Young Driver Car Rental

If you’re planning a trip away with a rental car but are either under 21 or on your P-Plates, you might be in for a rude shock. Almost all of the major car rental companies will not hire you a car, or if they do, will slug you with extra insurance and excess fees. However, with a little more investigation, there are some surprisingly cheap and convenient alternatives to get you on the road sooner.

Car share: Car hire with a difference

Car share is a relatively new concept to car hire, having been around for only the last 8 years or so. It works more as a collective than as a car hire company, with everyone joining as members and being billed monthly for what they use.

Cars are parked on various streets across the city and inner suburb areas in specially allocated car spaces. When you join, you are given a membership card, which you swipe to gain access to the car. You can book the car for an hour or a week, and all petrol and insurance costs are included. Excess is also much less than most car hire companies.

Not all car share companies will rent to people under 21 or without two consecutive years of driving experience, but Flexirent will. For as little as $10 an hour, or daily rates equal to a car hire company without the petrol costs, you can be in a brand new car after simply booking online up to 15 minutes in advance.

Car share companies require you to join as a member, so you will have to pay membership and annual insurance fees. Flexirent charges a one-off membership fee of $30, and $15 for any person after that, and an annual insurance fee of $70, regardless of age or driving experience. The excess for a driver under 21 is $1500, but this can be reduced to $0 by paying an extra $1 an hour or $10 a day.

The cars are all fitted with e-tags and any tolls are charged to your monthly account at cost. The biggest benefit to car share is that you can have access to great cars without having to pay registration, maintenance or other costs incurred with ownership, and because you’re sharing, you’re helping the environment too.

Unfortunately Flexirent is only available in Melbourne and Sydney, but if you’re looking to hire a car in other cities, then there are some other alternatives too.

P-platers - getting your own car insurance

While shopping around for a rental car, it pays to ask if there are any circumstances under which they will rent a car to you if you’re under 21 or on your P-plates. Some car hire companies will be happy to charge you the extra insurance fees, but bear in mind that your own insurance company’s cover will probably be a lot cheaper.

Some smaller car rental companies will rent vehicles to drivers under 21 if they provide a certificate from their own insurer, specifying that while driving their rental car, the policy is inclusive. As they don’t provide any insurance for people under 21, getting your own cover will be your only option. Additionally, a security deposit of $500 will also have to be paid, or 50% of the excess, whichever is greater.

In short, don’t be deterred by the major rental companies. Shop around for a good deal and check with your own insurer before forking out a rental company’s premium. With a bit of investigation on your part, you’ll be off and away before you know it.