A military security source said an Israeli strike on Friday on a car in south Lebanon killed a Hezbollah official, the latest deadly cross-border violence since the Israel-Hamas war erupted.

Hezbollah, an ally of Palestinian militant group Hamas, has exchanged near-daily fire with the Israeli army since Hamas launched its unprecedented attack on southern Israel on October 7 triggering war in Gaza.

The hostilities have raised fears of all-out conflict between Israel and Hezbollah, which fought a devastating war in 2006.

Lebanon's state-run National News Agency (NNA) said "a raid by an enemy drone targeted a car" in Bazuriyeh in south Lebanon's Tyre district, reporting at least one dead.

The army security source, requesting anonymity as they were not authorised to speak to the media, said the person killed was "a Hezbollah official".

Hezbollah did not immediately comment on the strike, but announced it had carried out attacks on Israeli positions on Friday.

An AFP correspondent reported the targeted vehicle was destroyed and debris scattered nearby, and said authorities had cordoned off the area.

The Iran-backed group says it is acting in support of Hamas with its attacks. Israel has targeted Hezbollah and Hamas officials inside Lebanon in response.

Recent days have seen an uptick in deadly hostilities, and the White House on Thursday called on Israel and Lebanon to put a high priority on restoring calm.

The United Nations said this week it was "deeply disturbed" by attacks on health care facilities, after several strikes blamed on Israel killed rescue workers in southern Lebanon.

Cross-border fire since October has killed at least 347 people in Lebanon, mostly Hezbollah fighters, but also including at least 68 civilians, according to an AFP tally.

The fighting has displaced tens of thousands of people in southern Lebanon and in northern Israel, where the military says 10 soldiers and eight civilians have been killed.