Renting a Car in Mexico City: What You Need to Know So You Don’t Get Scammed

woman renting a car in mexico city airport
Share this article ⤵️

Need a Mexico City Car Rental for your trip?

You’re in the right place, as I live in Mexico, and I’m going to walk you through the process of renting a car in Mexico City, Mexico. I’ve rented cars in five cities in Mexico, including Mexico City, so I’m here to demystify everything.

By the end of the article, you’re going to feel comfortable with the entire Mexico car rental process — and have 10 Tips about driving a rental car in Mexico that will boost your confidence with driving in Mexico City (AKA CDMX).

First and foremost, most travelers want to know about the best place to rent a car in Mexico City. When I rent a car in Mexico, I recommend and always use Discover Cars, and you’ll see why in this article.

OUR PICK

red car on the beach

BEST MEXICO CAR RENTAL COMPANY: Discover Cars

When booking your Mexico car rental online, I recommend and use Discover Cars. They search international corporations and local Mexican companies, so you get the best deal — and have FREE cancellation up to 48 hours before your rental.

If you’ve looked for tips on renting a car in Mexico City Mexico, you may have encountered conflicting info. There are official rules for how to rent a car in Mexico City — and then there’s how things play out in the real world.

Don’t worry: We’re going to clear all that up in this article.

You’ll also learn about common Mexico City car rental scams so you don’t fall victim to hidden fees when getting your rental. There’s also info about Mexican car insurance, which is mandatory for car rentals in Mexico City.

Ready to learn the ins and outs of CDMX car rentals? Let’s get to it!

After you read all the tips for renting a car in Mexico City, don’t miss the Mexico City car rental Frequently Asked Questions and 10 Mexico Driving Tips at the end of the article.

Renting A Car in Mexico City With Discover Cars

renting a car in mexico with discover cars

I have been living in Mexico since 2018, and travel frequently. What I am going to explain is my personal experience renting a car about 10 times, in five cities throughout Mexico.

When I book a Mexico car rental online, I recommend and use Discover Cars.

I use them because they have always had the best deals when I’ve searched, and they offer FREE cancellations up to 48 hours before your reservation. Here is the exact process I have followed to get my rental car:

Renting A Car in Mexico City

1. Reserve Your Car Online with Discover Cars

Head to the Discover Cars website, and input your travel dates and preferred pick-up location. For more travelers, this will be the airport in the city you’re visiting.

⭐️ Only rent from well-rated places

discover cars ratings

I advise you to filter by ratings because while everyone wants to get those sweet Mexico car rental deals, the cheapest place is rarely the best.

Personally, I don’t rent from locations with less than a 7 out of 10 Stars rating. It’s like the saying goes: You get what you pay for; for me, it’s not worth sacrificing some money for terrible customer service on my vacation.

Renting A Car in Mexico City

2. Opt for Full Coverage with Discover Cars

discover cars insurance

I always opt for their Full Coverage when I rent with Discover Cars — and I’m not alone! According to the Discover Cars site, 85% of customers use their Full Coverage Policy to enjoy peace of mind when renting in Mexico.

For about $7-10 USD per day, Discover Cars covers up to $58,500 pesos (about $3,250 USD) of damage to the rental car. This includes body repair work, dings, scratches, windows/glass, tires, towing, lost keys, and more.

Renting A Car in Mexico City

What’s covered with Discover Cars? (And what’s not covered?)

discover cars insurance

🤔 Will car Rental companies accept this Policy?

Legally, they have to, and personally, any company I have used has accepted this third party policy through Discover Cars. This is just one reason I encourage you to rent from a well-rated company known for good customer service.

What has happened almost every time I’ve rented is that they will try to up-sell me to their insurance, which I decline. As mentioned, the Discover Cars policy does legally satisfy any Mexico car rental insurance requirements.

When you decline the car rental company’s insurance, they will hold about $50,000 pesos ($2,700 USD) on your credit card. When you bring the rental car back with no damage, they return your deposit in full.

If you bring the rental car back with damage, they will take it out of your deposit. From there, you’ll have to make a claim with Discover Cars, which is usually processed in 48 hours or less, according to their site.

As long as the damage is under $58,500 MXN pesos (about $3,250 USD) — which does cover a lot — Discover Cars will reimburse you under their Full Coverage Policy.

🤔 How do I make a Claim with Discover Cars?

discover cars reviews

If you need to file a claim with Discover Cars, the process is easy. You’ll find your login credentials in your booking confirmation email, which you can use to login via your laptop or the Discover Cars app (📲 Android; 🍎 Apple).

At just $7-10 USD per day, the Discover Cars Full Coverage Policy is far cheaper than any I’ve been offered through the car rental companies themselves. With direct policies, they usually charge about $30 USD per day.

If you would rather get full coverage Mexican insurance from the company directly, you can also do that and still rent with Discover Cars to take advantage of their great rates and NO FEE cancellation policy.

🚨 Disclaimer

This information is my first-hand experience of renting cars about 10 times in five Mexican cities. Unfortunately, I have no way of knowing how your rental process will play out, but I do hope this info was helpful for your Mexico trip.

If you need further clarification on Discover Cars, please contact the company directly. You can also read Discover Cars reviews on TrustPilot, where they have a 4.5 out of 5 Star rating, and about 100,000 reviews.

Renting A Car in Mexico City: FAQ

Is it safe to rent a car in Mexico City?

Yes — For the majority of travelers, Mexico City is one of the overall safest places in Mexico for tourists. This includes renting a car and driving in Mexico City.

downtown mexico city | 5 Day Itinerary for Mexico City
The highways and roads in Mexico, especially near the top Mexico travel destinations like Mexico City, are generally well-maintained.

That’s not to say bad things don’t happen in Mexico City; they absolutely do. However, if you’re prepared (which you will be after you read this article), you should be perfectly safe renting a car in Mexico City.

For a deep dive into the topic of Mexico travel safety, check out Is Mexico Safe to Travel to Right Now? If you’re traveling alone, there’s also this Ultimate Mexico City Solo Travel Guide.

🚨 Always check reviews when renting a car in Mexico City

One of the most important tips for renting a car in Mexico is this: Make sure you’re renting with a company that has good reviews. Even if it’s a car rental company you know and love, some locations are better than others.

I recommend and use Discover Cars because they compare local and international companies so you get the best rates from any Mexico City car rental services. Also, you can read reviews before booking.

I’ll be reiterating this point throughout the article because, quite frankly, renting a car in Mexico City (or anywhere in the world) isn’t always the smoothest or most pleasant process.

I have personally been scammed by a low-rated car rental company (in Miami, not Mexico) — so now, I happily pay more to rent from a reputable company.

Renting A Car in Mexico City

Is it safe to drive in Mexico City?

For the most part, it is considered safe to drive in Mexico City, and nearly all of Mexico.

Driving down Avenida Hidalgo in downtown, one of the main streets in Mexico City.

The one obvious caveat is that you’ll be driving in a foreign country, with different driving laws than your home country. Check out these 10 Mexico Driving Tips for Mexico City that will help you get comfortable.

How are the roads in Mexico City?

Most roads in Central Mexico, including places like Guanajuato City, San Miguel de Allende, Puebla, and the Mexico City roads, are good and generally well-maintained.

Unless you’re venturing off the beaten path on a road trip, you’ll be just fine with mid-size or economy cars. If you’re planning to drive in the more rural parts of Central Mexico, consider a full-size car, Jeep or SUV.

🚙 Mexico City car rental tips: You can also find SUV and Jeep rental Mexico City options on the Discover Cars site, as well as sports cars and other speciality vehicles.

Renting A Car in Mexico City

Should I rent a car in Mexico City?

Wondering, Should you rent a car in Mexico City Mexico? This is a personal choice that depends on your Mexico City itinerary, and if you’re doing a lot of Mexico City day trips or not.

woman in red bathing suit at Las Grutas Tolantongo natural hot spring pools near Mexico City
Las de Grutas Tolantongo hot springs is just one of the popular destinations you can visit when renting a car in Mexico City.

You’ll find an explanation below for why you should, and why you shouldn’t get a rental car in Mexico City Mexico.

🟢 Why you should rent a car in Mexico City

Car rentals in Mexico City Mx give you freedom. Even if you don’t want a rental for your entire trip, you can do a one day car or truck rental to visit a lot of places nearby in a short amount of time.

With your own car, you can venture off the beaten path to the lesser-visited hidden gems near Mexico City. These include Las Grutas Tolantongo, Valle de Bravo and Tepoztlan, one of the best Mexico pueblos magicos (magic towns).

Looking for more things to do near Mexico City? You have plenty of options within a 1-4 hours drive, which are highlighted in this article 17 Day Trips from Mexico City You Won’t Want to Miss.

🛑 Why you should not rent a car in Mexico City

colorful boat in xochimilco mexico city
Want to do a boat cruise in Xochimilco? You don’t need a rental car for that, and in fact, the safest and best way to visit is on a Xochimilco tour.

Now, if you just want to eat tacos, drink mezcal, see a lucha libre wrestling match, and simply walk around and experience all the best things to do in Mexico Cityskip the rental car in Mexico City!

Instead, opt for this private Mexico City airport shuttle to get to your hotel safely. If you’re staying at one of these best Mexico City hotels, you can walk anywhere you need to, or use Uber and public transport to get around.

To see the sites, you can book some of these best Mexico City tours. They’re all led by CDMX locals, so you bypass all the tourist traps.

Renting A Car in Mexico City

What’s the best car rental in Mexico City?

There’s no official best car rental in Mexico City, or best car rental in Mexico City Airport. Truthfully, I wish there were because I’d always use them too!

luxury hotels in mexico city | four seasons mexico city
Not sure where to stay in Mexico City? When it comes to the best luxury Mexico City hotels, nothing beats the Four Seasons Mexico City. (Photo: Expedia)

You’ll find all the major car rental companies there, like National, Sixt, Alamo Car Rental Mexico City, Budget and Hertz Mexico City — but read reviews before booking.

Last time I got a CDMX rental car, it was with Sixt Mexico City from their location on Avenida Reforma Avenue. I had a great experience with this car rental company in Mexico City.

I love renting with Discover Cars because I can see reviews from recent customers. For me, I’ll happily pay a bit more to rent from a well-rated company, as you do get what you pay for.

How much does renting a car in Mexico City cost?

Mexico City car rental rates vary, but plan for about $30 USD per day for an economy car with full coverage insurance.

When renting a car in CDMX, you may see rates as low as $5-10 USD per day 😲 If this seems too good to be true, it is.

This base cost doesn’t factor in fees, taxes and the legally-required Mexico car rental insurance, all of which you will have to pay for. Mexico City rental car rates vary, but assume about $30 USD per day for your rental car.

In this article, you’ll soon see why you can’t believe the first price you see quoted online, and discover your options for Mexican car insurance, which will affect the rental price.

Renting A Car in Mexico City

What’s the best company for cheap car rentals in Mexico City?

It’s hard to always find the cheapest car rental in Mexico City, but two inexpensive companies are Mex Rent A Car and Thrifty Car Rentals Mexico City — which you can book on Discover Cars.

From my personal experience, I’ve always found the cheapest car rental deals from Discover Cars. (Photo: Canva, Rental car Mexico City Airport)

Discover Cars compares local, national and international companies so you always get the best Mexico City car rental rates — even in the high season from November to March, when cars cost the most.

I’ve found the cheapest Mexico City car rentals from Nu Car Rental Mexico City airport, America Car Rental Mexico City and Mex Rent A Car Mexico City, which all have pretty good reviews.

🚨 Note: It is imperative you read Mexico City car rental reviews, as not all companies are created equal — and you don’t want your vacation ruined over a rental car.

🚨 Avoid this place when renting a car in mexico city airport

Based on many bad reviews, Fox Rent A Car Mexico City Airport seems to be the worst place to rent a car in Mexico City.

Note: Always remember not to skimp on excellent service for a cheap car rental, because you get what you pay for — and you don’t want your Mexico City vacation ruined over a terrible car rental experience.

Renting A Car in Mexico City

Can I rent a car in Mexico City?

Wondering, How do I rent a car in Mexico City?, or What do I need to rent a car in Mexico City? As far as what’s required to rent a car in Mexico City or anywhere in Mexico, there are only four things you need to get a Mexico rental car.

valle de bravo travel guide
Valle de Bravo is one of the best pueblos magicos in Mexico (magic towns), and located a short drive from Mexico City in your rental car.

1. A Valid Driver’s License (or IDP)

Wondering, Can you rent a car in Mexico with a US driver’s license? What about my Canadian or European license?

If you have a valid driver’s license in a language that uses the Roman alphabet (this alphabet!), you can rent a car in Mexico City with your country’s license.

Drivers from countries like Japan and China, which use the character alphabet, will need to get an International Driving Permit, or IDP. 🪪 Need an IDP? You can apply here.

2. A Valid Credit Card or Debit Card

When renting a car in Mexico City, they will swipe your credit or debit card to have on file in the event of damage to the car.

Different companies hold a different amount of money, but it’s usually about $1,500-3,000 USD. When you return the car undamaged, you’ll get that money back.

🚙💨 Car Rental Mexico City Tips: When leaving a card on file for any Mexico City car rental, opt for your credit card over debit card.

When you use debit cards, the company removes the money from your account — but with a credit card, the money is just on hold. If the money is debited, you might be (temporarily) out thousands during your Mexico City vacation!

Note: If you opt for full coverage insurance through the car rental company, they often don’t hold any money. This insurance is usually about $30 USD per day.

3. Mexico Car Insurance is mandatory

You do need car insurance to drive in Mexico. There’s a whole section of this article that covers everything you need to know about getting the best Mexican auto insurance, as it’s a big topic.

If you want to jump ahead, use this link to find out all about mandatory insurance in Mexico.

4. with most companies, You must be 25 years old

As with the U.S., anyone aged 25 and older can rent a car in Mexico City from any car company without restrictions.

Some companies do rent to drivers aged 21-24, though they often have a $10-20 USD per day surcharge for underage drivers.

There is a small minority of Mexico car rental companies in Mexico City that rent to drivers aged 18-20.

For 18- to 24-year-olds renting a car in Mexico City, make sure to double check each company’s policy before booking to see which one offers the best option for underage renters.

Renting A Car in Mexico City

What kind of Mexican cars are for rent?

For the most part, you’ll find the same makes and models you will in the United States and Canada. The most common types of rental cars in Mexico City are Nissan, Chevrolet, Volkswagen and Kia.

I’ve found the best car rentals with affordable prices from Discover Cars. (Photo: Canva, Car rentals Mexico City Airport)

Besides those, some common companies in Mexico that aren’t common in the U.S. include Peugeot and Renault, both French companies.

ARE Mexico City RENTAL CARS AUTOMATIC OR STICK SHIFT?

Most Mexico City rentals are automatic, unless you’re renting a specialty vehicle like a dune buggy, sports car or any of the top name luxury cars.

When you book with Discover Cars, all cars are labeled as automatic or manual (stick shift), so you know what you’re getting.

What side of the road do they drive on in Mexico?

You drive on the right side of the road in Mexico City and all Mexico, the same as the U.S., Canada and most of Europe.

Note: If you have any general questions like this, don’t hesitate to ask when you pick up your reservation at the car rental agency.

Renting A Car in Mexico City

What are the top Mexico City car rental companies?

All the big name car rental companies also have a rental office in Mexico City — like Budget Mexico City, Thrifty, Dollar Rent A Car Mexico City Airport, Ace, Sixt Mexico City, Avis Car Rental Mexico City, National, Enterprise and Hertz Car Rental Mexico City.

Teotihuacan tours Pyramid of the Sun
Located about 1.5 hours from Mexico City, the Teotihuacan Ruins are just one of the places you can visit in your CDMX car rental.

If you prefer to use a Mexican company to support the local economy, three of the best local car rental companies in Mexico City are Mex Rent A Car and America Car Rental Mexico City.

🚙💨 Car Rental Mexico City Tips

Wherever you choose to rent a car in Mexico City, make sure to read reviews about that particular location. While some companies are generally good, they might have a location that’s sub-par.

easiest way to book a car rental in Mexico City

I have found that the best place to book a car in Mexico City is Discover Cars. In fact, I have used them when renting a car in Mexico City myself.

Using an aggregate search service means you get the best deals, because Discover Cars checks all Mexico City car rental company options at once, so you get the best price at the highest-rated companies.

Mexico City Airport Car Rentals: FAQ

What’s the best place to rent a car in Mexico City?

There are actually a few answers to this question — one is Mexico City International Airport, the second is near Centro Historico, or Downtown Mexico City.

cancun airport car rental sign
The drive from Mexico City Airport to Downtown Mexico City takes about 40 minutes in normal traffic. (Photo: Canva, Rent a car in Mexico City Airport)

A Mexico City Airport car rental is the most convenient, since you’re flying there anyway, and you’ll need some way to get to your Mexico City hotel somehow!

You’ll find the most rental car companies at Mexico City Airport, with a wide range of vehicles to choose from. Another location with a lot of options in Avenida Reforma Avenue, located near downtown CDMX.

Regardless of the location in town you choose, I recommend and personally use Discover Cars when renting a car in Mexico City, getting a rental car in Mexico City Airport, or really anywhere in Mexico.

I have also found Discover Cars has the cheapest Mexico City car rentals. When paired with their Full Coverage Plan, you also end up saving there also because their coverages averages $7-10 USD per day.

🛬 Mexico City Airport Car Rentals

Since you’re flying into Mexico City Airport anyway, and then you have to drive to your hotel or final destination, the best place to rent a car in Mexico City is Mexico City International Airport (code: MEX).

You’ll find the most rental car companies there, with a wide range of vehicles to choose from. With so many companies on-site, rental cars in Mexico City Airport are usually cheaper than even the cheapest Mexico City car rentals.

🚙 Mexico City Car Rentals Online via Discover Cars

If you’re already in Mexico City and want a rental car, head to the car rental website for Discover Cars and look for a rental car that way. This option works best if you’re renting a day or more in advance.

Find Your Rental Car

🚙 Mexico City Car Rentals In Person

If you’re looking for a same day Mexico City car rental, you’ll want to do that in person. There are several Mexico City car rental locations in town, but last time I rented a car in Mexico City, I got it from a location on Avenida Reforma.

🤔 Is the airport cheaper than off-site rental agencies?

While a car rental in CDMX Airport might cost a bit more than an off-site agency, you end up spending more in taxis to get to said off-site location than you save in rental costs.

It also saves you time to rent a car in Mexico City Airport — and time is the most precious of all travel commodities. Speaking of precious travel time, check out these Mexico City itineraries to plan your trip.

Renting A Car in Mexico City airport

What’s the best car rental at Mexico City Airport?

There’s no official best car rental at Mexico City Airport. You’ll find all the major car rental companies there, like Hertz, National, Sixt and Alamo, but do read reviews before booking.

Tepoztlan is one of the best day trips from Mexico City, and a must-visit when renting a car in Mexico City Mexico.

Different people can have a totally different experience with the same company, but if you do have a preference, you’ll find all the top international car rental companies and corporations in Mexico City Airport.

If you prefer to use a Mexican company to support the national economy, two of the best car rental companies in Mexico City are Mex Rent A Car and Europcar Mexico.

Renting A Car in Mexico City airport

What’s the cheapest car rental company in Mexico City Airport?

When I rent a car in Mexico City, I always use Discover Cars. They work with local Mexican companies and large international companies, so you get the cheapest price.

Oftentimes, I have found the cheapest Mexico City car rental companies are Mex Rent A Car Mexico City and Thrifty Rent A Car Mexico City — both of which you’ll find on Discover Cars.

However, don’t forget to read reviews from recent customers before booking. You get what you pay for, so never go with a low-rated company, no matter which you choose. (I can’t stress it enough: Always check ratings before you book.)

The best part? You can add their Full Coverage Policy for only about $7-10 USD per day. It is cheaper than any full coverage Mexican insurance I’ve ever seen through a rental company, and I always use it myself.

With this, you’re fully covered for up to $58,500 MXN pesos (about $3,250 USD) — including damage to the car, towing, lost keys, and much more. For just $7-10 USD per day, it’s really amazing how much they offer for so little.

Renting A Car in Mexico City airport

5 Tips for Renting a Car in Mexico City Airport

large pink gothic style church in san miguel de allende mexico in front of a well manicured park/garden with trees cut into topiary style circles and colorful buildings in colonial architecture styles surrounding the town square
San Miguel de Allende is just one of the popular destinations you’ll want to visit when renting a car in Mexico City Mexico.
  • Rent with a reputable company like Discover Cars, the company I recommend and have used myself about 10 times.
  • Take photos and/or video of all scratches, dings and dents to the car’s exterior. You’ll want to do the same for the car’s interior, noting stains, rips in the fabric, etc. 
  • Have all your emails accessible with any rental agreement booking information. If you want, you can print them out, though it’s not necessary.
  • Some companies will not let you take the car if you don’t have Mexico car insurance, so be prepared with a backup plan.
  • When returning your rental car at Mexico City Airport, you’ll want to follow the signs saying Renta de Autos (Car Rentals), and then look for the sign of whichever company you rented from.
Renting A Car in Mexico City

Is there Uber in Mexico City?

Yes — You have plenty of Mexico City transportation options. The most-used Mexico City ride share apps include Uber, DiDi, Cabify, Bla Bla Car, Beat and In Driver.

Woman standing in the street holding her phone waiting for an Uber

Can Uber pick up at Mexico City Airport?

Yes — Uber, DiDi and all the ride share apps used in Mexico City are allowed to do airport pick-ups.

Besides Mexico City Uber, there’s also taxis, public buses, scooter rentals, the Mexico City Metro, and even a bike-share program called EcoBici.

Here are a few things to keep in mind regarding Mexico City public transportation safety:

  1. Do not hail cabs off the street, especially after dark. Instead, look for the official taxi stations, called Sitios.
  2. Be extra careful with your belongings in the Mexico City Subway. As with metros in most big cities in the world, this one is known for pickpocketing.
  3. Buses in Mexico City can get very crowded during rush hours, when people cram in like sardines. If you can, only use them during off-hours.
Renting A Car in Mexico City

What’s the best way to get around in Mexico City?

CDMX is very walkable, and has nice weather year-round, for those who want to walk. You can also use Uber, taxis and public transportation as needed.

Trees and skyscrapers along Reforma Avenue
Besides your Mexico City rent a car, the best way to get around town is by walking, using Uber or public transport, like scooter rentals and the Eco-Bici bike-share program.

As you can see in this section on Why you should not rent a car in Mexico City, I actually don’t recommend a Mexico City car rental for everyone who’s traveling to Mexico City.

In fact, if you’re just staying in Mexico City itself, you might want to skip the rental car. Now, for the best day trips from Mexico City, a rental car is the way to go because you can actually do a few day trips in one day.

🚲 Mexico City Bike Rentals

One of the most fun ways to see Mexico City is by bicycle. Mexico City has the great EcoBici bike share program available, and you can buy a one week pass for less than $20 USD, or a one year pass for about $30 USD.

With your EcoBici membership, you can explore Chapultepec Park, the Coyoacan Mexico City neighborhood, Historic Downtown Mexico City, Colonia Roma Norte, La Condesa, and other areas of Mexico City.

🛵 Mexico City Scooter Rentals

There are also scooter sharing apps, like Bird and Lime. To use these, download the app(s) you need and you’ll be promoted on usage. They are one of the most fun ways to get around CDMX.

Renting A Car in Mexico City

Do I need Mexican car insurance for Mexico City?

Yes — You do need insurance for driving in Mexico City, driving in Mexico and for driving to Mexico if you’re coming across the border in your own car.

travel insurance for mexico
While general Mexico travel insurance is not mandatory to have, don’t need travel insurance to visit Mexico — but you do need Mexico driving insurance to drive in Mexico.

You must have Mexican Personal Liability Insurance to legally drive in Mexico, and some car rental companies won’t let you take their cars unless you purchase it from them.

While Mexico car rental companies aren’t technically allowed to make you buy insurance from them — the most you can do is argue with them, and at worst, they just won’t let you rent the car.

This has become especially true of people who try to use U.S. credit card insurance. (More on insurance through a credit card in a minute.)

I rent cars in Mexico a few times each year, and have never had any issues using the Full Coverage Policy I have purchased through Discover Cars.

Legally, third party insurance is completely valid.

However, that’s not to say an agent won’t try to up-sell you their company’s insurance. They will! Some companies actually encourage employees to do so — which is why you want to read reviews before booking.

While Mexico car rental companies aren’t technically allowed to make you buy insurance from them, the most you can do is argue with them. As a worst case scenario, they just won’t let you rent the car.

For the least amount of headaches on your Mexico City trip, buy insurance from the company you’re renting from. If you get full coverage, you could essentially return it in any condition, and should not have to pay them a single cent.

Renting A Car in Mexico City

How much is Mexican car insurance?

Different companies price coverage differently, but in general, Personal Liability Insurance (the minimum coverage legally required) is about $15 USD per day. For full coverage insurance, plan to pay about $30 USD per day.

When I’m renting a car in Mexico City, I always use Discover Cars. Their Full Coverage Policies only cost about $7-10 USD per day. ▶︎ Book now with Discover Cars

With just Personal Liability Insurance, you’ll usually have about a $2,000+ USD deductible. The full coverage deductible is often $0, because you’re already fully covered (though Terms and Conditions can vary by company).

If you’re wondering, What’s the best Mexican car insurance? The answer would be full coverage with no deductible.

🤔 What is a CAR INSURANCE deductible?

many card driving on a road, going in both directions | renting a car in mexico
Driving in Mexico is not too dissimilar to driving in the U.S. or Canada. (Photo: Canva, Best car rental Mexico City Airport)

If you aren’t familiar with what a deductible is, here’s a quick explanation.

If you have a $5,000 USD deductible, and you cause $5,250 in damages to the car, you will be responsible for paying the $5,000 deductible. The insurance will cover the remaining $250, after you cover the deductible amount.

As what you select will depend on your budget, do know that cheap Mexican car insurance is one of those “you get what you pay for” type of situations.

If you’re wondering what’s the best Mexican car insurance, that would be full coverage with no deductible.

Renting A Car in Mexico City

What if I have Mexican car insurance through my credit card?

Some U.S. credit cards provide Collision Damage Waiver (CDW Insurance) for their card holders. This is not the equivalent of Personal Liability Insurance, which you’re required by law to have.

Wondering how to avoid paying car rental insurance in Mexico?

Legally, you can’t but some car companies will let you take a rental car with just CDW insurance; but many won’t. In year’s past, this was a more common thing, but nowadays, it seems companies have cracked down.

To be clear: CDW is not the equivalent of Personal Liability Insurance, which you’re required to have. CDW Insurance does not satisfy the minimum Mexico driving insurance liability that Liability Insurance does.

This is just one more reason I always opt for Full Coverage when I rent with Discover Cars. Their policy means I am fully covered in Mexico for any damages to the car up to $58,500 pesos, and I won’t pay out of pocket.

The last time I rented a car, which was in Mexico City (notoriously more expensive than most Mexico City rental agencies), I paid just $10 USD per day for a Discover Cars Full Coverage Policy.

OUR PICK

red car on the beach

BEST MEXICO CAR RENTAL COMPANY: Discover Cars

When booking your Mexico car rental online, I recommend and use Discover Cars. They search international corporations and local Mexican companies, so you get the best deal — and have FREE cancellation up to 48 hours before your rental.

🚨 Horror stories of using credit card insurance in Mexico

I have been in Mexico long enough, and heard enough horror stories, that I always tell people not to rely on credit card insurance.

If you do opt for it, you’ll want to call the credit card company and double check their policies (even the fine print), so you know you’re comfortable with it.

Also, know that if anything happens to the car, you will have to pay for 100% of the damages out of pocket when you return the car in Mexico City. You’ll then file a claim with the credit card company, and hope they fully reimburse you 🤞

Spoiler: They don’t always do so.

🚙 Purchase Third Party Mexico Car insurance

You can also buy a separate Mexican auto insurance policy from a Mexican insurance company or a U.S. company that works with Mexican insurers, like Baja Bound, Allstate and Geico.

Driving to Mexico with your own car? Get your FREE quote on Mexican Insurance from Baja Bound so you can cross the U.S.-Mexico border without any issues or delays.

This is called Third Party Liability Insurance (sometimes called TPL insurance, or PLI insurance), it is 100% legal. It is also enough to satisfy the Mexico Personal Liability Insurance requirement.

Depending on where you’re renting, this can be the cheapest Mexico driving insurance and cheapest Mexico car insurance for drivers who need extra coverage.

📝 Purchase general Mexico travel insurance — With a car insurance add on

Another option is to purchase a travel insurance policy for Mexico, and get an upgrade to include your Mexico City rental car.

For this, purchase the Explorer Plan with World Nomads, one of the best Mexican travel insurance providers and top names in travel insurance.

Note: This is only offered on the Explorer Plan. ▶︎ Get your FREE quote now

Does US car insurance work in Mexico?

No — You will need a Mexican insurance policy. However, you can get one at the same time you rent your car in Mexico City, as the vast majority of rental companies offer it.

Renting A Car in Mexico City

What’s the Mexican Car Rental Scam?

What’s commonly known as a scam that’s specific to renting a car in Mexico, is a common practice at U.S. car rental companies as well.

tula ruins in mexico
If you’re not renting a car and driving to the top attractions in Mexico City and near the city, you’ll want to book these best tours in Mexico City.

How this is legal anywhere, we may never know, but here’s the rundown on this common rental car scam:

Months before writing this article, I booked a Miami rental car online. When I picked it up, I had to pay $200 USD in extra charges, taxes and additional insurance costs.

If this has also happened to you, you’re already familiar with the “Mexico car rental scam” — which isn’t exclusive to Mexico.

If you’re lucky enough to have never fallen victim, the scam in question is that most renters don’t read the fine print (who does?!) and aren’t aware of the fees, taxes, etc., that get tacked on.

For many, the price you end up paying is double what you saw online when you booked the car.

Renting A Car in Mexico City

How to avoid this Mexico City rental car travel scam

When looking online to rent a car in Mexico City, you’ll see rates as low as $5 USD per day. You’re probably thinking that’s too good to be true, and you’re right.

This base cost doesn’t factor in a slew of fees, taxes and the legally-required Mexico car rental insurance, all of which you have to pay for.

To avoid this most notorious of Mexico travel scams, simply double the price you see online listed as the base price for the car if you’re taking the minimum insurance, and triple it for full coverage.

This new amount is closer to what you end up paying anyway — and now you won’t feel so scammed.

BEST WAY TO CALCULATE Mexico City CAR RENTAL COSTS

For a car rental listed online as $10 USD per day, assume you’ll pay closer to $20 per day for this car with taxes, fees and Mexico Personal Liability Insurance (minimum required coverage).

With full Mexican insurance coverage, it should be closer to $30 per day.

Annoying? Sure is — but this is just the way car rental companies seem to work.

Renting A Car in Mexico City

3 Other Mexico City travel scams to look out for

man pumping gas
When driving in Mexico City or anywhere in Mexico, you won’t pump your own gas.

1. Non-Reset Pump Scam

In Mexico, you don’t pump your own gas. When you get to the pump, there will be an attendant who pumps and takes your payment.

When you pull up, make sure the pump is zeroed out — meaning the pump is set to $0. Some attendants will even ask you to verify before they start pumping.

2. Extra Insurance Scam

Unless you purchase Mexico car insurance from the rental agency directly, they will try to upsell you extra services and coverage.

There is no need to pay this extra insurance cost if you already have coverage — which I purchase when renting with Discover Cars, as it’s the cheapest I’ve seen.

3. Quick Change scam

This is a pretty standard bill swap, or wrong payment scam that can happen at a gas station in Mexico just as it can while shopping at a mall or market anywhere in the world.

If you’re paying in cash, count the bills one by one in front of the attendant, otherwise they can quickly change the bills with sleight of hand after you give them the money.

With this scam, they take your money and quickly swap out a $500 peso bill with a $20 peso bill, saying you gave them a $20 when it should have been a $500.

They hand you back the $20 and you hand them a $500, so they have essentially pocketed $480 pesos (about $24 USD).

Note: This won’t ever happen to you if you pay with a credit card.

10 Mexico City Driving Tips

cabo san lucas nightlife

1. Avoid driving at night in Mexico

When you live in Mexico as long as I have, you realize many people simply avoid driving at night, if possible. If you do drive at night, stick to only main roads and paid highways, called cuota roads.

2. Always use the cuota roads (Toll roads in Mexico)

In Mexico, there are libre roads (free roads), and cuota roads (paid toll roads).

For longer drives, and when doing any Mexico City day trips, always opt for the cuota roads. While the toll roads do cost more, they are better maintained and generally considered safer for drivers.

🚙💨 Car Rental Mexico City Tips: When driving in Mexico City and all Mexico, make sure to have small bills and coins to pay for the tolls. Some take U.S. dollars, but it’s still better to have pesos.

Renting A Car in Mexico City

3. Beware of topes (Speed bumps)

Though slowing all the way down for topes extends your travel time, it’s still a good idea!

Mexico roads are notorious for an abundance of topes (pronounced toe-pays, and meaning “speed bumps”).

While some roads have bright yellow road signs that do alert you to the topes, keep your eyes on the road at all times, as some topes don’t have a sign — and can cause serious damage to your Mexico City rental car.

4. Download an offline map for driving in Mexico City

Your cell signal may go in and out when driving in Mexico City, especially if you venture to rural places in Central Mexico — so you’ll want to download an offline map from Google Maps or Maps.Me.

📲 Car Rental Mexico City Tips: For the best possible cell signal, get a Mexico SIM Card.

Renting A Car in Mexico City

5. Don’t use your cell phone while driving in Mexico

woman texting while driving
It is both unsafe to use your phone while driving, and also illegal in Mexico. (Photo: Canva, Driving tips for Mexico City)

Not only is it unsafe to use your phone while driving, it’s also illegal in Mexico. (🇲🇽 Mexico Fun Fact: It’s also illegal to put on make-up or shave while driving.)

In fact, even simply holding your phone is an easy way for you to get pulled over. To be fully compliant with Mexican laws, you’ll want to add this hands-free phone holder to your Mexico packing list.

6. Window cleaners may approach you at stop lights

When you’re at stop lights in Mexico City, you may be approached by someone offering to clean the car windshield.

There’s no set amount to pay for this, but $10 pesos ($0.50 USD) is a standard amount — and well worth it for a nice, clean windshield.

Renting A Car in Mexico City

7. Mexico speed limits are in kilometers per hour

kilometers per hour road sign on a street
When driving in Mexico, road signs will be in Spanish and km/h, not mph. (Photo: Canva, Renting a car Mexico City)

Mexico street signs are not in not miles per hour; they are in kilometers per hour. For those who are curious, 1 mile is 1.6 kilometers.

Rather than having to do math as you’re driving in Central Mexico and Mexico City, just make sure the number on the speed limit sign matches the number on your speedometer.

As you might imagine, the street signs and highway signs in Mexico are also in Spanish. Here are a few you’ll want to know:

  • Alto: Stop
  • Retorno: Turn-around, which is where you make legal U-turns
  • Entrada: Entrance
  • Salida: Exit
  • Restringido: Restricted area
  • Prohibido: Entry prohibited

8. Mexico gas stations are not self-serve

When you stop for gas, an attendant will pump it for you and take the payment. Many attendants don’t work for the gas station, and live off tips.

When they finish, it’s customary to tip them $10-20 Mexican pesos ($0.50-1 USD), or more if you ask them to perform a service like checking your tires.

Renting A Car in Mexico City

9. Mexico traffic lights have an extra step

In Mexico, stop lights go from green to yellow, to flashing yellow for a few seconds, to finally, a red light. Some lights go from green, to flashing green for a few seconds, to yellow, to red.

🚦 Note: This doesn’t mean you should speed up to get through a yellow light; you are still legally required to stop at yellow lights, just like in the United States.

10. Yes, Mexico cops do take bribes

If the cops pull you over, and they usually only will if you give them a reason to, they often expect a cash “payment” in exchange for not ticketing you.

While I’m not defending this practice in any way, I am saying the easiest way to make the problem go away is by paying them 🤷‍♀️

Yes, this “payment” will suck. However, the worst-case-scenario alternative can be sitting in a Mexican jail instead of enjoying your Mexico City trip — so which would suck more?!

🚔 Article 152 & Tarjeton Turistico

About 10 years ago, the Mexican government implemented Article 152, though efforts fell flat.

The Tarjetón Turístico tourist card was intended to end police bribes on tourists, so it’s sad the program failed, but if you see anything about Mexico Article 152 online, it’s no longer operational.

Final Thoughts: Renting A Car in Mexico City

Driving in Mexico City is generally considered safe, and getting rental cars in Mexico City is usually a simple, hassle-free process.

However, picking the right company to rent with could mean the difference between a fun Mexico City vacation and a headache — so always check reviews before booking.

One of the most important things to keep in mind for a Mexico car rental, is to rent with a reputable company like Discover Cars. I also recommend their Full Coverage Policy, which I always use.

If not, make sure you also purchase Mexican car insurance, as you’re not covered in any way through your U.S. or Canadian policy while driving in Mexico.

For the sake of convenience, pick your rental up at Mexico City International Airport (code: MEX) when you fly in. This is the airport closest to Downtown Mexico City.

You can also rent a car in Mexico City itself, especially near Downtown Mexico City and on Reforma Avenue. Here, you’ll find plenty of international companies and local rental agencies.

Looking to rent a car in other parts of Mexico?

Check out these linked guides so you understand the process at car rental agencies throughout the country, and you avoid getting scammed when renting a car in Mexico.

🚙 Renting a car in Yucatan Peninsula

🚙 Renting a car in Baja Mexico

🚙 Renting a car in central Mexico

Share this article ⤵️