A new study has found that the cost of a week’s car hire can vary by hundreds of pounds
People affected are being urged to look beyond the initial headline price(Image: Catherine Falls Commercial via Getty Images)
Drivers hiring a car abroad could be paying far more than they need to if they don’t do their due diligence before booking. A new study has found that the cost of a week’s car hire can vary by hundreds of pounds depending on which rental company customers choose.
The biggest difference was uncovered in Dubrovnik, where a medium compact car – such as a Volkswagen Golf or Ford Focus – cost as little as £261 with one provider but £871 with another. That is a £610 difference, meaning the most expensive deal was 234% more than the cheapest.
The research, by iCarhireinsurance.com, compared prices from Avis, Budget, Enterprise, Europcar, Hertz and Sixt for the period from July 25 to August 1, 2026. It looked at seven popular holiday destinations, including Dubrovnik in Croatia, Faro in Portugal, Milan, Nice, Crete, Barcelona and Dalaman in Turkey.
How much could you save by shopping around?
Destination – Cheapest – Most expensive – Difference
Dubrovnik – £261 – £871 – £610
Faro – £390 – £796 – £406
Milan – £373 – £547 – £174
Dalaman – £337 – £487 – £150
Nice – £301 – £401 – £100
Crete – £344 – £423 – £79
Barcelona – £257 – £315 – £58
Faro had the second biggest gap, with prices ranging from £390 to £796 – a difference of £406. In Milan, the difference was £174, with prices ranging from £373 to £547, while in Dalaman there was a £150 gap between £337 and £487.
Even in Nice, where the difference was smaller, holidaymakers could save £100 by choosing the cheapest deal rather than the most expensive. Across all seven destinations, the average cheapest price was £323, compared with an average highest price of £549 – a difference of £226, or around 70%.
But the rental price is not the only cost holidaymakers need to watch. The study found that common extras could add another £391 to the bill if customers bought them all.
An additional driver cost £68 on average for a week, while a sat nav added an average of £76. A week’s super damage waiver excess protection cost an average of £196, while separate tyre and windscreen excess cover added another £51.
The excess is the amount a driver could be liable to pay if a hire car is damaged or stolen. In the study, the average excess was more than £1,600.
Holidaymakers are therefore being urged to look beyond the initial headline price when comparing car hire deals and check exactly what is included. Ben Wooltorton, of iCarhireinsurance.com, said: “It can be easy to assume that car hire prices will be broadly similar, but our research shows just how much they can vary between rental companies.
“Taking a few minutes to compare prices before booking could save a significant amount. It’s also important to look beyond the headline rental price. Extras can quickly add to the cost, and one easy saving is buying a standalone excess reimbursement policy in advance from a specialist provider.”
A standalone excess reimbursement policy from iCarhireinsurance.com costs from £33.15 for an eight-day European trip, according to the company, while an annual European policy starts from £41.99 for eligible customers.
The research was based on quotes for a medium compact car, such as a VW Golf or Ford Focus, from six major rental companies across the seven destinations.
