How Old do you Need to be to Rent a Car in the U.S.?

The price hike is obviously attached to the increased risk of renting a car to someone under 25. Companies charge so-called youth premiums (or “under 25 fees”) to only the affected renters, so that other drivers don’t have to foot the bill with higher prices across the board. This is on top of the daily rental car charge. However, “18-year-olds should expect to pay an even higher daily surcharge, on average,” she emails. The “young driver surcharge” ranges from $14.99 to $35 per day, says Jessica Claros, a licensed insurance producer with Dominguez Insurance Agency.

Greg Scott with the American Car Rental Association, in an email interview. The accident rate stays about the same until drivers hit the age of 24 when it starts to decrease. Sean Pour, co-founder of SellMax, a nationwide car buying service, further illustrates this reality. Indeed, the younger population is sadly dominant when it comes to automobile accidents. According to the National Safety Council, teens aged 16 to 19 are drivers in 6 percent of fatal accidents and 8.9 percent of all crashes, despite the fact that the same age group makes up a measly 3.5 percent of total drivers. This doesn’t mean that you can’t rent a car as a young driver; it just means that you’ll pay more to do so.

Peer to peer apps like Turo are another good option for young drivers, suggests Patrick McCann, editor-in-chief of the site We Try Tires. Often, such apps require proof of personal insurance as well as a hefty deposit, so take that into account. Another option might be Zipcar, which has a special membership program for college students, who might need a car for just a few hours or a few days.

Many companies will rent to 18-year-olds if the rental is an “insurance replacement” while the renter’s car is in the shop. Hertz will also waive the additional driver fees for AAA members. And you’ll get roadside assistance and other benefits included with your membership. USAA policyholders can get discounts on car rental rates as well. Policy-holders with USAA Insurance can also avoid young driver and additional driver fees at Avis, Budget, Hertz and Enterprise.

The first thing to know is that state law in New York and Michigan requires companies to rent a car to anyone 18 or older (with a valid license), although they can tack on a young driver surcharge. A few examples are Dollar Car Rental, which rents to those 20 and up, and Fox Rent a Car, which accepts 18-year-olds if they’re active duty military on travel orders, and any licensed driver over the age of 19. In fact, members of the military should inquire with any rental car company about that little loophole. These surcharges run around $40 per day in Michigan and $57 per day for New York. If you’re in one of the other 48 states, all hope is not lost.