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Passports, Driver's Licenses, and International Driving Permits
Whether you're American or Canadian, your passport and driver's license are all you need in most European countries. However, some countries also require an International Driving Permit (IDP). An IDP is an official translation of your US license (making it easier for the cop to write out a ticket). You can get an IDP at your local American Automobile Association or Canadian Automobile Association office ($20 plus the cost of two passport-type photos — OK to bring your own; doesn't require AAA membership). AAA is authorized by the US State Department to issue permits; avoid scam artists peddling overpriced, fake international licenses.
You may hear contradictory information on exactly where you need an IDP. People who sell them say you should have them almost everywhere. People who rent cars say you need them almost nowhere. People who drive rental cars say the IDP is overrated, but can come in handy as a complement to your passport and driver's license. It's a good idea to get one if you'll be driving in Austria, Bosnia-Herzegovina, Croatia, Greece, Hungary, Italy, Poland, Romania, Slovenia, Slovakia, or Spain — countries where you're technically required to carry a permit. If all goes well, you'll likely never be asked to show it — but the permit is a must if you end up dealing with the police. That said, I've never been asked to show one.

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Originally posted by Harkrader:
Ditto Dresden: " take a cell phone picture of all four sides. My company required us to accept all of the insurances."
Do it even if your insurance says you don't have to. Too easy to get trapped into paying a LOT of money when they tell your insurance doesn't cover something.

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Originally posted by JALLEN:
I haven’t rented in Europe for several years, but when I did, it was much cheaper to make the reservation here.