What Costco's car rental program offers

Costco Travel offers discounted rates on car rentals through partnerships with major rental companies like Hertz, Avis, Budget, and Enterprise. The program is available to Costco members at no extra cost — you pay only when you book a rental. Costco negotiates rates with these companies, which means you typically see lower daily rates than you would booking directly with the rental agency.

The rental itself is handled by the partner company, not by Costco. When you arrive to pick up your car, you deal with Hertz, Avis, Budget, or whichever company Costco booked you with. The same applies to insurance, damage claims, and roadside support — those come from the rental company, not from Costco.

Costco Travel also bundles car rentals with hotel and flight bookings if you want a complete trip package, though you can rent a car alone. Rates vary by location, season, and how far in advance you book.

Key Takeaways

  • Costco Travel car rentals are booked through Costco's website or phone line, but the rental company (Hertz, Avis, Budget, or Enterprise) handles the actual transaction and vehicle.
  • You must be a current Costco member to book through Costco Travel, and membership costs are separate from rental rates.
  • Damage coverage, roadside information, and insurance questions go to the rental company, not to Costco, because Costco is only the booking platform.
  • Rates shown on Costco Travel typically include taxes and fees, which makes comparison shopping easier than with standard rental websites.
  • Cancellation and modification policies follow the rental company's rules, not Costco's, so read the terms before you book.

How to book a Costco Travel car rental

Go to costcotravel.com and sign in with your Costco membership number. Enter your pickup location, date, and time, plus your return location and date. Costco Travel will show you available cars and rates from its partner companies. The price displayed includes taxes and most fees, so you can compare options without hidden costs appearing at checkout.

Select the car type and rental company you want, review the terms (including cancellation policy and what insurance is included), and complete the booking. You will receive a confirmation email with your reservation number and pickup instructions. Print this confirmation or save it to your phone — you will need it at the rental counter.

Some Costco Travel bookings allow free cancellation up to a certain date; others do not. The cancellation terms appear before you confirm, so check them carefully. If you need to change your reservation after booking, contact the rental company directly using the confirmation number, not Costco.

What insurance and coverage come with your rental

Costco Travel car rentals do not automatically include collision or comprehensive coverage. The rental company will offer you a damage waiver (also called Loss Damage Waiver or LDW) at checkout, which you can accept or decline. This waiver protects you if the car is damaged or stolen, but it costs extra — usually $15 to $30 per day depending on the car type and location.

Your personal auto insurance may cover rental cars if you have collision and comprehensive coverage on your own policy. Check your insurance card or call your insurer before you rent to confirm what is covered. Some credit cards also cover rental damage if you charge the full rental to that card — American Express and some premium Visa cards offer this benefit, but terms vary.

Liability coverage (damage you cause to other vehicles or property) is typically required by law and is usually included in the base rental rate. However, the coverage limits may be lower than your personal policy. If you cause an accident, the rental company's liability coverage pays first, then your personal insurance covers anything above that limit.

Membership requirements and how to join

You must have an active Costco membership to book through Costco Travel. Costco offers Gold Star membership (the basic level) and Executive membership (which includes additional benefits and costs more). Both membership types include access to Costco Travel at the same rates.

Membership costs roughly $60 per year for Gold Star and $120 per year for Executive, though prices vary by region and change periodically. You can join at any Costco warehouse or online at costco.com. Once your membership is active, you can when ready access Costco Travel through the website or by calling the Costco Travel phone line.

If you are not a member, you can purchase a membership specifically to use Costco Travel, or you can compare rates on other rental websites that do not require membership. Whether Costco Travel's discounts justify the membership cost depends on how often you rent and what rates you find elsewhere.

Comparing Costco Travel rates to other rental options

Costco Travel typically offers lower daily rates than booking directly with Hertz, Avis, Budget, or Enterprise, but the savings vary by location and travel dates. The advantage of Costco Travel is that the displayed price includes taxes and most fees, so you can compare apples to apples without surprises at checkout. Standard rental websites often show a base rate, then add taxes, airport fees, and facility charges later.

To compare fairly, get a quote on Costco Travel, then get quotes on the rental company's own website and on aggregator sites like Kayak, Priceline, or Autoslash. Make sure all three quotes include the same car type, pickup and return locations, and dates. Note whether each quote includes taxes and fees in the displayed price. After you account for the cost of Costco membership, calculate whether Costco Travel saves you money on this trip and any future rentals you expect to make.

Costco Travel sometimes offers promotional rates or packages that bundle a car rental with a hotel or flight at a combined discount. These deals can be worth more than the individual discounts, so check the Costco Travel homepage for current promotions before you book.

What to do if there is a problem with your rental

If the rental car has mechanical problems, is dirty, or does not match what you reserved, report it to the rental company's counter staff before you leave the lot. Take photos of any damage you see and ask the staff to document it on your rental agreement. This protects you from being charged for damage you did not cause.

If you have a problem during your rental — the car breaks down, you get a flat tire, or you are in an accident — call the rental company's roadside information number. That number is on your rental agreement and in the rental company's app. Costco Travel does not handle roadside support; the rental company does.

If you have a billing dispute after your rental (for example, you were charged for damage you believe you did not cause), contact the rental company's customer service department with your reservation number and photos. If the rental company does not resolve it to your satisfaction, you can dispute the charge with your credit card company. Costco Travel can provide your booking confirmation but cannot override the rental company's policies or charges.

Frequently Asked Questions

Do I need to buy extra insurance at the rental counter?

Not necessarily. Check whether your personal auto insurance covers rental cars and whether your credit card offers rental coverage. If you have both, you may not need the rental company's damage waiver. If you have neither, the waiver is worth buying to protect yourself from large repair bills.

Can I modify or cancel my Costco Travel reservation?

Cancellation and modification policies depend on the rental company and the rate you booked. Some Costco Travel rates allow free cancellation up to 48 hours before pickup; others do not. Check your confirmation email for the specific policy. To make changes, contact the rental company directly using your reservation number, not Costco.

What if the rental company charges me more than the Costco Travel quote?

This should not happen if you present your Costco Travel confirmation at pickup. The rental company is bound by the rate Costco negotiated. If you are charged more, ask the counter staff to explain the difference. If they cannot justify it, ask to speak to a manager or contact Costco Travel customer service with your confirmation number.

Is Costco Travel worth it if I only rent a car once a year?

That depends on the savings. If Costco Travel saves you $50 on a single rental and membership costs $60, you break even. If you save $100 or more, membership pays for itself. Compare quotes on Costco Travel and other sites for your specific trip to see whether the discount exceeds the membership cost.

Can I use Costco Travel to rent a car internationally?

Costco Travel offers rentals in many countries through its partner companies, but availability and rates vary by location. Go to costcotravel.com, enter your international pickup location, and see what is available. International rentals often have different insurance requirements and driving permit rules, so check the rental company's terms and your country's regulations before you book.