We saw that while we were there. They had that area mostly closed off. The police officers and military we spoke with were all very nice and tourism was important to Panama and making sure it was protected was a priority. In Casco Viejo they even have specific "tourism police"
The car was from budget at the airport, booked in advance. Driving outside of Panama City wasn't bad at all, just don't speed and have all your paperwork. There are a lot of checkpoints
