco Astete International Airport, and other major Peruvian cities. Availability can be checked at hertz.com.

Sixt is also active in Lima, requiring a minimum age of 21 and a valid licence. Certain vehicle categories carry a higher minimum age requirement, and an underage driver surcharge may be applicable. Their Lima listings are viewable at sixt.com.

Beyond Lima, car hire is available in Cusco, Arequipa, and Piura. Alongside the major international chains, a variety of local and regional operators work out of these cities and can sometimes offer more attractive pricing — particularly for extended rentals. Aggregator websites such as rentalcars.com let you compare international and domestic providers in one place. Before committing to any local agency, always verify that it is a legitimate, licensed operator.

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

Car hire rates in Peru are typically built around a base daily charge with a series of additional fees layered on top — fees that can push the final total well above the headline figure you first see. Getting a clear picture of the full cost breakdown before you confirm a booking will spare you from unwelcome surprises when you reach the collection counter.

Quoted prices usually incorporate some form of basic insurance, but the fine print is crucial: this baseline cover tends to be minimal and often carries a high excess. If you are not accustomed to driving conditions in Peru, upgrading your protection directly with the rental agency is a prudent step.

Unlike many European markets where unlimited mileage is the standard, Peruvian providers frequently impose daily kilometre caps. Budget Peru rentals, for example, typically allow 260 free kilometres per day (roughly 161 miles); if you anticipate covering greater distances, an unlimited mileage upgrade is available at the booking stage. Avis Peru’s standard allowance is 300 kilometres per day. Before embarking on a long-distance journey, check the per-kilometre rate that applies once you exceed your daily allowance.

One-way rentals — for example, collecting in Lima and dropping off in Cusco — attract a drop-off fee that can substantially outweigh a low daily base rate. Returning the vehicle to a different city such as Arequipa or Cusco is possible with some operators, but the arrangement must be agreed and confirmed in advance. Extras such as child seats and additional driver registration also add to the overall cost and should be budgeted for separately.

GPS units are available to rent from most longer-distance operators for approximately USD 5–10 per day. This is a worthwhile investment if your route takes you through rural areas where road signage is sparse and mobile phone coverage unreliable.

At the point of collection, a hold (not an actual charge) will be placed on your credit card as a security deposit. Depending on the vehicle class, expect holds of S/3,000–S/7,000 (as of 2025); this amount is released once the car is returned undamaged. Note that IGV — Peru’s equivalent of VAT — is charged on top of the rental rate and applies to foreign visitors as well.

If a dispute arises over charges, Peru’s consumer protection authority — INDECOPI (Instituto Nacional de Defensa de la Competencia y de la Protección de la Propiedad Intelectual) — handles complaints relating to commercial services, including car hire. The PromPerú tourism authority can also direct visitors to relevant official resources.

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

The question of whether you need an IDP in Peru involves a distinction between what the law strictly mandates and what is practically sensible — and the answer may also depend on which country issued your licence. As of 2025, it is advisable to check the current position with both your rental company and the Peruvian transport authority before you travel, since requirements are subject to change.

Under Peruvian law, a licence issued by another country that remains valid and was granted in accordance with international road traffic agreements signed and ratified by Peru may be used for up to six months from the date of entry. This means that if your home country is a signatory to the relevant international conventions, your domestic licence alone meets the legal requirement for short-term visits.

Strictly speaking, an IDP is not a legal requirement in Peru regardless of whether your licence is in Spanish. That said, the practical consensus among seasoned travellers and road-trip veterans is that carrying one is strongly advisable. If your licence is written in a language other than Spanish or another widely understood language, having an IDP alongside it provides an important safety net.

An IDP functions as a standardised translation of your domestic licence and can smooth over language-related misunderstandings when crossing borders or dealing with unfamiliar authorities. Many countries that do not formally recognise foreign licences do officially recognise an IDP, making it particularly useful during police checks or in the aftermath of a road incident in Peru.

To sidestep potential language barriers or disputes about permitted vehicle categories, obtaining an IDP in your home country before departure is the recommended course of action. The IDP must be issued in the same country as your domestic licence — it cannot be obtained after you arrive in Peru. In the United Kingdom, the Post Office is the issuing body; in the United States, IDPs are available through AAA or the American Automobile Touring Alliance (AATA). Check with your national motoring organisation to identify the correct issuing authority in your country.

Bear in mind that even where a government does not formally require an IDP, rental companies operating in that country may impose their own requirement. Always confirm the specific documentation requirements with your chosen rental provider at the time of booking.

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

Peru’s road network cuts through some of the planet’s most extraordinary and varied landscapes — arid coastal desert, soaring Andean passes, and dense Amazon rainforest. The driving experience shifts dramatically from region to region, and conditions can be far more demanding than anything you may have encountered elsewhere.

Traffic in Peru moves on the right-hand side of the road, consistent with the rest of South America and most of continental Europe, but the opposite of countries such as the United Kingdom, Australia, and Japan.

Lane discipline in Peru is notably relaxed. Drivers routinely squeeze into any available gap, buses and taxis create improvised lanes on road shoulders, and the horn is used as a primary communication tool. Staying alert at all times and reading the road well ahead — as experienced local drivers do — is essential. Lima in particular has a well-earned reputation for chaotic traffic.

Lima accounts for roughly a third of Peru’s entire population, and the resulting traffic congestion is constant throughout the day, not just at peak rush hours. Many seasoned visitors choose to pick up their rental vehicle outside the capital entirely rather than tackle Lima’s streets from the outset.

Venturing into Peru’s mountainous interior or reaching destinations beyond the main cities almost always requires a four-wheel-drive vehicle. Rural roads are frequently in poor condition, and a 4×4 makes navigating these areas substantially more manageable and safer.

Toll booths appear regularly on major routes including the Pan-American Highway. Credit cards are not accepted at these points, so it is important to keep a supply of small change and low-denomination banknotes in Peruvian soles within easy reach.

Driving after dark in Peru is strongly discouraged for visitors. Heavy vehicles such as buses and trucks are common on roads at night, street and road lighting is poor in many areas, and hazards including livestock, pedestrians, and unlit vehicles can appear without warning. In the Andes, fog and intense rainfall can reduce visibility to near zero. Planning all self-drive journeys for daylight hours is the safest approach.

Fuel stations throughout Peru are full-service — attendants pump the fuel on your behalf, unlike the self-service model common across much of Europe and North America. Most rental fleet vehicles run on petrol (gasoline). Turbocharged or hybrid engines require premium fuel, and using premium-grade fuel is also recommended when travelling outside Lima to ensure fuel quality.

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

Insurance is among the most critical aspects of renting a car in Peru, and the local system differs considerably from what drivers in many other countries may be accustomed to. Taking the time to understand the various layers of cover — and precisely what each one does and does not protect — is essential before signing any rental contract.

Peruvian law mandates that every vehicle on the road carry SOAT (Seguro Obligatorio de Accidentes de Tránsito), a government-required policy that pays for medical expenses in the event that occupants or third parties are injured or killed in an accident. SOAT is compulsory and will already be in place on your rental vehicle, but it provides only this medical cover — it does not extend to damage sustained by the hire car itself. This baseline protection is, in most situations, wholly inadequate on its own.

Rental desks typically require third-party liability and collision and theft coverage, or a written letter confirming that your credit card provides equivalent protection, before releasing the vehicle. A substantial hold is then placed on your card as security. Unlike some markets where a Collision Damage Waiver (CDW) is bundled into the standard rental rate as a matter of course, in Peru collision and theft cover may need to be actively selected and paid for as separate add-ons.

When reviewing your rental options, look for policies that encompass collision, theft, and third-party damage — and read the exclusions carefully before signing. Upgrading to a comprehensive level of cover typically costs in the region of USD 30–50 per day (as of 2020; verify current rates with your provider, as prices change).

Whether your personal travel insurance policy or credit card benefits will cover a rental car excess in Peru depends entirely on the specifics of your individual policy or card agreement. Some premium cards do include rental excess protection, but the extent of this varies widely by card issuer and the country in which the card was issued, and certain cards explicitly exclude particular regions or vehicle types. Before declining the rental company’s cover, always verify the position directly with your card provider or insurer — and obtain that confirmation in writing. Some rental counters in Peru will accept a written letter from your credit card company as proof of equivalent coverage.

To summarise: all rental cars in Peru carry mandatory SOAT third-party injury insurance, but this does not cover damage to the rental vehicle or theft of it. Most rental companies offer supplementary policies addressing these risks, and reviewing the terms of any additional cover carefully before purchasing is strongly recommended.

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

The rules around driving and hiring a car in Peru differ considerably depending on whether you are a short-stay visitor or someone with a longer-term connection to the country. If you have obtained Peruvian residency or are planning an extended stay, the requirements shift in important ways — and failing to comply can carry serious consequences if you are ever involved in an accident.

Foreign tourists in Peru may legally drive using a valid licence issued in their home country for the duration of their authorised stay. However, once a foreigner is granted resident status, their foreign licence loses its legal validity for driving purposes in Peru. At that point, obtaining a Peruvian driver’s licence becomes a requirement rather than an option.

Foreign residents are expected to apply for a Peruvian licence upon receiving their carné de extranjería (resident card). In practice, a great many residents continue to drive on their foreign or international licence without incident in everyday life — but this carries real risk. In the event of an accident, police may treat the driver as operating without a valid Peruvian licence and attribute partial or full responsibility accordingly, regardless of who was at fault. Insurance companies may also refuse to honour claims on the same grounds.

Peruvian law does provide a pathway for foreign residents to exchange a licence issued abroad for a Peruvian one. This process is administered by the Ministerio de Transportes y Comunicaciones (MTC) in Lima and at its regional offices, and involves multiple steps and documentary requirements.

The foreign licence will generally need to be apostilled or legalised — some embassies in Lima are able to certify the authenticity of a foreign licence — and the licence categories must be matched to their Peruvian equivalents. Authorities typically also request a certified driving history extract from the issuing country, documenting accidents and traffic violations, which must itself be apostilled or legalised. In some countries, obtaining such a document is difficult, expensive, or extremely time-consuming.

The official requirements and procedures for licence exchange are set out on the MTC’s official website. Always verify the latest requirements directly with the MTC, as both procedures and fees are subject to revision. As of the MTC’s published guidance, a processing fee payable at Banco de la Nación is required — check the MTC website for the current amount.

If you are a long-term resident who has yet to convert your licence and you wish to rent a vehicle in Peru, be aware that rental companies may ask to see your carné de extranjería alongside your foreign licence. While making the switch takes time and effort, obtaining a Peruvian driver’s licence is generally the safer and more practical choice for anyone residing in the country on an ongoing basis.

How do I rent a car in Peru? A step-by-step process

1. Choose your rental company and vehicle. Compare international brands (Avis, Budget, Hertz, Sixt) and local providers using a comparison platform. For mountainous or rural routes, ensure you book a 4×4 or SUV — standard saloons are not suitable for unpaved Andean roads.
2. Obtain an International Driving Permit (IDP) before departure. Apply through the relevant motoring authority in your home country. The IDP must be issued in the same country as your domestic licence and cannot be obtained once you are in Peru.
3. Book in advance and confirm your insurance needs. Review what insurance is included in your rate (typically SOAT only), and decide in advance whether you need CDW, theft protection, and supplemental liability cover. Check whether your credit card or travel insurer will cover the excess, and obtain written confirmation if so.
4. Gather your documents. At collection you will typically need: your valid home-country driving licence (held for at least one year), your IDP, your passport or Peruvian Foreign Resident Card, and the credit card in the driver’s name for the security deposit hold.
5. Inspect the vehicle thoroughly at collection. Walk around the car with a company representative and ensure all existing damage is documented in the rental agreement before you drive away. Photograph any marks or scratches for your own records.
6. Prepare cash for toll roads. On major routes such as the Pan-American Highway, toll booths do not accept credit cards — carry small coins and low-denomination banknotes (Peruvian soles).
7. Return the vehicle with the agreed fuel level and at the agreed location. If you are returning to a different city, confirm the drop-off arrangement and fee before you travel. Note the condition of the vehicle at return and ask for a receipt confirming no damage is being claimed.

Frequently asked questions about renting a car in Peru

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

At most rental companies in Peru, the minimum age is 21, with at least one year’s licence history required. Some operators set their threshold at 25, and a young driver surcharge may be applied to anyone under 25. As of 2025, always confirm the age policy directly with your chosen provider before booking, since requirements differ between companies.

Can I drive a rental car across the border into Bolivia or Chile?

No — rental operators in Peru do not permit their vehicles to be driven out of the country. If your itinerary extends beyond Peru’s borders, you will need to travel by plane or cross-border bus instead. This restriction is enforced by virtually every operator in Peru, so factor it into your plans if you are considering a multi-country trip.

What happens if I have an accident in a rental car in Peru?

If you are involved in an accident, remain calm and avoid making any cash payments at the scene. Should a police officer attend, present your own documents and the vehicle’s documentation. Peruvian police are not authorised to collect fines on the spot, so do not hand over money to anyone at the roadside. Contact your rental company immediately and follow their guidance. Make sure a police report (parte policial) is completed, as this will be required to support any insurance claim.

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

Most rental companies in Peru apply a full-to-full fuel policy — the tank should be full when you collect the vehicle and full again when you return it. Returning the car with less fuel than specified will typically result in the rental company charging you for the shortfall at a rate above standard forecourt prices, plus an administration fee. Refuel shortly before returning the vehicle and retain the receipt as evidence.

Is it safe to drive at night in Peru?

Driving after dark in Peru is not recommended for visitors. Heavy vehicles travel extensively at night, road lighting is poor in many areas, and hazards including animals, pedestrians, and unlit vehicles can emerge without warning. In Andean regions, fog and heavy rainfall can further reduce visibility. Restricting your self-drive journeys to daylight hours is the prudent approach.

Do I need a 4×4 to drive in Peru?

If your plans involve Peru’s highland regions or rural destinations outside the main cities, a four-wheel-drive vehicle is essential. Many rural roads are poorly surfaced, and a 4×4 makes traversing them considerably safer and more manageable. For travel confined to Lima’s urban roads or the Pan-American Highway, a standard car is generally adequate.

Can long-term residents in Peru still rent a car with a foreign licence?

Once a foreigner obtains resident status in Peru, their foreign driving licence is no longer legally valid for driving in the country. From that point, a Peruvian licence is required by law. In day-to-day practice, many foreign residents continue driving on their overseas licences without issue, but this approach carries genuine risk — particularly if they are stopped by police or involved in an accident. Contact the Ministerio de Transportes y Comunicaciones (MTC) for current information on the licence exchange process.

Does my credit card travel insurance cover car rental in Peru?

Certain premium credit cards do include rental car excess or CDW protection as a cardholder benefit, but the terms and scope of this cover vary greatly between card issuers, card tiers, and countries of issue. Cover may be conditional on charging the entire rental cost to the relevant card, notifying the card provider in advance, or may be subject to exclusions relating to specific vehicle types or geographical regions. Before declining the rental company’s own insurance, always verify the details directly with your card provider and obtain written confirmation. Never assume coverage applies without first checking.