Renting a car in Israel is one of the best ways to explore this fascinating country at your own pace. With an excellent road network, diverse landscapes, and countless historical sites, having your own vehicle gives you the freedom to discover everything from ancient ruins to modern cities, pristine beaches to desert landscapes. Whether you’re planning a spiritual journey, a family vacation, or an adventure-filled road trip, car rental in Israel is convenient, affordable, and highly recommended.
Car Rental Requirements in Israel: Who Can Rent?
Before you rent a car in Israel, make sure you meet these essential requirements:
Basic Requirements:
- Valid national driver’s license
- International Driving Permit (IDP) with information in English
- Minimum age of 21 years (some companies require 23-25 years)
- Valid passport
- International credit card in the driver’s name
- Minimum 1-2 years of driving experience
Important Notes:
- Drivers under the minimum age requirement may face additional young driver fees
- Your credit card must have sufficient funds to cover the rental cost plus security deposit
- Non-Israeli citizens can claim VAT exemption (17%) by presenting your border crossing voucher from passport control
- Driver’s license must be valid for at least one year from your arrival date in Israel
- License information must be available in English or accompanied by an official translation
Where to Rent a Car in Israel: Best Pickup Locations
Airport Rental: Convenience vs. Cost
Ben Gurion Airport is the most popular and convenient pickup location. While airport rentals include an additional fee of $27-29, this is still significantly cheaper than airport transfers, which can cost two to four times more than a day’s car rental.
Benefits of Booking in Advance:
- Better rates and vehicle availability
- Guaranteed vehicle class
- Skip the counter and head straight to your hotel
- Access to online-only discounts and promotions
- More time to compare prices across different companies
Types of Car Rental Websites:
- Local Israeli car rental companies with their own fleets
- International car rental chains (Hertz, Avis, Budget, Enterprise)
- Comparison and aggregator websites without their own vehicles
- Third-party booking platforms that use reservation systems from larger agencies
Pro Tips for Booking:
- Compare prices across multiple websites – rates vary significantly by season, rental duration, and vehicle class
- Check for discount codes and promotional offers
- Book the car class, not a specific model – rental companies typically guarantee class, not exact make/model
- Review the car interchangeability chart to see alternative vehicles you might receive
- Check cancellation policies before booking
Car Rental Costs in Israel: What to Expect
Average Daily Rates:
- Economy cars: from $20-30 per day
- Mid-size vehicles: $30-50 per day
- SUVs and premium cars: $50+ per day
Price Factors:
- Season (peak tourist periods like holidays cost more)
- Rental duration (longer rentals = lower daily rate)
- Vehicle class and size
- Pickup/drop-off location and time
- Age of driver (under-25 surcharges may apply)
What’s Typically NOT Included:
- Full insurance coverage (often sold separately)
- Airport taxes and fees
- Fuel costs
- GPS navigation system
- Child safety seats
- Additional driver fees
Additional Charges You May Encounter:
- Traffic violations and parking tickets (paid by you)
- Toll road usage (Highway 6, Carmel Tunnels, Highway 1 fast lane)
- Returning the car with less fuel than pickup
- Late return (over 1 hour late)
- Vehicle damage not covered by insurance
- Exceeding mileage limits (typically 200-250 km per day)
- Processing fee ($20) for any additional charges
Money-Saving Tips:
- Always check the “Rental Conditions” section for included/excluded items
- Compare prices in different currencies – sometimes paying in local currency is cheaper
- Refuel 15-30 km before returning to show a full tank while saving on inflated rental company fuel prices
- Book longer rental periods for better daily rates

Step-by-Step: Picking Up Your Rental Car at Ben Gurion Airport
Upon Arrival:
- International flights arrive at Terminal 3 of Ben Gurion Airport
- Go to the second floor of Terminal 3 and locate your rental company desk
- Present your reservation voucher, passport, driver’s license, and credit card
- Provide accommodation details (hotel name/address or friend’s contact information)
At the Rental Counter:
- Staff will speak English (and often Russian)
- You may be offered full insurance coverage (evaluate based on your needs and existing coverage)
- The security deposit will be blocked on your credit card
- Rental amount charged if not prepaid online
- Sign the rental agreement and receive your keys
Vehicle Inspection Checklist:
- Check for existing damage (scratches, dents, chips)
- Verify spare tire, jack, and tire wrench are present
- Confirm first aid kit and reflective vest are included
- Note the current mileage
- Check fuel level and type required
- Learn how to open the fuel cap
- VIDEO RECORD the inspection – especially any pre-existing damage
- Only sign the inspection report after thorough review
Anti-Theft System:
Many rental cars in Israel have a 4-6 digit security code system. To start the engine:
- Insert key in ignition without turning
- Enter: star (*) – code – star (*)
- Wait for confirmation beep
- Press brake pedal
- Turn key to start engine
Important Information to Note:
- Save the rental company’s emergency phone number
- Clarify return location (may differ from pickup – often Terminal 1 instead of Terminal 3)
- Free shuttle buses connect terminals for passengers with flight tickets
- Deposits are typically returned to your card within 3 days
Driving in Israel: Rules, Regulations, and Safety Tips
Essential Traffic Rules:
- Drive on the right side of the road
- Keep both hands on the steering wheel at all times (required by law)
- No mobile phone use without hands-free system ($130 fine)
- All passengers must wear seatbelts, front and rear ($65 fine per person)
- Pedestrians have absolute right of way at crossings ($130 fine for violations)
- Must wear reflective vest when exiting vehicle on any road ($65 fine)
Speed Limits and Enforcement:
Israel has extensive traffic camera coverage and mobile radar units, including those in unmarked civilian vehicles.
Urban Road Speeding Fines:
- 1-20 km/h over: 250 shekels (~$65)
- 21-30 km/h over: 750 shekels (~$200)
- 31+ km/h over: Court summons
Highway Speeding Fines:
- 1-25 km/h over: 250 shekels (~$65)
- 26-40 km/h over: 750 shekels (~$200)
- 41+ km/h over: Court summons
Drinking and Driving:
- Legal limit: 0.5 ppm blood alcohol content (approximately 2 beers)
- Violations result in fines of several thousand shekels
- License suspension for several years possible
- Zero tolerance approach – don’t risk it
Rental Office Hours:
- Most offices: Reduced hours on Friday, closed Saturday (Shabbat)
- Ben Gurion Airport: 24/7 service available
- Major cities with offices: Tel Aviv, Jerusalem, Eilat, Haifa

Final Tips for a Smooth Car Rental Experience in Israel
- Always carry your International Driving Permit (IDP) along with your national license
- Plan your routes in advance using GPS or smartphone apps
- Keep emergency contact numbers handy
- Familiarize yourself with toll roads and avoid them if you prefer
- Respect speed limits and traffic rules – enforcement is strict
- Take advantage of Israel’s excellent road network to explore beyond major cities
- Consider travel insurance that includes rental car coverage
Renting a car in Israel is straightforward and opens up incredible opportunities to explore this diverse country at your own pace. From the bustling streets of Tel Aviv to the serene shores of the Dead Sea, from ancient Jerusalem to the vibrant port city of Haifa, having your own vehicle gives you the freedom to create your perfect Israeli adventure. Don’t have an International Driving Permit yet? You can easily obtain one online before your trip to ensure a hassle-free rental experience.
Published October 15, 2018 • 7m to read