Costco Car Rental: How It Works, Prices, Benefits, Fees & Booking Tips

Costco car rental can be a useful option for Costco members who want to compare rental cars from major companies without checking every rental website separately.

Through Costco Travel’s Low Price Finder, members can compare eligible rental-car options from Alamo, Avis, Budget and Enterprise. Depending on the location and booking, Costco Travel may also provide benefits such as a waived additional-driver fee, flexible cancellation on eligible online reservations and promotional Digital Costco Shop Cards.

But Costco is not automatically the cheapest option for every trip.

Rental-car prices change based on location, dates, vehicle availability, demand, age, mileage rules and rental-company policies. The best way to use Costco Travel is to compare the complete value of the reservation, including fees and benefits, against direct bookings with the rental company.

Costco Car Rental: Quick Answer

Costco car rental is worth checking if you are a Costco member, especially when the reservation includes a useful additional-driver benefit, competitive pricing, or a promotional Costco Shop Card.

The primary driver generally needs to be a Costco member and should be prepared to show a valid membership card at pickup. The actual rental agreement remains with the rental company, so the counter agent’s rules regarding payment cards, deposits, insurance, fuel, damage, and vehicle availability still apply.

The key mistake is comparing only the advertised daily rate.

Instead, compare:

Rental price + taxes/fees + driver charges + protection + fuel + mileage + extras − applicable Costco benefits

That gives you a much more realistic comparison.

What Is Costco Car Rental?

Costco Travel operates a rental-car booking service for Costco members.

Instead of searching individual rental companies separately, Costco members can use the Low Price Finder to compare eligible rental options through Costco Travel.

Current Costco Travel rental-car partners include:

• Alamo
• Avis
• Budget
• Enterprise

Availability depends on the destination, rental dates, and vehicle inventory.

Costco Travel is therefore best understood as a rental-car booking channel, rather than the company that actually operates the rental vehicle.

Your reservation may be made through Costco Travel, but the rental agreement, vehicle handover, and counter policies are handled by the selected rental company.

• Read more: Costco Car Rental

Who Can Book a Costco Rental Car?

The primary driver should be a current Costco member and should have their membership card available at pickup.

Costco Travel says a reservation can be made for a friend or family member as long as the primary driver has a valid Costco membership card to show at pickup. The person who made the online reservation does not necessarily have to be the primary driver.

This distinction matters.

Example

Suppose you are a Costco member, but your spouse will actually drive the rental car.

Your spouse can potentially be the primary driver, but they need to meet Costco’s membership requirement for the primary driver and provide the required documentation at pickup.

Do not assume that simply having a Costco member make the reservation is enough.

Costco Rental Car Requirements

Requirements vary by rental company and location, but you should be prepared for:

• Valid Costco membership for the primary driver
• Valid driver’s license
• Acceptable payment card
• Required identification
• Minimum-age requirements
• Additional-driver documentation when applicable
• Any required international driving documentation
• Compliance with local rental rules

Costco Travel’s general terms state that rentals are generally available to people 25 years or older, with exceptions. Drivers under 25 may face additional fees or restrictions.

Costco’s FAQ also says drivers under 25 can still receive the Costco member discount, but they may need to book by phone and pay an underage-driver fee that varies by company and location.

Before booking, check:

Requirement	Why it matters
Costco membership	Required for the Costco member benefit
Driver’s license	Required to operate the vehicle
Age	Can affect eligibility and fees
Payment card	May be needed for the security hold
Additional driver	Must meet rental-company rules
Vehicle category	Some classes may have stricter requirements
Location	Local rules can change the conditions

What Rental Companies Does Costco Travel Use?

Costco Travel currently works with:

Rental company	Available through Costco Travel
Alamo	Yes
Avis	Yes
Budget	Yes
Enterprise	Yes

The actual availability of each company depends on the destination and dates.

This gives Costco members a useful advantage: you can compare multiple major rental companies from one booking channel instead of opening several sites immediately.

However, that does not mean Costco will always display every vehicle or rate available directly from each rental company.

For an important or expensive trip, compare both.

What Are the Main Costco Car Rental Benefits?

The most useful Costco benefits can include:

1. One additional driver fee waived

Costco Travel currently states that one additional-driver fee is waived at participating U.S. locations with Alamo, Avis, Budget and Enterprise.

For Canada, Costco’s published information lists Alamo and Enterprise for this benefit.

The additional driver still has to meet the rental company’s requirements.

2. Pay at the counter on eligible bookings

Costco Travel currently promotes book now, pay at the counter for eligible rentals. This can be useful if you want to reserve a vehicle without committing to a prepaid rate.

3. Flexible cancellation on eligible online bookings

Costco Travel currently promotes no-cancellation-fee online rental bookings, but the exact reservation terms matter. Prepaid reservations made by phone can have different rules.

4. Potential promotional Digital Costco Shop Card

Costco sometimes attaches a Digital Costco Shop Card to qualifying rental promotions.

These are not permanent benefits on every rental. The amount, eligible vehicle categories, booking dates, rental dates,s and other conditions can change.

For example, Costco’s current rental pages show promotional Shop Card offers with specific booking and travel windows.

5. Executive Membership reward

Costco says Executive Members can earn an annual 2% reward on qualifying purchases made directly through Costco Travel, subject to exclusions and terms. This is separate from a rental-specific discount and should not automatically be treated as a 2% reduction in the displayed rental price.

Is Costco Car Rental Cheaper?

Sometimes. Not always.

This is one of the most important points to understand.

Rental-car pricing is dynamic. A rate that is cheapest today may not be cheapest tomorrow. Different companies may also price different vehicle categories unusually.

Costco itself notes that there is no fixed method for determining rental rates because demand, inventory,ry and market conditions influence pricing.

Costco can be especially attractive when:

• The base rental rate is competitive.
• You need an additional driver.
• The additional-driver fee is waived.
• You value flexible cancellation.
• A Shop Card promotion applies.
• The Costco rate has better terms than a direct rate.
• You want to compare multiple rental companies quickly.

Direct booking may be better when:

• The rental company has a substantially lower direct rate.
• A direct-member promotion is unavailable through Costco.
• You need a specific vehicle or feature.
• A loyalty benefit matters more to you.
• Your preferred location or vehicle is not available through Costco Travel.
• The Costco rate has restrictions that do not suit your trip.

The correct answer is therefore not:

“Is Costco always cheaper?”

It is:

“Which reservation gives me the lowest realistic total cost with the terms I actually need?”

Costco vs. Booking Directly

Use this comparison before making a final decision.

Factor	Costco Travel	Direct rental-company booking
Multiple companies in one search	Strong advantage	Usually requires separate searches
Costco member benefits	Yes	Depends on rental company
Additional-driver benefit	Available at participating locations	Depends on rate/location
Cancellation	Often flexible on eligible online bookings	Depends on rate
Loyalty-program benefits	Depends on booking rules	Can be more straightforward
Vehicle availability	Costco inventory	May differ
Promotions	Costco-specific offers	Direct-company offers
Customer support	Costco Travel + rental company	Rental company
Final rental agreement	Rental company	Rental company

For a simple trip, Costco can save research time. For a high-value rental, checking the direct rate is still worthwhile.

How to Book a Costco Rental Car

Booking is straightforward.

Step 1: Sign in to Costco Travel

Use your Costco Travel account and membership information.

Step 2: Select Rental Cars

Open the rental-car search and enter your:

• Pickup location
• Return location
• Pickup date
• Return date
• Pickup time
• Return time

Step 3: Compare available vehicles

Review:

• Rental company
• Vehicle category
• Price
• Mileage
• Geographic restrictions
• Cancellation conditions
• Additional-driver benefit
• Applicable promotions

Step 4: Read the rate details

Do not book from the search-results price alone.

Open the detailed terms and identify what is included and excluded.

Step 5: Compare against direct pricing

For important trips, check the same dates and vehicle category directly with the rental company.

Step 6: Save your confirmation

Keep the confirmation email and reservation number accessible on your phone.

What Does the Costco Rental Price Include?

This varies by reservation.

Costco’s terms state that rental rates can exclude items such as:

• Gasoline
• Optional insurance
• Underage-driver charges
• Additional-driver charges where the benefit does not apply
• Upgrades
• Drop charges
• Child seats
• Some taxes and surcharges
• Other optional features

The exact booking terms control.

Before booking, check these costs

Cost	What to check
Base rate	Total rental amount
Taxes	Whether all applicable taxes are displayed
Additional driver	Whether Costco’s waiver applies
Underage fee	Applicable to younger drivers
Fuel	Return requirement and refuelling charges
Mileage	Unlimited or restricted
Toll program	Device and administration fees
Protection	Coverage and deductible/excess
Child seat	Daily/rental fee
One-way rental	Included or reflected in rate
Late return	Potential additional charges
Upgrade	Cost at booking or counter

Does Costco Rental Include Unlimited Mileage?

Not necessarily.

Costco Travel says many locations provide unlimited mileage, but mileage and geographic restrictions depend on the specific rental company and location. The booking page includes a Geographic Restrictions/Mileage Rule section that should be checked before booking.

This is particularly important for:

• Long road trips
• Interstate travel
• Cross-border travel
• Multi-city trips
• Long-term rentals

Do not assume “rental car through Costco” means unlimited mileage.

Check the actual rate.

Does Costco Waive the Additional Driver Fee?

At participating locations, yes, for one additional driver.

Costco Travel currently states that one additional-driver fee is waived at participating U.S. locations with Alamo, Avis, Budget and Enterprise. For Canada, Costco lists Alamo and Enterprise for the benefit.

However, this does not mean every additional driver is automatically free.

The driver still needs to satisfy the rental company’s requirements.

Drivers under 25 can also face additional fees.

Important

If you have two or three additional drivers, do not assume Costco waives all of their fees.

The benefit is generally for one additional driver.

Can You Cancel a Costco Rental Car?

Many eligible Costco Travel online rental reservations can be cancelled before pickup without a cancellation fee.

However, there are exceptions.

Costco says prepaid reservations made by phone may be subject to cancellation fees. It also warns that a cancelled reservation cannot be reinstated.

Best rebooking strategy

If you find a lower rate:

1. Search for the replacement vehicle.
2. Confirm the new reservation.
3. Verify the new dates and location.
4. Confirm the vehicle category.
5. Check cancellation conditions.
6. Save the new confirmation.
7. Then cancel the old reservation.

This is safer than cancelling first and hoping the replacement vehicle remains available.

What Happens at the Costco Rental Counter?

Costco Travel handles the booking channel, but you still have to complete the rental company’s normal pickup process.

The counter agent may ask for:

• Costco membership card
• Driver’s license
• Payment card
• Identification
• Additional-driver information

You may also be offered:

• Insurance/protection
• Vehicle upgrades
• Prepaid fuel
• Toll programs
• Optional equipment
• Roadside assistance

Costco specifically advises renters to read the rental agreement and ask about extra charges before signing.

Do not feel pressured to accept extras immediately

If an optional product is offered, ask:

“Is this required for my rental, or is it optional?”

Then check whether you already have applicable coverage through another policy or card before paying for duplicate protection.

Costco Car Rental Insurance: Is It Included?

Do not assume that Costco membership automatically provides rental-car insurance.

Costco Travel states that auto insurance is the responsibility of the registered driver and recommends checking existing auto insurance or credit-card coverage. Costco also offers rental-car insurance through Zurich in applicable markets.

Before pickup, determine:

• What your existing auto policy covers
• Whether your credit card provides rental protection
• What exclusions apply
• Whether liability coverage is included
• What deductible/excess you would face
• Whether the rental company’s optional protection changes your financial exposure

The important question is not merely “Do I have insurance?”

It is:

“What would I personally have to pay if the rental car is damaged, stolen or involved in an accident?”

Fuel Rules for Costco Rental Cars

Fuel policies vary by rental company and reservation.

Costco’s guidance identifies options such as:

Pay in advance

You can purchase a tank of fuel at the counter.

Costco notes that unused fuel is not credited under this option.

Self-refueling

You refuel the car yourself before returning it.

Costco advises renters to keep the fuel receipt where required to avoid a refuelling charge.

Best practice

Before driving away:

• Photograph the fuel gauge.
• Check the rental agreement.
• Confirm the required return level.
• Keep your final fuel receipt.

One-Way Costco Car Rentals

One-way rentals can be available, but they may have a higher rate or drop fee.

Costco’s FAQ says one-way drop fees or higher rates can be incorporated into the base rate rather than necessarily appearing as a separate fee at the counter.

The exact amount depends on:

• Pickup location
• Return location
• Rental company
• Vehicle category
• Travel dates
• Availability

Always compare the total displayed rate for the one-way reservation.

Can You Drive a Costco Rental Across the Border?

Do not assume you can.

Cross-border rules are controlled by the rental company and location.

Before leaving the country or permitted geographic area, verify:

• Whether cross-border travel is allowed
• Whether permission is required
• Whether additional fees apply
• Whether insurance remains valid
• Whether specific vehicle categories are restricted

The rental agreement is the authority for your particular booking.

Can You Rent for More Than 30 Days?

Costco Travel’s FAQ says Avis and Budget allow rentals longer than 30 days, while Enterprise and Alamo can also accommodate longer rentals, with additional conditions potentially applying. For rentals exceeding 30 days, Enterprise and Alamo may require the renter to return the vehicle to a location for inspection.

If you need a long-term rental, confirm the terms before booking rather than assuming a standard short-term reservation can simply be extended.

What to Check Before Leaving the Rental Lot

Take a few minutes before driving away.

Vehicle condition

• Photograph the entire exterior.
• Photograph existing scratches and dents.
• Check wheels and tyres.
• Check the windscreen.
• Check lights and mirrors.
• Photograph the interior where useful.

Rental information

• Record the odometer.
• Photograph the fuel gauge.
• Confirm the return time.
• Confirm the return location.
• Confirm after-hours instructions.
• Verify mileage restrictions.
• Save roadside-assistance information.

Paperwork

Make sure any significant pre-existing damage is properly documented.

Do not rely solely on your photographs.

Common Costco Car Rental Mistakes

1. Comparing only the daily rate

A $5 lower daily rate can be irrelevant if another booking includes a free additional driver or better cancellation terms.

2. Assuming Costco is always cheapest

Costco can be excellent value, but rental prices change constantly.

3. Forgetting the membership card

The primary driver should be prepared to show valid Costco membership at pickup. Without proof, the Costco discount may not apply.

4. Assuming every rental has unlimited mileage

Mileage restrictions vary. Check the actual booking.

5. Assuming every additional driver is free

The Costco benefit generally covers one additional driver at participating locations, subject to requirements.

6. Cancelling before securing the replacement

A cancelled Costco reservation cannot simply be restored.

7. Ignoring the rental agreement

The Costco booking does not eliminate the rental company’s contract.

8. Assuming insurance is included

Protection and liability should be checked before pickup.

9. Accepting every counter upgrade

Ask about the actual cost before accepting optional services.

10. Ignoring promotional conditions

A Digital Costco Shop Card or other promotion can have specific vehicle, date, booking, and cancellation requirements.

Is Costco Car Rental Worth It?

For many Costco members, yes-it is worth comparing.

Costco is particularly attractive when:

• You need an additional driver.
• The Costco rate beats or matches direct pricing.
• You want flexible cancellation.
• A Costco promotion applies.
• You prefer comparing several major rental companies in one place.
• You want the convenience of a centralized booking channel.

It may be less attractive when:

• A direct rental-company rate is substantially cheaper.
• Your preferred vehicle is unavailable.
• You need a specific rental-company loyalty benefit.
• The Costco booking has restrictions that do not fit your trip.

Simple decision rule

Choose Costco when its total value is better-not merely because it says Costco.

Costco Car Rental: Final Comparison Checklist

Before clicking Book, compare:

• Total rental price
• Rental company
• Vehicle category
• Mileage allowance
• Geographic restrictions
• Additional-driver benefit
• Driver-age fees
• Deposit/payment requirements
• Fuel policy
• Insurance/protection
• Toll charges
• One-way fees
• Cancellation policy
• No-show rules
• Promotional Shop Card conditions
• Direct rental-company price

If Costco wins on the total package, not just the headline rate, it is usually the stronger reservation.

Frequently Asked Questions