Southeast Asia rewards travellers who venture beyond the tourist trail — and a hire car is often the best way to do it. But driving conditions here are fundamentally different from Europe, Australia or North America. Here's what to expect and how to stay safe.
Licence requirements
Requirements vary significantly by country:
- Thailand: International Driving Permit (IDP) required alongside home licence. Without one, your hire car insurance may be void.
- Bali/Indonesia: IDP required. Many visitors hire motorbikes without one — this is technically illegal and uninsured.
- Malaysia: Home country licence accepted from most countries; IDP recommended
- Vietnam: Foreign licences are not recognised for cars. You need a Vietnamese licence or must hire with a driver.
What to expect on the roads
Driving in Southeast Asia requires a significant mental adjustment for visitors from Europe or Australasia:
- Traffic rules are treated as advisory in many places, especially outside city centres
- Motorbikes vastly outnumber cars and flow in ways that seem chaotic but follow their own logic
- Horn use is constant and does not mean aggression — it means "I am here"
- Road surfaces can be poor, especially in rural areas and during/after monsoon season
- Night driving is best avoided on unfamiliar rural roads
Thailand
Thailand is one of the more car-hire-friendly destinations in the region. Car hire in Thailand is available at airports and major resorts. Chiang Mai makes a good base for northern Thailand exploration. Driving on the left. Traffic in Bangkok is best avoided — use the BTS Skytrain instead.
Bali
Bali is one of the most popular car hire destinations in Southeast Asia. Bali car hire is very affordable — private cars with drivers are also extremely cheap and worth considering for city trips. The roads around Ubud and north Bali reward exploration by car.
Insurance
Standard hire car insurance in Southeast Asia often has significant exclusions. Read your policy carefully — cover for third-party injury, off-road driving and single-vehicle accidents varies widely. See our insurance guide for what to look for.
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