renting cars in Italy

See answers after your questions:Q What is the best way to go about renting a car in Italy?A AutoEurope are consolidators that people here have been happy with.Q Rent through USA car rental or Italian car rental? A Rent in advance from the US through AutoEurope or one of the other major rental companies.Q International driver's license needed? A Yes, get it from AAA for $15.Q Make reservations in advance or on the spot? A In advance.Q What about insurance? A Get sufficient CDW coverage to reduce your liability to a level you can afford, speaking generally only, damage to the car is probably somewhat more likely over there than renting here.Q For those who've rented a car in Florence - too expensive? A You don't want a car within the city of Florence.Q Trying to figure out if renting a car would be better than taking a bus/train to see some of the hill cities of Tuscany, using Florence as our base.A IMO seeing hill towns of Tuscany is one of the few places in Italy where renting a car makes sense but suggest you avoid picking up the car in the Florence city center area.

The International license you refer to is really an International Drivers Permit, which merely translates your state drivers license into another language.
It is NOT optional. It is required by Italian law. Kent is right about obtaining it at AAA.

Shop the rental agencies for the best rate and rent your car in ADVANCE regardless of the agent nationality. Request a diesel with auto transmission. You may get it.

Ask your local insurance agent if you are covered where you will be. And ask what he recommends you do about the CDW.
I always ask my agent each time I go and in the past he has always told me NOT to buy because I am covered. If I have a problem he tells me to give it to him.

Avoid driving a car in a large city. There is very little parking and traffic will drive you nuts. Take local transportation such as bus, subway or train.

Yes, rent a car for Tuscany; Florence is a good base. Take your car at a Florence suburban office if possible. Visiting those small towns will be much more convenient than riding the train or bus. Buy a good highway map when you arrive in Florence. You will be glad you did.

And buy the GPS if available for your car. In Italy it is well worth the expense.

We recently made a similar trip. Rented from Avis location listed as the rail station. It is several blocks from the station, but has easy access to the freeway south. You don't say where you are returning the car. Sometimes that really changes who you want to rent from. We returned to Bologna airport and Avis was good. I don't know that I agree with the diesel/auto recommendation. In late spring, diesel was about the same price as gasoline. If you are comfortable with stick, they are far more available. If you are returning full, be sure to plan fill up well in advance. Fuel stations can be difficult to find.

1 or 2 adults: Bus/Train
3 or more: Car
with kids or grandma: Car

Not sure Florence is a good base for car day trips though. I would spend a couple full days in Florence, rent a car as I was leaving and base in one of the hill towns.

Thank you to all who have answered - I've printed the responses and will use them as our guide as we start to set things up. Again, thanks so much!

I used AutoEurope to rent a car in Italy and was happy with it. We picked up the car in Siena and used that city as our home base, and that worked very well. Siena traffic can still be busy at times, but I think it's a lot less stressful than driving in Florence. Note that Siena and Florence are just a cheap 75-minute bus ride apart. Optionally, you can usually pick up the car in one city and return it a few days later to a different city (often for no extra charge) if that helps your itinerary. I didn't have an international drivers license (and the rental company never asked to see one), but I probably just got lucky. If I would have gotten stopped by a police officer, I likely would have been in trouble.

I would suggest bringing along your own GPS with European map data, instead of relying on the rental
company because they may not be able to guarantee availability. If you don't own one, you might shop around (Costco.com is selling the Garmin 270 for $199 until the end of the month) or see if a relative/neighbor has one you could borrow.

Does anyone have any recommendations on the size of the car to rent? We have 4 travelers including one grandma with a large suitcase. Someone recommended a Volkswagen golf with manual transmission. Has anyone used this car in Italy?

Almost any car you rent in Italy will be standard, automatics are only found on the real high end cars, or maybe if you request it. The VW Golf is nice, there is a bigger version called the Golf Plus. For a rental the Fiat Grande Punto is a great car, a good size for four people with a powerful motor.