The visa is called 'Schengen Visa' because the agreement was signed aboard the ship Princesse Marie-Astrid on the Moselle River, near a small town called Schengen in Luxembourg. Schengen is on the border with Germany and France.

Members - implemented: Austria, Belgium, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Norway, Poland, Portugal, Slovakia, Slovenia, Spain, Sweden

Members - not yet implemented: Cyprus, Switzerland

Acceding countries - not yet implemented: Bulgaria, Romania

Express interest in joining: Liechtenstein, Vatican City

The following territories that are part of the Schengen countires are not covered by the Schengen agreement:

• All Parts of France that are not situation in Europe
  
  
• Aruba, the Netherlands Antilles of the Kingdom of the Netherlands
  
  
• Heligoland of Germany
  
  
• Svalbard of Norway (But Jan Mayen Island is covered by the agreement.)
  
  
• Even though Greenland and the Faroe Islands of Denmark are formally excluded from the Schengen area, are integrated with it. Persons traveling between the Faroe Islands and Greenland on the one side, and the Schengen member states on the other side, are not subject to a border check. The traditional Free Movement of Persons acquis of the European Community is not applicable to Greenland and to the Faroe Islands.)
  
  
• Livigno of Italy is a "tax haven". It maintains random passport control and customs checks.
  
  

Also, the Schengen agreement does not cover residency or work permits for non-EU nationals.

Ireland and the United Kingdom are members of the European Union (EU) but are not part of the Schengen agreement.

Iceland and Norway are members of Schengen agreement but are not members of the European Union. Switzerland has signed a Schengen agreement (not operative yet) but it is not part of the European Union.

Citizens of Taiwan that hold a valid Schengen visa for all Schengen countries may also enter Switzerland and Liechtenstein visa free for a stay up to 3 months.

There are some countries other than the Schengen signatories that should also be mentioned:

• Even though San Marino is oficially not included in the Schengen area, it has an open border with Italy. However, some random checks are conducted by Carabinieri, Guardia di Finanza and Polizia di San Marino.
  
  
• Monaco borders onto the Mediterranean Sea. Schengen agreement is treated as if it were a part of France. Therefore, French authorities do the check for Schengen at Monaco's sea port.
  
  
• Liechtenstein is not member of Schengen countries. Liechtenstein has an open border with Switzerland that has signed the agreement but not yet implemented it. Therefore, border controls are still done between Liechtenstein and its EU neighbors. Liechtenstein applies the Traditional Free Movement of Persons acuis of the European Community as part of the European Economic Area. Liechtenstein has applied to part of schengen countries in fall of 2006. The EU Council of Ministers have given their their assent in late February 2006 that will start the negotiations regarding the same.
  
  The Vatican City is also interested in joing Schengen area. The Vatican city has an open border with Italy, but if it also becomes a part of Schengen, it will allow better cooperation in information sharing and similar activities.
  
• Andorra is not integrated into the Schengen zone. It is border controls remain.
  
  
• UK and Ireland, are the only two EU members not to join the Schengen Agreement.
  
  
• Romania, expected to join the EU in 2007, is aiming as 2012 as date for Schengen admission.