Something that people forget is that when they go on vacation, they might want to rent a car. It can be a big expense and since these days, people are being smarter with every dollar, you need to know how much your vacation is really going to cost you. When we sat down a few months back to plan our Lanzarote vacation budget, we included car rental expenses and so should you!

Car rental in Lanzarote is probably a must for any vacationer. While the island is not big, it does have many pockets of wonderful yet remote destinations. You can get there by taxi or by the very good bus system, but why do that when you can have the freedom of driving yourself? Many people are reluctant to add the expense of car hire. Lanzarote practically demands it, though.

Lucky for us, there are lots of choices when it comes to what rental company to use. Cicar car hire, Centauro car hire, Alamo, Record Rent a Car and Holiday Autos all have strong presences on the island. as you would expect, the majority of the rentals happen at the airport. If you search online for car hire tenerife airport you will see that I’ve only mentioned the top rental agencies. This great news for frugal travelers like me. More agencies means more competition, means more savings! In general you can expect to spend about $200 for a 5-day rental. You might find a great deal online or a last minute promotion at the counter, but I prefer to budget for the maximum amount and then I can be surprised to find that it is less. Then I can decide how to spend those savings! Shopping? An extra bottle of wine to bring home? Maybe I wouldn’t even spend the windfall; who knows?

Speaking of savings, be sure to budget for car hire insurance. Lanzarote, while a safe place to drive, has more than its share of fender benders. I swear if I’ve seen one person stop in the middle of the road to take a picture of the sunset, I’ve seen dozens! So spend the extra $20 a day for the full insurance. You will be glad you did.