How To Rent A Car In Skagway: A Quick Guide

Most Alaska cruise visitors take the White Pass train—but did you know renting a car in Skagway can save you money, let you spot bears, and takes you deep into the Yukon at your own pace? While the town is small and walkable, having wheels enables you to escape the crowds.

In this guide, we’ll compare Skagway’s rental options—from familiar names like Avis to unique picks like electric cars and self-guided Jeep tours. Most rental companies operate from April to October, which perfectly aligns with the cruise season.

We’ll also share when a car makes sense, how much port time is required, and what to expect when driving Alaska’s roads—or even crossing the border into Canada.

Rental Car Companies In Skagway

Several rental car companies operate in Skagway, ranging from traditional national chains to specialized local operators offering unique electric vehicles. But since the town has 900 residents, booking fill up fast.

Skagway Jeep Rentals

DIY Jeep tours specialize in rugged 4WD vehicles. However, a 4×4 isn’t needed for a Skagway road trip. The vehicles seat up to five and come with maps and a self-drive interactive guide on an iPad.

Jeeps aren’t the easiest to get in or out of. We recommend this option for younger, more agile individuals. They are also the priciest option for rental vehicles.

Klondike Electric Cars

Klondike Electric Cars offers an environmentally friendly rental option for exploring the scenic landscape near Skagway. We rented one and with zero emissions, liked that we were doing our part to help save the planet.

Location: 308 5th Avenue in downtown Skagway makes pick-up and drop-off convenient for cruise passengers and hotel guests. The best part is that we didn’t need to fill a tank when returning the car. Since gas is expensive in Alaska, foregoing a fill up saved money overall.

Klondike Electric Cars rents electric bikes, too—an excellent option for exploring around town or nearby attractions. We thought the bikes were inexpensive, ideal for families on a budget.

The company promotes cross-border travel into Canada, with vehicles capable of handling the drive to Emerald Lake in the Yukon. Their cars come with binoculars, a binder with key viewpoints and attractions, and booster seats at no cost, if needed.

Their quiet driving experience made it less likely to spook wildlife. In fact, we saw a black bear while driving the Klondike Highway.

Avis

Avis, at 401 2nd Avenue, brings their national brand reliability to Skagway’s rental market. They are the only standard rental brand in this Alaskan town. Their reservation system integrates with national booking platforms, making advance planning easier for visitors.

Fleet variety includes economy cars, mid-size sedans, and SUVs suitable for different travel needs. Summer rates reflect peak demand when cruise ships bring thousands of passengers to the area daily.

Avis vehicles meet the requirements for Canadian border crossings, making them suitable for exploration in the Yukon Territory. However, they do not permit one-way rentals with drop off in the Yukon.

Drive About Car Rentals

Drive About Car Rentals has one of the largest selections of vehicles. Choose from a 5-passenger sedan to a 15-seater van. Reservations are available for the upcoming cruise season on January 1st.

While the cruise season is the busiest time, they offer vehicle rentals throughout the year, including winter. All rentals come with a travel guide binder with scenic stops in the area.

Affordable Car Rentals

Affordable Car Rentals operates from 201 State Street. Their rentals are the most budget-friendly of all operators.

Rental terms include daily rates from 7 am to 6 pm with 200 miles included. Since it’s only 72 miles one way to Emerald Lake in the Yukon, the included mileage is sufficient.

Their fleet includes 5-passenger vehicles and 7-passenger options for larger groups or families. Patrons renting a car can add on a child’s car seat and a bagged lunch for an extra fee.

Turo

Turo operates as a peer-to-peer car sharing platform in Skagway, connecting travelers with local vehicle owners. We have rented through Turo at many of our port stops in Alaska.

We like the fact that there’s no paperwork or waiting at a car rental booth. Availability fluctuates and rates can sometimes be very competitive compared with traditional car rental agencies.

The service requires app-based booking and digital communication with vehicle owners. This system works well for tech-savvy travelers, and Wi-Fi is required in Skagway to connect with the vehicle owner.

One of the things we liked most was requesting pick-up and drop-off at the port. We recommend reading owner reviews carefully and confirming insurance coverage before booking through Turo in Alaska.

Coverage, Protection And Additional Add-Ons

U.S. and Canadian renters may use personal auto insurance or credit card coverage for rentals. If unsure, buy daily insurance. Always read the fine print and confirm the deductible.

Rental Agreement Policies

Skagway rental rates incur a 5% Skagway municipality tax and a 10% Alaska vehicle rental tax. Check the mileage policies. Some daily rentals include 200 miles. Klondike Electric Cars offer a 175-mile driving range.

Know the late fees and cancellation terms. Late fees of $50 to $100 applies to vehicles returned after the required return time. Full rental costs apply for cancellations within 48 hours of pickup time. Ship delays or ships missing the port of Skagway receive full refunds without penalties.

Child Car Seats

If traveling with children, contact the rental company to request a car seat or bring your own. Some charge an extra fee, while others, like Klondike Electric Cars, provide them at no cost.

Bringing personal seats: Many families choose to bring their own car seats when flying to Alaska. This ensures proper fit and familiarity for children during mountain driving.

Brown Bag Lunches

Some Skagway rental companies offer meal packages for day trips. Skagway Affordable Car Rental, Klondike Electric Cars, and DIY Jeep Tours offer brown bag lunch options for the drive. Since there are no services between Skagway and Carcross, having food on hand is a good idea.

Car Rental Comparison Table

Why Rent A Car In Skagway?

Most travelers arrive via Skagway’s cruise terminal, with only a day to explore the area. If a ship stays for 10–12 hours, renting a car can be a game-changer. You’ll have time to drive the scenic Yukon Highway, stop at viewpoints, and still wander through historic downtown Skagway.

We rented a car during one of our visits and loved the freedom it provided. Our road trip to the Yukon took eight hours, as we stopped frequently for photos and sightseeing. Many people finish in 5–6 hours, but we enjoyed the slower pace.

Renting a car has clear advantages. It offers a polar experience to a tour schedule or a crowded bus. You can search for wildlife—black bears, mountain goats, and even caribou—at your own pace.

That said, car rentals may not be ideal for international travelers who feel uneasy driving on the right side of the road. Cruise guests with six hours in port may be better off with another activity.

Cost matters, too. A nine-hour rental often costs less than organized excursions for two people. Families or groups save even more. For us, flexibility and value made renting in Skagway one of the best decisions of our trip.

Pro Tip: Book your rental as soon as you book your cruise—Skagway rentals fill up quickly.

Travel Tips For Skagway Road Trips

Driving in Skagway requires preparation for border crossings into Canada and understanding Alaska’s unique road conditions.

Recommended Routes And Destinations

The South Klondike Highway serves as the primary route from Skagway into Canada’s Yukon Territory. This 72-mile (115 km) scenic drive to Emerald Lake takes approximately 1.5 hours.

However, the drive has many scenic viewpoints and attractions begging for visitation. Popular viewpoints include Bove Island, Pitchfork Falls, and the Tormented Valley. With numerous climatic zones, the landscape undergoes significant transformations along the way.

Tagish Lake Kennels, Yukon Suspension Bridge, Carcross Desert, and Caribou Crossing are popular places to explore enroute. We loved dog mushing at Tagish Lake Kennels. We met Michelle Phillips, who came 4th in the 2025 Iditarod and 1st in the 2025 Yukon Quest.

Bear in mind, the drive will be very different in April, May, September, and October than peak summer months. Snow is often present in the off season.

Alternatively, driving 10 miles to Dyea offers access to the historic Chilkoot Trail. The Chilkoot Trail is a historic 33-mile route that winds through the stunning Coast Mountains, connecting Dyea, Alaska, to Bennett, British Columbia.

While cruise guests can’t hike the entire trail, exploring a small section blends Gold Rush history and breathtaking scenery. We suggest using mosquito repellent, as there were lots of pesky bugs when we hiked in May.

Pro Tip: Always carry passports when driving to Emerald Lake in the Yukon.

Weather And Road Conditions

The Klondike Highway road conditions can change rapidly. The route can often be foggy early in the day. Don’t worry, what can’t be seen on the trip up will be visible on the way back, when the fog lifts.

Weather conditions can significantly impact driving safety on mountain highways, particularly during the shoulder seasons. It’s not unusual to have snow on the White Pass from April to May, and September onwards.

I’ve made the road trip to the White Pass many times. The landscape was thick with snow in April, and the weather affected visibility. It was beautiful and contrasted greatly with summer visits.

Ensure you have an emergency contact number for the car rental company. In 2024, a landslide blocked both the road and train tracks, preventing cruise guests from returning to Skagway.

Carry jackets as the temperature can change quickly when traveling through different climatic zones. We needed sweaters and coats in the White Pass but stripped down to t-shirts at Carcross.

So, is renting a car in Skagway worthwhile? Most definitely! The Yukon road trip is the highlight of many guests on an Alaska cruise. And you may even see a bear!

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