Renting a car in the Azores

rental car in the Azores

Last Updated on March 14, 2024

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The Azores, 9 islands in the middle of Atlantic belonging to Portugal, are an amazing destination, still somewhat undiscovered. The biggest and most visited of them is Sรฃo Miguel, often referred to as ” The Green island “. Many people split their time in the Azores between 2 or 3 islands, but you can easily spent an entire week in Sรฃo Miguel and not run out of things to do and see. Since all the spots worth visiting are scattered around the island, the best way to explore is by self driving. For that reason, renting a car in the Azores, especially in Sรฃo Miguel, is a must.

If you are just making a quick stop on the island, you can get away without renting a car. In this case taking an organized tour is probably the best idea. If you plan to spend a few days on Sรฃo Miguel, which you should, having your own car is essential to get around the island and get the best out of your trip. While the bus network does exist on the island, the buses run very infrequently and the number of places you’ll be able to reach will be very limited.


Search for a car rental in the Azores here


Barrosa view point on Sao Miguel in the Azores

All you need to know about renting a car in the Azores

You’ll need an international driver’s permit

In most cases when you rent a car abroad, you need an international driver’s permit in addition to your country’s valid driver’s license. It’s no different when renting a car in the Azores. How strictly is that enforced, it’s hard to say. We were not asked for it while picking up the car and from what I hear, most people aren’t.

Having said that, it’s better to be safe than sorry, especially given how easy it is to get the international driver’s permit. All you need to do is show up at the nearest AAA office. For $ 20 they will issue your license while you are waiting and it’s valid for one year. So if you’re planning another trip abroad that same year, hold on to it and you can use it again. For more information, the application and to find the nearest office check out the official AAA website.

Manual cheaper than automatic

Much like in a lot of European countries, most cars in the Azores have a manual transmission. If you can drive it, you will not only have a bigger choice of cars, but will also save a good amount of money. Renting a car in the Azores with automatic transmission costs nearly double. Also, if you have to drive automatic, book well in advance, as the number of automatic cars on the island is limited. Especially if plan to visit in the summer, which is the busiest time.

Smaller is better

If you spent any time looking at cars available for rent, you probably noticed, that most of them are rather smaller in size and there is a good reason for that. A small car is more practical and better for navigating the winding roads on Sรฃo Miguel, of which there are many. Not to mention, having a big car can prove problematic in Ponta Delgada. The streets are very narrow and lots of them allow parking on one side, which leaves even less room for car traffic.

a narrow street in Ponta Delgada, Azores, something to remmeber when renting a car in the Azores
one of many narrow streets in Ponta Delgada

Don’t skip the insurance

If you have travel insurance or the credit card you are using to book the rental car offers car rental insurance, you can skip this part. If not, you should definitely add insurance at the time of booking. What will be covered depends on the policy the rental company offers. In my case, the insurance was just an additional โ‚ฌ 7/ day and covered part of the damage on the car ( more on that below ).

Freeze of additional funds

It’s a common practice for rental companies in the Azores to freeze additional funds on your credit card. This is a security measure in case you damage the rental car. What amount that is, varies greatly depending on the company. In my case it was โ‚ฌ450, but it can be anywhere from โ‚ฌ200 -1000.

Pick up / drop off

Picking up and dropping off your rental car is very easy. A few of the rental companies have counters right in the Arrival hall at Ponta Delgada’s airport. If you book with a smaller, local company, they will ask you indicate the time you’ll land on the island and they will be waiting for you at the airport. The same goes for dropping off your car at the end of your trip. Make sure you are not late dropping your car off. Some car rental companies are very strict and will charge you for another day if you show up later than the indicated time.

Getting the car washed before return

Most car rental companies on Sรฃo Miguel ask that you get the car washed before returning it. There are a few car wash facilities near Ponta Delgada airport, where you can get it done for โ‚ฌ5. If you return the car dirty, the rental company will charge you a cleaning fee ( in my case it would have been โ‚ฌ15 ).

What happens if you damage the car ?

Unfortunately, I’m well versed in that department and can tell you what happens if you damage the car from my personal experience. So let’s say, no matter how careful you thought you were, you did manage to get a few scratches or a dent. When you return the car, the damage will be assessed, recorded and sent to a shop to get an estimate on repair cost.

During that time, your security deposit will be put on hold until the rental company receives the estimate. This may take up to 30 days, but we heard back in less than a week later. The repair cost of the damage was estimated at โ‚ฌ525 ( a couple of TINY scratches, one on the mirror, the other one on the door, and a scratch on the rim of one of the wheels ). We lost the deposit and the difference was covered by the insurance.

So while renting a car in the Azores is relatively cheap, the cost of repairing a damage is not. And I’m not even talking real damage like a dent or a crashed car.

Miradouro de Santa Iria, a viewpoint on Sรฃo Miguel island you'll only be able to visit while renting a car in the Azores
Miradouro de Santa Iria – one of many viewpoints on Sรฃo Miguel

Driving in the Azores

Right hand traffic

If you are coming from a country with the right side traffic, there’ll be no difference for you while driving in the Azores. If not, there will be some getting used to, as people in the Azores drive on the right side. The good news is, you couldn’t have picked a better destination to practice it. Driving in the Azores is pretty relaxed and outside of Ponta Delgada, there’s no such thing as traffic.

The roads are great

The number 1 thing that stood out to me while driving all over Sรฃo Miguel was how good the roads are and how easy the driving is. The only challenge was navigating the narrow streets in Ponta Delgada. There are a lot of blind intersections, so you have to use the mirrors they put up to make sure no other cars are coming down the street. However, once out of the city, the driving is very laid back and the roads and highways are in excellent condition.

a road in Furnas

Gas prices

Generally you will find the Azores to be a very affordable place, but that doesnโ€™t apply to gas prices. They are on the higher side, especially if you are coming from the United States, where gas is relatively cheap. In September 2019, the price of fuel was โ‚ฌ1.72 per liter.

Renting a smaller car helps with keeping the cost of gas down. Of course, remember to fill up the tank before returning your car, or the rental company will do it for you with even higher gas prices.

Don’t always listen to the GPS

Don’t always rely on directions from GPS, especially while driving in Ponta Delgada. There were quite a few times, when the GPS would say to make a turn on what turned out to be a one way street, of which there are many in the city.

Foggy weather

The Azores are famous for unpredictable weather. Some joke you can often experience all the seasons in one day and they’re not exaggerating. While driving on Sรฃo Miguel, it can be clear and sunny one minute, and foggy with low visibility 20 minutes later, especially in higher parts of the island. Always have your lights on and slow down.

fog over Sete Citades on Sao Miguel in the Azores
fog over Sete Citades on Sรฃo Miguel – not a rare occurrence

Parking in Ponta Delgada is tough

While driving in the Azores is easy, parking is not, especially in Ponta Delgada. The streets are narrow and parking spots are tight. You will understand why most cars on the island are on the smaller size. It’s a good idea to park as close to the curb as possible and pull in your mirrors. If parking on the street, make sure to pay at the parking meter or youโ€™ll get hit with a pretty hefty parking ticket.

Animals on the road

Some say, that there are more cows than people in the Azores and from what I saw while driving around, I believe it. You will see them everywhere, not only grazing on the green fields and perched up on the hills, but quite often also in the middle of the road. So while you don’t have to worry about heavy traffic on Sรฃo Miguel, you might be forced to stop for animals on the road.

a road sign indicating cow crossing on Sao Miguel, something to be aware while renting a car in the Azores
cows on the road in Sao Miguel, Azores

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