Kuwait: Know the New Rules for Vehicle and Motorbike Rentals

KUWAIT CITY: Kuwait has introduced stricter regulations for car and motorcycle rental companies under a new ministerial decision aimed at strengthening oversight of the sector, improving road safety, and enhancing security measures.

The First Deputy Prime Minister and Minister of Interior, Sheikh Fahd Al-Yousef, issued Ministerial Resolution No. 894 of 2026, amending provisions of Ministerial Resolution No. 723 of 2020 governing vehicle rental activities.

Key New Rules:

Rental Agreements:

Rental companies must sign rental agreements in both Arabic and English, clearly outlining the rights and responsibilities of both the owner and the renter. Each party must retain either a paper or electronic copy of the contract, which must be produced upon request by the authorities.

Record-Keeping:

Companies must maintain paper or digital records approved by the General Directorate of Traffic. These records must include detailed information about renters and drivers, such as their name, nationality, address, phone number, driving licence details, and rental period. If the renter is a legal entity, details of its legal representative must also be recorded.

Security Cameras:

Rental vehicles provided with drivers must be fitted with internal cameras. Companies must preserve the recorded data and hand it over to the competent authorities whenever requested.

Vehicle Age Limits:

Motorcycles: Must not be more than 3 years old when first licensed for rental and may remain in service for a maximum of 6 years from the year of manufacture.

Private cars, light transport vehicles, and minibuses (up to 14 passengers): Must not exceed 3 years of age at initial licensing and can remain in rental service for up to 8 years.

Medium transport vehicles, trucks, and buses (seating capacity exceeding 15 passengers): Must not be older than 5 years when first licensed for rental, with a maximum operational period of 15 years.

Insurance:

Comprehensive insurance is now mandatory for all rental cars and motorcycles. The insurance must remain valid throughout the vehicle’s operational life in the rental fleet, be renewed annually, and cannot be cancelled during the licensing period. The vehicle’s ownership documents must clearly state that it is designated for rental use.

Existing rental companies have been granted a three-month grace period to comply with the new regulations. The amendments will come into force upon their publication in Kuwait’s Official Gazette.