How to Rent a Car in Singapore

How to Rent a Car in Singapore

Your Quick Start Guide to Singapore Car Rental

Photo by Negative Space
WRITTEN BYBryan Jacinto
PUBLISHED ONNovember 27, 2023
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Renting a car in Singapore might be easier than you think. Numerous car rental companies offer various types of cars to accommodate different needs and budgets.

The information in this guide will give you the necessary knowledge to rent a car and start driving in Singapore confidently. Get ready to learn everything about renting a car in Singapore. This includes the process, pricing, and driving rules. We’ll also give you tips for driving on its roads. So why wait? Let’s start making your journey of driving in Singapore an unforgettable voyage of discovery.

Age Requirements

The general rule of thumb in Singapore is to rent a car at least 23 years old. However, the minimum age requirement can vary depending on the specific rental company’s policy.

It’s essential to note that both younger and older drivers might need to meet certain special conditions.

  • Young Drivers: If you are under the age of 25, you might be subjected to additional fees — what many rental agencies term “young driver surcharge.” This policy is in place due to insurance considerations that categorize younger drivers as high-risk.
  • Senior Drivers: Most car rental companies in Singapore do not have an upper age limit. However, checking with the individual company is essential as policies can vary. Some might require proof of good health or ask for more comprehensive insurance coverage.

How the Rental Process Works

When you are in Singapore and need to rent a car, it’s important not just to pick up the keys and drive off. There’s a process to follow, and it looks something like this:

Decide on the Type of Car

Choose the type of car that suits you best based on your needs, such as the size of your travel party, luggage, and personal preferences. Do you need a compact car for easy city driving or an SUV for a family vacation?

Book Your Car

Once you’ve made a choice, the next step is to make your booking. You can do this through the rental company’s website, over the phone, or in person.

Documentation and Verification

Be ready with necessary documents, which usually include, but are not limited to, your driver’s license, identification card, and credit card. Some companies may require an International Driving Permit (IDP).

Pick up the Car

At the agreed time, show up to collect the vehicle. Inspect the car thoroughly for damages before you leave the premises, and familiarize yourself with the vehicle’s controls.

Return the Car

When you’re done, return the car to the specified location (unless you agree on a different drop-off point). Check the fuel level and make sure the vehicle is clean and free of personal belongings.

That’s the basic process but remember: each rental company in Singapore may have its own specific requirements or procedures. So, always contact the rental company to ensure you have all the correct information.

Financials: How Much Does It Cost?

Considering a car rental in Singapore? The cost can profoundly impact your plans. Here’s what you need to know about car rentals.

Average Daily Rates

As a rule of thumb, you can expect to shell out between SGD 70 and SGD 150 per day for an economy or compact car. Luxury and commercial vehicles can cost anything upwards of SGD 200 per day. These rates can increase or decrease depending on several factors. But don’t worry; we have outlined these varying factors below.

Key Factors Affecting the Price

  • Car Category: The type of car you’re renting significantly affects the price. For instance, an economy car rental is cheaper than an SUV or a luxury car.
  • Duration: With most car rentals in Singapore, you’ll often find that the longer you rent, the cheaper the daily rate.
  • Season: Prices tend to spike during peak tourist seasons and national holidays. Booking in advance can help avoid these hefty charges.
  • Insurance: Opting for additional insurance coverage will add to the overall cost of your rental.
  • Pick-up Location: Picking up the car directly from the airport or at a downtown location can affect the price.
Car CategoryAverage Daily Rate
EconomySGD 70 - SGD 100
CompactSGD 80 - SGD 120
LuxurySGD 200+
CommercialSGD 200+

To get the best value for your money, comparing prices among different rental agencies is pivotal. Don’t forget to read the fine print for any hidden costs.

Insurance Considerations

If you’re planning to rent a car in Singapore, it’s important to understand the ins and outs of insurance. Knowing this will protect you in case of unforeseen circumstances and make your journey stress-free. Here’s what you need to know:

Should You Pay for Extra Insurance?

Renting a car in Singapore often comes with optional extra insurance, similar to considering the best car insurance in Singapore for your travels there. Understand the insurance options and their pros and cons to make an informed decision.

Several types of insurance are typically offered when you’re renting a car. They include:

1. Collision Damage Waiver (CDW): Limits your financial liability for damage to the rented vehicle.

2. Supplemental Liability Protection (SLP): Provides additional coverage for damage you might cause to other people’s property.

3. Personal Accident Insurance (PAI): Covers medical costs for the driver and passengers in the event of an accident.

4. Theft Protection (TP): Covers you if the rental car is stolen.

Now, for the big question: Are these various types of insurance worth the additional cost? Let’s take a look at the pros and cons:

  • Extra insurance offers peace of mind, knowing you’re protected against several potential disasters.
  • It limits your financial liability in the event of an accident, theft, or damage.
  • Having ample coverage can make the rental and post-accident process smoother and less stressful.
  • Additional insurance can significantly increase the overall cost of renting a car.
  • Some additional coverage types might duplicate protections already provided by your personal auto or travel insurance.
  • Many car rental companies tend to exaggerate the need for added insurance, causing customers to pay for unnecessary coverage.

Deciding on extra rental car insurance in Singapore depends on your situation. Consider your current coverage, finances, and comfort level.

Supplemental Liability Insurance

Supplemental Liability Insurance, in the simplest terms, is an optional insurance policy that provides additional liability coverage above the minimum legal requirements. In the event of a mishap, SLI can cover third-party accident-related expenses such as medical bills or property damage. This coverage extends beyond what the basic liability insurance covers.

The Relevance of SLI in Singapore

Now, you may ask, “Is it necessary in Singapore?” Here is what you need to know:

  • Liability requirements: In Singapore, the law requires car owners (including rental companies) to have minimum liability coverage. This basic coverage often falls short in the event of an accident.
  • Additional coverage: SLI provides you with an additional layer of protection. If your car damages another person’s property or someone gets hurt because of your vehicle, SLI can cover the expenses.
  • Peace of mind: With SLI, you know you’re not financially responsible for over-the-top damages or medical bills. This assurance doesn’t come with basic liability insurance.

The decision to purchase SLI ultimately depends on your personal preference and risk tolerance. SLI may be a worthwhile investment if you prioritize peace of mind while driving and wish to avoid unforeseen financial burdens.

Best Credit Card to Use

Regarding car rentals in Singapore, opting to uyse a credit card to facilitate the transaction can often unlock a host of benefits. But which credit card should you choose? The answer largely depends on the inherent features offered by specific card types and how these features align with your rental needs.

Here are some noteworthy credit cards that provide exceptional benefits in this domain:

  • Chase Sapphire Reserve: Primary car rental insurance, 3x points on travel after earning your $300 travel credit.
  • American Express Platinum Card: Secondary insurance, but offers the opportunity for primary coverage for a small fee, accelerated reward points for travel bookings.
  • Citi Premier Card: Secondary protection, 3x points on travel, including gas stations.

When you understand the numerous benefits of various credit cards, you unlock significant value during your car rental transactions. So, be sure to do your research and choose wisely!

The legal aspects of car rentals in Singapore may appear complex. Don’t worry; we’re here to make it clear to you. Here’s a simplified overview of the main legal necessities and documents needed to rent a car in Singapore.

First and foremost, you must hold a valid driving license. If you’re a foreign national, your international driving license is acceptable, but there are some specifics to note:

  • If your license isn’t in English, you must have an International Driving Permit (IDP) alongside your national license.
  • If you’re an expat who’s been residing in Singapore for more than 12 months, you should convert your foreign license to a Singaporean one to drive legally.

International Driver’s Permit

If you’re planning to rent a car in Singapore, one crucial piece of information you need to know is the requirement for an IDP. But what precisely is an IDP, and do you really need one?

An IDP is a document that allows you to drive a private motor vehicle in another nation when accompanied by a valid license from your home country. It is translated into multiple languages and is recognized internationally.

Now, let’s answer the all-important question: Is an IDP required to rent a car in Singapore?

  • If you hail from an ASEAN country, the answer is straightforward: No. Your license, written in English or translated into English, will be sufficient as ASEAN licenses are valid in Singapore for a year from the date of your entry into the country.
  • However, you will need an International Driving Permit for Singapore and your foreign license if you are from a country outside the ASEAN region. However, note that your foreign license must be in English, or you must have an official English translation to accompany your International Driving Permit when driving in Singapore.

You must double-check whether an International Driver’s Permit will be required for you. This requirement varies based on your nationality and the specific policy of the car rental company. For the most accurate information, you should check with the Singaporean Traffic Police or the car rental company you plan to use.

Picking a Vehicle

Planning your journey involves choosing the right vehicle. Your choices should consider your travel plans and personal needs to ensure comfort.

Before selecting, it’s crucial to determine your specific vehicular needs. Here are a few aspects for your consideration:

  • Travel schedule: If you’re planning a lengthy stay, a more comfortable and spacious vehicle might be worth your consideration.
  • Passenger count: Your choice of vehicle should accommodate all passengers comfortably. Think about whether a compact car would suffice or if you should opt for a minivan or an SUV.
  • Terrain conditions: Singapore’s urban infrastructure is generally well-maintained, but an SUV might be a good choice if you intend to traverse any rugged areas.

Selecting an Appropriate Vehicle

Now that we’ve covered your requirements let’s go over some potential vehicle options:

  • For solo travelers or couples: A compact car or a sedan offers ample space and tends to be easier to navigate and park within city limits.
  • For family trips: A crossover, SUV, or minivan will provide the extra space needed.
  • For off-road expeditions: An SUV would be your best bet because of its rugged build and higher ground clearance.

Remember that the cheapest vehicle may not always be the most suitable for your needs. Sometimes, paying a bit extra for comfort and convenience can prove to be a worthwhile investment in the long run.

Areas Worth Exploring with a Rental Car

Renting a car in Singapore can offer an exciting driving experience. Explore the following regions and attractions at your leisure. They perfectly blend urban scenery and natural beauty, making them worth driving to with your rental car.

East Coast Park

Best known for its scenic beauty and sea-facing restaurants, East Coast Park is a must-visit spot for those with a penchant for nature and food. And who wouldn’t want the pleasure of driving along a beachfront filled with luscious green spaces?

Marina Bay Sands

A city in and of itself, Marina Bay Sands radiates an urban charm that is best experienced by driving. The Sands SkyPark and Gardens by the Bay are sights to behold, especially when illuminated at night.

Orchard Road

If luxury shopping is your forte, driving down Orchard Road is an absolute treat. Singapore’s premier shopping street is a boulevard lined with designer boutiques, high-end department stores, and fancy eateries.

The Southern Ridges

The Southern Ridges is a treat to the eyes if you are a nature lover. A beautiful amalgamation of parks and natural sites, this stretch is perfect for a peaceful and scenic drive.

Choosing Rental Companies and Insurance Providers

When you’re planning to rent a car in Singapore, your first step should be selecting a suitable rental company and an appropriate insurance provider. This might seem daunting, but don’t worry; we’ve got you covered.

Car Rental Companies

Navigating the streets of Singapore is a breeze when you opt for a rental car. Singapore is jam-packed with many reputable car rental companies ready to provide outstanding service to suit your specific requirements.

Here are some examples of established car rental companies in Singapore:

  • Avis Car Rental: Known worldwide, Avis provides an extensive selection of vehicles for your needs.
  • Budget Rent-A-Car: As the name suggests, Budget offers affordable options without compromising quality or comfort.
  • Hertz: With its many years in the business, Hertz is recognized for its reliable and professional services.

All of these rental companies cater to a range of preferences and budgets, ensuring there’s something for everyone.

Are you curious about which company offers the best deal? Or perhaps you’re looking for a luxury ride for a special occasion? Whatever your needs might be, we’ve streamlined the process and researched for you.

Gain insight and save time by checking out our related article about the best car rental companies in Singapore. This comprehensive guide provides a detailed comparison of Singapore’s leading car rental companies’ services, benefits, and deals.

Car Rental Insurance Providers

The right insurance will cover you against accidents, theft, and damage, giving you peace of mind as you navigate the city-state.

Here are some of the top car rental insurance providers in Singapore:

  • NTUC Income
  • Etiqa Insurance
  • DirectAsia
  • FWD Singapore
  • Aviva Ltd
  • HL Assurance

Each provider offers specific coverages and packages designed for different types of renters and vehicle usage. It’s important to compare their offerings and determine what fits your needs best.

Pick-up and Drop-off Locations

Picking the right pick-up and drop-off locations for your rental car in Singapore can be crucial in making your travel comfortable and hassle-free. Here are a few simple tips for you:

  • Convenience: Always remember the golden rule – Location is king. Choose a pick-up location that’s convenient and easy for you to reach to start your rental contract off on the right foot. Similarly, select a drop-off location that’s close to your final destination.
  • Operating Hours: Before selecting a location, check whether it matches your arrival or departure time. Some rental offices may only operate during business hours, which may not coincide with your schedules.
  • Additional Charges: Some locations may charge additional fees for pick-up and drop-off services. Be aware of these charges and consider them in your budget.

A perfectly planned trip includes a mindful selection of pick-up and drop-off points. Taking time to plan this can save you plenty of time and make your journey smoother.

Additional Charges and Extra Costs

Renting a car in Singapore can bring additional costs that may make your deal more expensive. What are these charges?

  • Late return fees: If you exceed the agreed return time, you may be subjected to late return fees. This charge is typically calculated on an hourly basis.
  • Extra mileage fees: Most rental companies offer a set number of miles per day. If you drive more than those miles, you could be charged extra.
  • Additional driver fees: If you plan on sharing the driving responsibilities, you might have to pay an additional driver fee. This varies depending on the rental company’s policies.
  • Fuel charges: Some companies will charge you for the fuel used during the rental period, depending on whether or not you refuel the car before returning.
  • Damage or cleaning fees: If the car sustains any damage in your possession, you will be liable to pay for its repair. Similarly, if the car requires a professional cleaning service after use, you could be charged for it.

These are just some of the most common extra costs that might come into play when you’re renting a car. To be well-informed and avoid unexpected charges, thoroughly read your rental agreement. Knowledge can be a cost-effective tool!

Money-Saving Tips

Locking down the perfect rental car deal in Singapore doesn’t have to bleed your wallet dry. In fact, with a little know-how and a keen sense of value, you can potentially save a significant amount. Here are some savvy money-saving tips to keep in mind.

  • Book in Advance: As with flights and hotels, rental car prices often rise as your pick-up date approaches, particularly during peak seasons. Booking in advance not only secures your preferred vehicle but can also save you a considerable sum.
  • Compare Prices Across Different Platforms: The price for the same rental car can vary greatly from one platform to another. Always take the time to compare rates on various rental websites, travel agencies, and even the rental companies’ own sites. Remember, a little research goes a long way!
  • Choose a Smaller Car: If you’re primarily traveling within city limits, a compact car can be plenty spacious enough. Smaller vehicles are typically cheaper to rent and can also save on fuel costs. However, when choosing a size, consider your comfort and the amount of luggage you carry.
  • Avoid Airport Rentals: Airport rental locations often charge a premium for convenience. It may be a bit more hassle, but if you want to save, consider picking up your rental car from a non-airport location.
  • Limited Distance Rentals: Some companies offer discounted rentals for limited distances. If you know you’ll be traveling within the city or not venturing far, these limited-distance rentals might be a perfect fit.

Understanding the Rental Agreement

Before signing a car rental agreement in Singapore, understand its implications. The rental agreement is your legal contract with the car rental company. So, what should you consider?

  • Mileage Limits: Some rental services might impose a cap on how much you can drive the car, charging extra for every mile you exceed the limit.
  • Fuel Charges: Verify if you’ll need to return the car with a full gas tank or if you’ll be charged an inflated price for the rental company to refill the tank.
  • Additional Driver Fees: An extra charge may be imposed if you intend to let someone else drive the rental vehicle.
  • Insurance: Insurance is a pivotal element that should not be overlooked. Inquire about what type of insurance the rental provides and what it covers. Will it cover accidental damages or third-party liability? What are the deductibles?
  • Payment Terms: Last but not least, pay special attention to the payment terms. When are payments due? Are there any additional fees or taxes that are not initially taken into account?
  • Rental Period: Always double-check the rental period defined in your agreement. Ensure that the pick-up and drop-off dates and times are accurate per your schedule. Any discrepancies, once signed, can lead to unwarranted late return fees.

Comprehending the rental agreement is non-negotiable when renting a car in Singapore. You are responsible for reading and understanding the language within the agreement before committing to it.

Types of Rental Contracts

These contracts depend on the rental period and the company’s terms. Knowing these can help you choose a contract suitable for your needs and budget.

Short-Term Rental

If you require a vehicle for a few days or weeks, a short-term rental contract is likely the best fit for you. This type of contract is ideal for temporary needs such as vacations, business trips, or when your personal car is under repair.

Long-Term Rental

Conversely, long-term rental contracts are typically utilized by individuals who need a car for an extended period, usually several months or up to a year. You might consider a long-term rental if you’re on a prolonged business or personal stay in Singapore or if you prefer not to buy a car.

Lease Contract

Then there’s the lease contract. This is akin to a long-term rental but often involves a commitment of two years or more. Leasing is an option often used by corporate entities or expats living in Singapore. A lease contract sometimes includes additional services such as maintenance and roadside assistance.

Miscellaneous Contracts

Beyond these, some car rental companies in Singapore might offer other contract types tailored to suit unique requirements, such as imported car rentals or luxury vehicle rentals. Always check these niche rental contracts’ specific terms, fees, and conditions.

Closing Thoughts

Renting a car in Singapore can make your stay in the island city much smoother and more enjoyable, particularly if you are unfamiliar with the public transportation systems or simply prefer the convenience and freedom a private car can offer. Before renting a car, it’s essential to consider several factors, including the types of vehicles available, rental prices, insurance coverage, traffic regulations, and driving etiquette.

Don’t forget to share this article with your friends and families if you find it helpful!

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