Car rental in Iceland
A rental car gives you the freedom to explore Iceland at your own pace. Whether you're planning a city break, a family road trip around the Ring Road, or an adventure into the Highlands, we'll help you choose the most suitable vehicle for your itinerary.
Driving in Iceland
Before your trip, make sure to review Iceland's road conditions, weather forecasts, and Highland driving regulations. We have compiled general information for you on the topics of driving in Iceland and environmentally friendly travel in Iceland. See real-time road conditions updated by the Icelandic Road Administration.
Choose the right vehicle
Here is an overview of the different rental car categories, which we can offer you for your rental car adventure in Iceland. A specific make or model cannot be guaranteed and may vary depending on availability. Need help choosing? Contact our team and we'll recommend the best vehicle for your trip.
Economy Car
- Best for 1-2 travellers
- Ideal for Reykjavik and the Ring Road in summer
- Manual and automatic options available
Family SUV
- Best for families and small groups
- Extra luggage space
- Comfortable for longer journeys
- Suitable for all seasons
Motorhome/Camper Van
- Ideal for exploring Iceland
- Highland-approved models available
- Various sizes available
- Check out our various holiday packages
4x4 Vehicle
- Recommended for winter travel
- Required for most Highland routes (F-roads)
- Greater comfort and stability in challenging conditions
Luxury SUV
- Premium comfort and features
- Spacious interior and luggage capacity
- Ideal for longer tailor-made journeys
rental car information
Driver Requirements
Drivers must hold a valid driving licence that has been issued for at least one year. Minimum age requirements vary depending on the vehicle category, particularly for larger 4x4 vehicles and motorhomes, so please refer to the conditions applicable to your booking. The main driver must also present the required identification and payment card when collecting the vehicle.
Insurance & Protection
Basic insurance and protection are included with your rental, subject to an excess and the applicable terms and exclusions. Additional protection options may be available to reduce the excess or provide cover for risks specific to Iceland, including gravel, sand and ash damage, and tyre and wheel damage. Coverage varies according to the protection package selected and vehicle category.
We strongly recommend reviewing the insurance options, exclusions, and excess listed in our offer before collecting your vehicle.
Fuel
Fuel is not included in the rental price. Vehicles should generally be returned with the same fuel level specified in your rental agreement. Refuelling charges may apply if the vehicle is returned with less fuel than required.
Road Usage Charge
Iceland applies a kilometre-based road usage charge to all vehicles, including rental cars. The charge is based on the distance driven during the rental period and will collected by the rental car provider upon drop-off.
Optional Extras & Additional Charges
Optional extras such as child seats and additional drivers may be available for an extra charge. One-way rental fees and other charges may also apply depending on your itinerary and booking. Any applicable costs will be advised as part of the booking process or rental agreement.
Rental Terms & Conditions
The current terms and conditions of the rental car provider apply to all rentals. These include important information regarding driver requirements, deposits, insurance coverage, exclusions, permitted vehicle use, fuel policies, and additional charges. Please review the applicable terms carefully before collecting your vehicle.
Driving in Iceland
Road and weather conditions in Iceland can change quickly, particularly during winter and when travelling in remote areas. Highland roads are generally accessible only during summer, and many require a suitable 4x4 vehicle. Off-road driving is strictly prohibited. Always ensure your rental vehicle is permitted for your planned route and check current conditions before setting out.