You can drive into Canada with the rental, as long as the rental car company allows
travel into Canada with their vehicles, and you have the proper identification that you would be required to show (the same as if you were driving your own vehicle). You generally must also show a non-resident insurance card at the border, to prove that the vehicle is covered for basic public liability and property damage, while in Canada.
The non resident insurance card should be provided to you by the rental location.
Canadian law requires that all vehicles be covered for basic public liability and property damage.
See our Car Rental Insurance Overview
This type of rental car insurance coverage (basic public liability and property damage) is included in your rental rate, as the car rental companies are required to insure their vehicles against public liability. If a car rental company does not include basic coverage in the price (common in California) then you would either have to show your own proof of coverage or buy the liability coverage from the rental company.
You should check with your own personal automobile insurance provider to see if they have any specific information that you would be required to show at the Canadian border with regards to your own personal automobile insurance coverage.
If you have rental car insurance coverage for collision or loss/damage in a rental car through your own automobile insurance or through your credit card, and usually deny any loss damage or collision waiver purchases at the rental car counter, make sure to check if those coverages extend to you while you drive into Canada with the rental car.
There may be restrictions or limitations to your coverage while you're in a different country. It's important to check before you drive into Canada with the rental car! Hope this helps!
Pages from this site, relating to this topic:
Car Rental Border Crossings
Taking a rental car into Canada
Personal Auto Insurance Coverage