Does Localiza require an IDP in Palau?
Written by Daniel MercerUpdated July 2026
Localiza in Palau: the policy in plain terms
Asks foreign renters to present a licence translation with their home licence at the counter across Brazil and Latin America. The largest car-rental company in Latin America.
Palau drives on the right and lets visitors use a valid foreign licence for short stays; an IDP is advised for non-Latin-script holders.
In Palau specifically, palau lets visitors drive on a valid foreign licence, but Localiza still asks for a licence translation if your licence is not printed in the Roman alphabet — and it removes any doubt at the counter. Koror desks accept many foreign licences; an IDP helps non-Latin scripts.
Localiza runs a south america network; at its Palau desks, foreign renters are asked for an International Driving Permit in the internationally recognised format alongside the original licence. Palau drives on the right, uses the USD, and sets a minimum driving age of 21; an IDP is still the safest way to avoid a refused booking.
What to bring to the Localiza counter in Palau
- Your original national driving licence (the IDP never replaces it).
- Your International Driving Permit in the internationally recognised format.
- Your passport and a payment card in the main driver's name.
- Local payment for the USD deposit; Palau drives on the right with a young-driver surcharge under 25.
Driving rules in Palau Localiza renters should know
- Drive on the right.
- Low speed limits across the islands.
- 0.08% alcohol limit.
- Seatbelts mandatory.
Localiza's rental terms that affect your IDP booking
Localiza's minimum rental age is 18 (lowered from 21 across Brazil), but drivers under 21 must add the mandatory "Condutor Jovem" (Young Driver) surcharge at booking; the exact fee is set per rental/location and quoted at reservation rather than published as a flat amount.
A credit card (physical or contactless) in the reservation holder's or financial responsible party's name is required for a pre-authorization hold; debit cards are not accepted for the security guarantee. Customers without a credit card can instead pass a weekday business-hours credit evaluation, with daily rentals up to 28 days available for an approximately R$39.90 fee if approved.
Each additional driver must be registered on the contract and present a valid licence and ID at the counter; Localiza does not publish a flat additional-driver fee, charging it per rate plan and location at pickup. Localiza requires a valid full driver's licence but does not publish a fixed minimum holding period; instead the young-driver surcharge (under-21) is the gating control, so a valid current licence is the stated requirement.
Cross-border driving within Mercosur (Brazil, Argentina, Uruguay, Paraguay) requires the mandatory "Carta Verde"/Green Card insurance and advance authorization, typically requested at booking; one-way rentals returning in a different country incur a one-way fee that is usually higher than the cross-border fee, so both must be arranged in advance.
Foreign customers must present a valid licence from a country in Brazil's "Reciprocity Agreement" plus a passport, and may drive for up to 180 days from their date of entry (respecting the original licence validity); entry must be proven with a passport stamp, boarding pass, or immigration approval document. An International Driving Permit is referenced under the applicable legislation for non-reciprocity or non-Roman-alphabet licences.
Once you collect the keys in Palau
Palau has no toll roads, vignettes or electronic toll systems; all public roads, including the Koror-Babeldaob (KB) Bridge, are free to use.
Parking is informal and free in Koror with no paid-zone meters or colour-coded systems; park sensibly off the carriageway, as space near the main downtown shops and markets is limited.
The national speed limit is just 25 mph (about 40 km/h) and is enforced; fines for speeding, no seatbelt or drink-driving are issued by Koror police, and rental firms pass any citations back to the renter's card on file.
Dial 911 for police and ambulance (Koror police: 680-488-2423); do not move vehicles after an injury crash and wait for officers, as a police report is needed for any insurance or rental claim.
Full driving guide for Palau →