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Planning to travel from Chile to Panama? Renting a car is a convenient way to explore the country's rich landscapes and vibrant culture. This guide has been tailored specifically for travelers from Chile to ensure a smooth and enjoyable road experience in Panama.
  • Can I use my Chilean driver's license in Panama?
  • Are international driving permits required?
  • What insurance policies apply?
  • How are fuel costs and mileage calculated?
  • What are essential driving rules in Panama?
  • Which car rental companies offer the most competitive rates for Chilean travelers?

Our detailed breakdown answers these questions and more, enabling you to rent and drive confidently across Panama. Be sure to read the tips and suggestions for planning your routes and budgeting effectively.

Can Japanese Citizens Drive in Panama?

Yes, Japanese travelers can legally drive in Panama with the proper documentation. Age restrictions and additional document requirements may apply.

  • Form of ID:

    A valid passport.

  • Driving licence:

    Accepted driving licence include:
    • Original driving licence + International Driving Permit (IDP)
    • Original South Korea Driving Lisense (English version)

  • Accepted cards:

    Physical credit cards in the full name of the main driver are required. Accepted cards include Visa, MasterCard, AMEX, and DinersClub.

  • Age requirements:

    Drivers must be aged between 21 and 90. Young drivers aged 21-24 incur an additional fee of US$ 8.00 per day (tax included).

Ready to Rent?

Requirements may vary between rental companies. Always confirm details when booking.

Check Rates

Which Car Rental Companies Are Best?

Choose from trusted global chains or innovative local alternatives. Each offers different advantages for travelers from CL to PA.

Global Chain Companies

Local Brands

  • Hertz

    global
    8.5

    Locations:

    67

    Prices:

    $$$

    Key Advantages

    • Largest fleet in USA
    • Premium vehicle selection
    • Gold Plus Rewards loyalty program
    • Express rental counters

    Best for

    Business travelers and premium vehicle needs
  • Avis

    global
    8.5

    Locations:

    39

    Prices:

    $$

    Key Advantages

    • Competitive pricing
    • Convenient online booking
    • Excellent customer service
    • Multiple rental locations worldwide

    Best for

    Leisure travelers and families
  • Budget

    global
    8.5

    Locations:

    59

    Prices:

    $$

    Key Advantages

    • Competitive pricing
    • Wide range of vehicles
    • Flexible rental options
    • Easy online booking

    Best for

    Budget-conscious travelers and families
  • Europcar

    global
    8.5

    Locations:

    21

    Prices:

    $$

    Key Advantages

    • Wide range of vehicle options
    • Competitive pricing
    • Flexible rental terms
    • Customer loyalty program

    Best for

    Travelers seeking diverse vehicle options and good value
  • Dollar

    global
    8.5

    Locations:

    57

    Prices:

    $$

    Key Advantages

    • Budget-friendly options
    • Quick and easy booking process
    • Rewards program for frequent renters
    • Excellent customer service

    Best for

    Budget-conscious travelers and families
  • Firefly

    global
    8.5

    Locations:

    20

    Prices:

    $$

    Key Advantages

    • Budget-friendly pricing
    • Wide selection of compact cars
    • Easy online booking
    • Flexible rental options

    Best for

    Budget-conscious travelers and families
  • Hertz

    global
    8.5

    Locations:

    3

    Prices:

    $$$

    Key Advantages

    • Largest fleet in USA
    • Premium vehicle selection
    • Gold Plus Rewards loyalty program
    • Express rental counters

    Best for

    Business travelers and premium vehicle needs
  • ACE

    local
    8.5

    Locations:

    22

    Prices:

    $-$$

    Key Advantages

    • Personalized customer service
    • Convenient locations
    • Competitive pricing
    • Easy online booking

    Best for

    Budget-conscious travelers and families
Recommendations for Travelers from CL to PA
Choose Global Chains If:
  • You are visiting PA for the first time.
  • You need reliable nationwide coverage in the USA.
  • You prefer 24/7 customer support.
  • Your travel is for business or critical events.
Choose Local Brands If:
  • You want to save money on rentals.
  • Your travel is focused on staying in major cities.
  • You are interested in unique vehicle options.
  • You are comfortable using app-based services for bookings.

How to Choose the Right Car?

Choosing the right rental car can make your journey more comfortable, safe, and enjoyable. Think about your travel group, the destinations on your route, and the type of driving you'll be doing. With our service, you can compare multiple car types and policies to find the one that best suits your journey.

  • Seating and Luggage

    Consider your travel group size and luggage needs

    • Economy cars (2-4 people, 1-2 suitcases)
      Perfect for city driving and short trips

    • Compact cars (4-5 people, 2-3 suitcases)
      Good balance of space and fuel efficiency

    • Mid-size cars (5 people, 3-4 suitcases)
      Comfortable for longer distances

    • Full-size/SUV (5-7 people, 4+ suitcases)
      Ideal for families and group travel

  • Transmission Type

    Choose between automatic and manual transmission

    • Automatic transmission
      Easier for city driving and traffic, more common in USA

    • Manual transmission
      Often cheaper, better fuel economy, more control

    • Most Chilean drivers prefer automatic for USA road trips

    • Consider your comfort level with left-hand driving and automatic cars

  • Insurance Included

    Check what insurance coverage comes with your rental

    • Basic liability
      Covers damage to other vehicles and property, usually included

    • Collision Damage Waiver (CDW)
      Covers damage to your rental car, often optional

    • Theft protection
      Protects against car theft, may be included or additional

    • Personal insurance
      Check if your Chilean insurance or travel insurance covers rentals

  • Cancellation Policy

    Understand booking flexibility and fees

    • Free cancellation
      Usually available up to 24-48 hours before pickup

    • Prepaid vs. Pay-at-counter
      Prepaid often cheaper but less flexible

    • Change fees
      Cost to modify dates, locations, or car type

    • Travel insurance
      Consider coverage for trip cancellations or delays

  • Mileage Policy

    Check distance restrictions and additional charges

    • Unlimited mileage
      Best for long road trips and cross-country travel

    • Limited mileage
      Cheaper daily rate but extra charges for excess miles

    • Consider your planned route distance and potential detours

    • Factor in mileage costs when comparing total rental prices

  • Fuel Policy

    Understand fuel requirements and costs

    • Full-to-Full
      Return with same fuel level, most economical option

    • Full-to-Empty
      Pay upfront for full tank, convenient but often more expensive

    • Same-to-Same
      Return with same level as pickup, fair pricing

    • Pre-purchase fuel options
      Compare costs with local gas station prices

Quick Decision Guide

  • City Travel

    Compact/Economy car with automatic transmission, full-to-full fuel policy

    Panama City, David, Colón
  • Road Trip

    Mid-size/Full-size car with unlimited mileage, flexible cancellation

    cross-country
  • Vacation

    Convertible/SUV with comprehensive insurance, prepaid fuel option

    Boquete, Bocas del Toro, San Blas

Compare with Confidence on QEEQ

Don't settle for the first option you find. QEEQ makes it easy to compare car types, policies, and total costs from multiple providers. See all fees upfront, read real customer reviews, and choose the perfect car for your adventure.
  • Compare all car rental deals
  • No hidden fees
  • Real customer reviews
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What Are the Popular Destinations in Panama?

Panama is a vibrant country known for its bustling capital, stunning beaches, and rich biodiversity. Travelers can explore the modern skyline of Panama City, the historic Casco Viejo district, and the famous Panama Canal, or venture out to the pristine islands of Bocas del Toro and the highlands of Boquete.

What Insurance Do I Need?

You'll need at least basic insurance to legally drive in Panama (PA), but for peace of mind during your trip, additional coverage is strongly recommended. Insurance policies can vary, and understanding what is included in your rental can help you make informed decisions.

Types of Insurance Coverage
  • Collision Damage Waiver (CDW)

    Covers damage to the rental car from collision or theft.

    CLP 12,000-20,000/day
    Essential
  • Theft Waiver (TP)

    Protects against theft of the rental vehicle.

    CLP 4,000-6,000/day
    Essential
  • Third-Party Liability Insurance

    Covers injury or damage to others and their property.

    Often included
    Included
  • Personal Accident Insurance (PAI)

    Covers medical expenses for you and your passengers.

    CLP 4,000-8,000/day
    Optional
QEEQ's Complete Protection Solutions

Perfect for travelers who want comprehensive protection without the complexity. One price covers everything, and AXA's trusted network ensures reliable claims processing throughout Panama. Get comprehensive coverage online for about 50% less than counter rates.

Insurance Coverage Comparison
Coverage Feature
QEEQ Full Coverage
Basic Rental Company
Collision Damage Waiver

Fully Covered

$707.39 - $5,350.00
Theft Protection

Fully Covered

$707.39 - $5,350.00
Personal Accident Insurance

Fully Covered

Not Covered
Tire, Window, Mirror Damage

Fully Covered

Not Covered
Roadside Assistance

Fully Covered

Not Covered
Know more About QEEQ Full Coverage

How to Save Money on Car Rentals?

Traveling from CL to PA? Use these tips to maximize your savings on rental cars and enjoy an affordable journey.

Booking Tips for lower Prices
  • Book Early
    Reserve your rental car well in advance to lock in lower prices and ensure availability.
    Save up to 30%
  • Compare Providers
    Utilize comparison websites to find the best rates among multiple rental companies.
    Save up to 25%
  • Opt for Full-to-Full Fuel Policy
    Choose rental options with a full-to-full fuel policy to avoid additional refueling charges.
    Save CLP 15,000-25,000
  • Consider Economy Cars
    Select smaller, economy vehicles as they typically have lower rental costs and better fuel efficiency.
    Save CLP 20,000-30,000 per rental
  • Choose Off-Airport Locations
    Pick up your rental car at locations outside the airport to avoid premium charges.
    Save CLP 10,000-15,000
QEEQ's Money-Saving Features
  • Diamond Membership
    Save up to 20% on every booking - free trial available below.
    View Details
  • Price Drop Protector
    If your booked car price drops, QEEQ automatically rebooks it at the lower rate and refunds the difference to you.
    View Details
  • One-Dollar Freeze
    Lock in today's price with just $1 upfront and pay the rest later.
    View Details
  • Flexible Payments
    Pay with credit/debit cards or even cryptocurrency via BitPay.
    View Details

What Should You Pay Attention To?

Key considerations and tips for renting a car in Panama, tailored for travelers from Chile.

  • Hidden Fees
    Be aware of potential additional charges not included in the initial rental price.
    • Mandatory insurance fees required in Panama
    • Additional charges for GPS and car seats
    • Extra costs for crossing borders if applicable
    • Charges for after-hours pickups or returns
    • Airport location surcharges
  • Insurance Requirements
    Understand the insurance policies and requirements in Panama.
    • Most rental companies require third-party liability insurance
    • Your Chilean insurance may not cover international rentals
    • Credit card insurance might have coverage exclusions
    • Ensure you understand what the policy includes
    • Extra coverage might be offered but is often optional
  • Driving Conditions
    Familiarize yourself with driving regulations and road conditions.
    • Driving is on the right-hand side of the road
    • Road signs are in Spanish and may differ from Chile
    • Be cautious of narrow roads in rural areas
    • Traffic in Panama City can be heavy during peak hours
    • Watch for unexpected toll roads
  • Fuel Policies
    Clarify fuel arrangements and avoid unexpected refueling charges.
    • Full-to-full fuel policy is common and cost-effective
    • Refill the tank before drop-off to avoid high charges
    • Gas stations may not accept all credit cards
    • Check nearby gas station locations before returning the car
    • Keep receipts as proof of refueling
  • Rental Agreement
    Read and understand the terms and conditions of your contract.
    • Mileage limitations and overage charges
    • Restrictions on vehicle use (e.g., off-road driving)
    • Policies for cancellations and modifications
    • Procedures for reporting accidents or damages
    • Deposit and refund conditions
  • Pickup and Return Timing
    Plan your car pickup and return times carefully.
    • Late returns might result in extra daily charges
    • Early returns may not result in a refund
    • Confirm the operating hours of the rental location
    • Factor in time for vehicle inspection at return
    • Avoid peak traffic times for smoother travel
Remember

Being prepared and knowing what to expect can save you hundreds of dollars and prevent stressful situations. Take time to understand all terms and inspect your rental thoroughly.

What Are The Differences Between US and Polish Traffic Rules

US and Polish traffic rules differ mainly in speed limits, signage units (miles vs. kilometers), alcohol tolerance (higher in the US), and right-on-red turns (more common in the US).

  • Right Turn on Red

    PA

    Allowed after full stop (unless prohibited by sign)

    CL

    Not allowed at red lights

  • School Buses

    PA

    Must stop when school bus has flashing red lights

    CL

    No special school bus rules

  • Highway Passing

    PA

    Pass on the left, slower traffic keeps right

    CL

    Similar, but passing on right sometimes allowed

  • Blood Alcohol Limit

    PA

    0.08% BAC (varies by state)

    CL

    0.02% BAC (much stricter)

  • Mobile Phone Use

    PA

    Hands-free only in most states

    CL

    Hands-free only

  • Seatbelt Laws

    PA

    Mandatory for all occupants in most states

    CL

    Mandatory for all occupants

  • Parking Rules

    PA

    Park in direction of traffic, colored curbs have meanings

    CL

    Can park against traffic on one-way streets

  • Remember
    • • Traffic rules vary by state - check local laws.
    • • Police stops are more common - stay calm and polite.
    • • Keep hands visible during police interactions.
    • • Always carry your license and rental agreement.
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Frequently Asked Questions

Common questions for travelers from Chile renting a car in Panama

What are the basic requirements for renting a car in Panama as a Chilean traveler?

You need to be at least 25 years old (some agencies accept 21+ with a surcharge), have a valid Chilean driver's license and passport, and a credit card in your name with enough limit for a security deposit.

Is my Chilean driver's license valid in Panama?

Yes, your Chilean driver's license is valid for driving in Panama for up to 90 days as a tourist. No special permit is needed during this period.

Do I need an International Driving Permit (IDP)?

It’s not legally required if your license is in Spanish, but highly recommended. Having an IDP can help with police checks or accidents, making procedures easier.

What is the minimum age to rent a car?

25 is standard, but some companies rent to drivers aged 21-24 with a daily 'young driver' fee.

Do I have to show my passport when renting a car?

Yes. Along with your license, your passport is required for ID and to confirm your tourist status.

Is a credit card mandatory, or can I use debit or cash?

A credit card is mandatory for the security deposit. Debit cards or cash are not accepted for this purpose.

Will my Chilean credit card (Visa, MasterCard, etc.) be accepted?

Yes, any internationally recognized credit card issued in Chile will generally work, provided it has enough available credit.

Which documents should I always carry in the car?

Always have your Chilean driver’s license, a copy of your passport (with Panama entry stamp), and the rental contract.

Is the online price I see the final price?

Usually not. The price shown online often excludes mandatory insurance, which is the most significant extra cost.

What is the mandatory third-party liability insurance (TPL/SLI)?

This insurance is required by Panamanian law. It covers damages you may cause to other vehicles or people and must be paid at the counter, even if you prepaid online.

How much does the mandatory insurance cost?

It typically ranges from $15 to $25 USD per day, added to the base rental rate.

What is CDW/LDW insurance? Is it mandatory?

Collision Damage Waiver (CDW/LDW) covers damage to the rental car. It is optional, but declining it means a much larger deposit is required.

What happens if I decline the CDW/LDW insurance?

You must leave a much higher deposit (often $1,500–$5,000 USD+). You’ll be fully liable for any damage up to the car’s value.

Does my Chilean credit card’s insurance cover rentals in Panama?

Most cards cover CDW (damage to the rental car) but not the mandatory TPL (third-party liability). You’ll still have to pay the TPL at the counter.

What is the security deposit and how does it work?

It’s a sum blocked (not charged) on your credit card to cover potential fines, damages, fuel, or tolls. It’s released after you return the car in good condition.

How much is the security deposit?

If you accept all insurances, it’s usually $250–$500 USD. If you decline CDW, it can be $1,500–$5,000 USD or more.

How do tolls (Corredores) work in Panama City?

Highways use the Panapass electronic system. Your rental car will have a sticker, and the agency will charge you for tolls used after you return the car.

Are there other hidden fees or taxes?

Yes. Look for airport surcharges, extra driver fees, young/senior driver surcharges, and government taxes in your contract.

Is fuel included? What type of gas do rentals use?

No, fuel is not included. You’ll receive the car full and must return it full. Most cars use 91 or 95 octane gasoline, priced per gallon.

Can I pay the total rental cost in cash?

Usually not. Some agencies may accept final payment in cash, but the security deposit must be made with a credit card.

How far in advance should I reserve my car?

As early as possible, especially during high season (December–April) or Panamanian holidays, to secure better prices and vehicle availability.

Which website or platform do you recommend for booking a rental car?

The only recommended platform is QEEQ, which compares multiple agencies, helping you find the most transparent and economical option.

What type of vehicle is best for my Panama trip?

A sedan or compact is sufficient for Panama City and main roads. An SUV (4x2) offers more comfort for dirt roads. A 4x4 is only needed for remote/off-road areas.

Do I really need a 4x4?

No, unless you plan serious off-road adventures. For most tourist destinations, a normal car or 4x2 SUV is enough.

Automatic or manual?

Automatic cars are much more comfortable in Panama City’s heavy traffic and are the most common in rental fleets.

What should I carefully inspect when picking up the car?

Record a video and take photos of the car’s exterior, tires, windshield, and interior. Ensure all preexisting damage is noted in the contract.

Does the car come with a spare tire and tools?

It should. Check that the spare tire is in good condition and that tools like the jack and wrench are included.

Can I pick up the car at the airport and return it in another city?

Yes, but this incurs a significant 'one-way fee' for dropping off at a different location.

Is it better to rent at the airport or in the city?

Airport rentals are more convenient but often include an airport tax. City offices may be cheaper, but you’ll need a taxi or Uber to get there.

Should I rent a GPS from the agency?

No. Buy a local SIM card and use Waze or Google Maps on your own phone instead—it’s cheaper and more effective.

What is driving like in Panama City?

Challenging—traffic is heavy, drivers are aggressive, signage can be confusing, and streets in the old town are narrow. Consider using Uber or taxis in the city and rent a car only when leaving town.

How do the Corredor Norte and Sur highways work?

They are toll highways that help you avoid city traffic. The Panapass sticker on your rental car lets you use them, and tolls are billed later by the agency.

What are the most important traffic rules?

Seatbelts are mandatory for all. Obey speed limits (80–100 km/h on highways, 40–60 km/h in cities). Don’t use your phone while driving. The alcohol limit is very low.

What are roads like outside the capital?

The Pan-American Highway is generally in good shape. Secondary roads can vary and may have potholes or poor signage—drive carefully, especially in rural areas.

Is it safe to drive at night?

It’s best to avoid night driving outside major cities. Roads may be poorly lit, and there could be pedestrians or animals on the road.

What should I do if stopped by police?

Stay calm and respectful. Show your license, passport, and rental contract. If asked for a bribe, never offer money; politely request an official ticket instead.

How does parking work?

Street parking in Panama City is hard and sometimes unsafe. Prefer paid parking lots. In rural areas, parking is much easier.

Which is better, Waze or Google Maps?

Waze is generally preferred by locals for live traffic and police reports.

Are there many police checkpoints on the roads?

Yes, especially on the Pan-American Highway. These are routine checks—just slow down and follow instructions.

What is the Panamanian driving style like?

Drivers are fast and sometimes impatient. Defensive driving and staying alert are essential.

What should I do in case of a car accident?

Do NOT move the car. Call your rental agency’s emergency number, then 911 and traffic police. Take photos of the scene and documents.

What if the car breaks down?

Call the roadside assistance number provided by your rental agency. Don’t try to fix the car yourself.

Is car or property theft a risk?

Car theft isn’t common, but theft of items inside is. Never leave valuables in the car, even briefly—store them in the trunk before arriving at your destination.

Are there areas I should avoid driving in?

Yes. In Panama City, avoid neighborhoods like El Chorrillo or Curundú. The city of Colón also has dangerous areas—visit only the tourist or port zones.

What is Panama’s emergency number?

Dial 911 for all emergencies.

What should I do when returning the car?

Arrive early. Inspect the car with a staff member, compare it with your photos/videos, and get a signed receipt stating everything is in order.

What if I’m charged for damage I didn’t cause?

Present your photos and video evidence taken at pickup. Stay calm and firm.

Does the car need to be returned with a full tank?

Yes. Most companies have a 'full-to-full' policy. If not, you’ll be charged a much higher rate for refueling.

Can I cross the border to Costa Rica with a rental car?

Generally no. Most agencies strictly forbid crossing international borders with their vehicles.

What is the single most important tip you’d give?

Be obsessive about two things: 1) Insurance—know exactly what you’re buying and expect the final price to be double the online quote due to mandatory insurance. 2) Evidence—document the car’s condition thoroughly with photos and video to avoid unfair charges.

Still have questions?

Contact QEEQ via online chat or hotline for specific advice. Contact Support