9. Which Car Rental to Choose? And what Type of Car to Rent?

Our tried-and-tested rental tips — which company to book, what car to choose, and how to avoid common mistakes on Madeira's roads

Around Madeira

Around Madeira

Madeira, Portugal

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When renting a car on Madeira, it’s crucial to choose a company with good reviews, transparent pricing, and reliable service. At Around Madeira, we’ve tried several rental companies over the years, especially when friends or family visit the island, and we can confidently recommend two that have consistently provided excellent service.

AB4 Rent

If you’re looking for a reliable car rental, AB4 Rent is our TOP choice. It’s a small local company with great customer service, no deposit, and transparent pricing—plus they can deliver the car to the airport or your accommodation.

  • SCDW (full insurance) – No deposit is needed.

  • CDW (basic insurance) – Requires a deposit.
    💬 Get 5% discount if you message them on WhatsApp (+351 966 329 911) or email them saying you’re coming from Around Madeira.
    🔗 AB4 Rent Website

Rent-a-Car Madeira

Rent a Car Madeira is another great option we recommend. We've used their services several times when AB4 Rent wasn’t available, and each experience has been smooth and reliable. They offer full insurance without the need for a credit card or deposit. We also recommend considering the additional insurance for extra peace of mind.
💸 Discount: Use the code “AROUND.MADEIRA” to get 5% off your booking (enter the code during step 3 – options).
🔗 Rent a Car Madeira Website

What Type of Car to Rent?

Compact Cars

When renting a car on Madeira, smaller cars are often the best option due to the island’s narrow streets, especially in older towns and villages. A compact car, like a Renault Clio, is ideal for getting around without worrying too much about manoeuvring through tight spaces or steep inclines.

Engine Power

Opt for a car with at least 70 horsepower to comfortably navigate the island’s hilly terrain. A car with a stronger engine will ensure you don’t struggle up Madeira’s steep roads.

Insurance

Given the narrow streets and the potential for minor scrapes or scratches, it’s highly recommended to opt for additional insurance that covers mirrors, wheels, and windows. This extra coverage will protect you from additional charges should you have a minor accident, like scratching the car in one of Madeira’s many tight corners.

Looking for things to do?

Go check out my guide for the best free things to do as well as itineraries and travel tips to make your trip unforgettable.

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