Renting a car in Dubai is the first choice for travelers. While it’s a convenient way to explore the city, the hidden costs of car rental in Dubai can turn your adventure into a budget nightmare.
The final bill inflates from excess insurance costs and fuel charges to toll gates and security deposits. However, with the proper knowledge, you can avoid these unexpected rental fees. We’ll break down the cost of car hire in Dubai and share tips to prevent sneaky charges.
What is the Cost of Renting a Car in Dubai?
Renting a car in Dubai seems affordable, with daily rates as low as 70 AED for economy cars. However, the advertised price is rarely what you’ll end up paying. The actual cost of car rental in Dubai includes taxes, fees, and optional add-ons that are not always visible upfront.
Suppose you book a car for 3 days at 100 AED/day. At checkout, you notice a 5% VAT and tourism fee added, inflating the total to 350 AED. Then, the rental company insists on car rental insurance, adding more AEDs to the total.
Now, if you pick up the car at the airport, there might be a 5% or 10% surcharge. And if you need a child seat, that’s another 30-50 AED.
Suddenly, your “AED 100 per day” rental price gets closer to AED 600 for 3 days. So, the actual cost of renting a car in Dubai is often 40 to 50% higher than the advertised rate.
Hidden Charges that Make Car Rental Expensive
The following are the most common hidden rental fees to watch out for:
Additional insurance
Basic insurance is usually included, but rental companies often push for additional coverage like an excess waiver. This can add 20-50 AED per day to your bill. However, skipping it might leave you liable for damages, so it’s a tough choice.
Fuel policies
Many rental companies have a policy to return the car with a full tank. In case of low fuel or empty tank, you’ll face fuel fees, often higher than local fuel prices. But the worst thing is they don’t mention it clearly in their listing. And you end up paying more than expected.
Extra mileage
In Dubai, rental companies have a daily mileage limit, which typically ranges from 150 to 200 kilometers. Exceeding this range can result in additional charges of 0.5 to 2 AED per km. Luxury cars have lower limits, making the overall rental cost even higher.
Late or early return
Returning a rental car late in Dubai can cost you a whole extra day’s charge, even if you’re just an hour late. Some companies allow a 30-60 minute grace period, though.
Late returns make sense, but returning early should save you money. Not really! Since you don’t stick to the contract, the rental company won’t refund you for unused days or hours. So, ultimately, you lose money either way.
Airport surcharge
It’s another typical hidden cost when renting a car in Dubai. Rental companies often don’t disclose this fee upfront in their listing. When you opt for airport pickup, they slap on 10-20 % additional charges. This cost is added to your rental price, making that seemingly “affordable car rental” expensive.
Admin fee or processing charges
Rental companies don’t just charge for the car. You might also get hit with an admin fee for traffic fines, toll deductions, or even payment processing. These fees are not mentioned upfront, but once you’re on board, they quietly add 10-15% to the total bill.
Luxury add-ons
Rented a car and noticed GPS, WiFi, or child seats already included? Don’t assume they are free if you didn’t ask for these add-ons. Some shady rental companies add these extras by default and charge you separately without disclosing it upfront. You only realize it when checking the final bill and see you have paid for things you never demanded.
Smart Ways to Avoid Hidden Costs of Car Rental in Dubai
You can avoid unexpected additions to your rental bills in the following ways:
Book directly with the rental company
Many third-party sites add commissions or mark-up prices, leading to unexpected costs. Booking directly with rental companies helps you avoid these hidden fees and ensures you know all charges upfront.
Read the rental terms and conditions carefully
Rental companies often hide extra charges like admin fees, airport surcharges, or processing fees in their long terms & conditions. Many renters overlook this section and sign without understanding the agreement. By carefully reviewing these details before signing, you can avoid hidden costs of car rental in Dubai.
Choose the package according to your needs
When renting an affordable car in Dubai, consider picking a package that fits your needs. For example, skip the additional insurance or excess waiver if you’re not driving too far. The basic coverage will be enough.
Likewise, a full-to-full fuel policy is the most cost-effective option. Moreover, choosing rental duration should match your traveling plans so you don’t end up paying for unused hours/days.
Decline unnecessary add-ons
Rental companies often push add-ons to make extra cash. If you don’t need things like roof racks, GPS, an additional driver, etc., you can politely decline to keep the cost down.
Beware of “free upgrades”
You have probably heard “free upgrade” when hiring a car in Dubai. On the surface, it looks like you’re getting more for the same price, but there might be hidden costs associated with the deal.
You can face high insurance premiums, expensive fuel consumption, or extra tolls for the upgraded model. So, it’s wise to carefully review what’s included in the offer before finalizing it.
Final Thoughts
Whether you’re a tourist or a business traveler, the hidden costs of car rental in Dubai can quickly add up and take you by surprise if you’re not careful. That’s why we offer transparent pricing and ensure you’re fully aware of all fees. Explore our range of luxury vehicles to enjoy your trip to Dubai!