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During the busy summer season, many travelers opt for the convenience of car rentals. But many also wonder: Can you take a rental car out of state?

The short answer is yes. Driving a rental car out of state or crossing national borders is typically possible with a one-way rental that has unlimited mileage. But different rules apply across regions. Here’s what you should know.

Can you take a rental car out of state?

Yes, you can. But when you rent a car with the intention of driving across state or national borders, you must keep a few things in mind. There are different rules for crossing the border with a rental car depending on the rental company, vehicle category and region.

In addition, additional costs may be added, which is important to keep in mind.

A red car driving down the Route 66 highway.

Can you rent a car and drop it off in another state?

In the US, most major rental car companies don’t restrict driving across state lines. The table below includes three major car rental provider groups that all allow car rentals across state borders. You can book a cross country car rental with unlimited mileage from any of these providers and head to your destination without worrying about incremental fees.

However, some providers may require that you book a one-way rental, since you’ll be dropping the car off far from your original pick-up location. This requires a one-time fee. As its name suggests, an unlimited mileage rental car has no limit on the distance you can drive, so this option often makes the most sense for your trips out of state.

Holding companyBrands
Avis Budget GroupAvis, Budget, Payless
Hertz Global HoldingsHertz, Dollar, Thrifty
Enterprise HoldingsEnterprise, National, Alamo

However, keep in mind that some regional or smaller national chains may restrict trips out of state. One reason why: These providers don’t have a large enough network to accept drop-offs far from the original pick-up location. In addition, they’re limited in assisting drivers in the event of roadside emergencies.

If you need a cross country car rental, some companies allow driving out of state but have restrictions on which states. For example, you could pick up your rental car in California and drive to Nevada, Arizona, Colorado, Utah, or Washington – but not Florida or New York. This makes sense considering the greater distance from your pick-up location.

I’ve rented a car and dropped it off in a different state several times. I’ve found that airports usually offer the cheapest rates and lowest fees, whether you’re dropping off the car or picking it up.

Travel expert Blane Bachelor

In addition, special rules exist for non-contiguous states. In Hawaii, car rentals must usually remain on the island where they were rented. Same goes for Alaska, where car rentals must typically stay in the state.

Whichever option you choose, make sure to check the terms and conditions of your rental agreement, because special offers and weekend rates may not include the unlimited mileage you’ll need to drive across borders.

Car rental companyDriving across state lines allowed?What to know
AvisYesAvis recommends on its website to book a one-way rental ahead of time and that additional fees may be required.
BudgetYesBudget states on its website that additional fees will apply if you attempt to drop off your rental in a different location without prior authorization.
EnterpriseYesEnterprise requires one-way bookings in advance and states on its website that additional fees, including mileage, a drop charge or one-way fees, may be charged.
HertzYesCharges for one-way rentals are made on a “case by case basis,” Hertz notes on its website.

Can you take a rental car to Canada or Mexico?

If your road trip extends across the border to Canada or Mexico, there are additional rules and considerations to be aware of. Driving to Canada is permitted by most providers for most types of vehicles, with the exception of luxury, high performance and large cargo or passenger vehicles. The same rules for driving between states in the US may apply to driving to Canada. Be sure to double check with your provider well in advance for any restrictions or rules.

Driving to Mexico can be more complicated. If your rental company permits it, it’s highly recommended to purchase extra insurance ahead of your trip. However, you can also opt to fly and rent a car in Mexico.

Finally, it goes without saying that you’ll need to bring your passport to drive into Canada or Mexico – so be sure it’s valid.

Rental car rules in Europe and elsewhere

Rules for border crossings are different but comparable in other parts of the world. A critical aspect to understand about crossing borders in Europe with a car rental is the cross-border fee.

This fee, which you may need to pay in advance, covers extra taxes, insurance, and other expenses. Fees can range significantly depending on the type of car and the countries you’re traveling between. However, some companies may not charge a fee, so it helps to shop around.

If you plan to cross national borders with a rental car, be sure to notify your rental company in advance. And don’t forget to review the terms and conditions of your rental agreement before you proceed. In some cases, if you cross borders without having paid the fee, the rental car insurance won’t be valid. As a result, you could be responsible for any damages, and you may owe extra taxes and other fees upon returning the car.

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If you plan on dropping off the car in a different country, you’ll have to pay a one-way fee in addition to the cross-border fee. Keep in mind that there are also country and zone-specific rules in Europe. Your rental may not be covered by insurance if you leave the European Union or mainland Europe. For example, taking your rental car to Spain’s Balearic Islands (there are multiple car ferries) might not be allowed, even though you’re not crossing a national border.

Additional documentation may also apply, depending on your itinerary. In the UK, for example, you’ll need to complete a VE103 form with the rental company to show that you have permission to drive a hired or leased vehicle in another country.

In South America, Africa, and Asia, crossing borders can be more complicated in general, and additional documentation is often necessary. Because these regions have specific rules and regulations that can be quite complicated, it’s highly recommended to do additional research if you plan to cross any national borders there.

If you’re new to renting a car in Europe, it can be very helpful to familiarize yourself with the process of paying for gas (petrol) in whatever country you’re traveling in. My husband and I learned the hard way in Germany that pay at the pump is still relatively rare; most fuel stops require payment inside the station after fueling up.

Travel expert Blane Bachelor

How rental cars use GPS tracking

When considering whether you can drive a rental car across a state or national border, a common question is if – or how – car rental companies can track your location and know whether you’ve crossed a border. The answer is that some rental cars are equipped with GPS tracking devices, but not all.

Your rental agreement will state whether the car you’re renting is equipped with a GPS device. These devices typically trigger an automatic alert back to the provider when they cross state or international borders. However, this shouldn’t be an issue if you’ve already notified the rental company and have agreed to (or already paid) any necessary fees. (Such devices and alerting systems also can also be very helpful in case of an emergency.)

A hand navigates a car's steering wheel beside a screen with a GPS map.

Considering renting a car, but confused about the process? We get it. Find the answers to all your questions in our comprehensive Car Rental Guide.

How this guide was created

For this guide, KAYAK travel experts consulted official government websites and those of major car rental companies for the most accurate, up-to-date information. We also added personal insights based on our own experiences renting cars and driving them across state lines in the US.

Hands holding a car's steering wheel.

About the author

Jeanifer BreklingGrowing up in Alaska, Jeanifer took the beauty of its nature for granted. Now that she lives in a more cosmopolitan place, Jeanifer loves to get back to nature wherever she goes, with hiking, camping, snowboarding and diving always a highlight. As a mother of three, Jeanifer is always looking for new places to go that the whole family will enjoy. Follow Jeanifer on Linkedin for more travel inspiration.
Blane BachelorBlane Bachelor is a journalist and editor specializing in travel and aviation who writes regularly for top global outlets. Born and raised in Florida, Blane has worked and lived in four countries, including the Netherlands, where she’s currently based with her family. Her favorite way to get to know a new destination is by running or riding a bike around town – or hearing a spooky ghost story about local history. She will always choose the window seat.

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