Rent a car in Iceland

Check out our selection of new cars and get a discount up to 40% for rentals lasting 5 or more days.

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Rent an Electric Car in Iceland

Getting an electric car rental in Iceland is a great idea for those who want to cut their travel expenses. Unlike petrol cars, they do not require petrol, which means that you will not have to carry spare gas in the trunk. The best part is that they are relatively cheap to rent.

Compared to other countries, Iceland's petrol prices are extremely high. However, the country prides itself on its sustainability and clean air. It produces 90% of its electricity from renewable sources, making it one of the most eco-friendly countries in the world.

A number of companies offer electric car rentals in Iceland. These include Hopp. They have ten electric cars in their fleet, which you can rent through their app. You will need to verify your driver's license and accept the conditions. You can park the car in any legal parking spot. They charge ISK 45 per minute for the service.

Some companies also offer a portable WiFi hotspot, which can be rented for an additional fee. The hotspot can be shared among four people. You can also buy one at home. Depending on where you are going, you may need to wait in line to charge your electric car.

If you are worried about how you will recharge your car, you can ask the car hire company to provide you with a portable power bank. This will help you charge your phone and other devices in the car. Some hotels offer free overnight charging facilities.

The seasonal dynamics of car hire rate variations in Iceland

Average price for 7 days rental:

  • 0$ –
  • 22$ –
  • 72$ –
  • 122$ –
  • 172$ –
  • 222$ –
  • 272$ –
  • 322$ –
  • January
    154$
  • February
    133$
  • March
    154$
  • April
    189$
  • May
    224$
  • June
    245$
  • July
    287$
  • August
    322$
  • September
    224$
  • October
    224$
  • November
    154$
  • December
    245$
  • Jan -
    154$
  • Feb -
    133$
  • Mar -
    154$
  • Apr -
    189$
  • May -
    224$
  • Jun -
    245$
  • Jul -
    287$
  • Aug -
    322$
  • Sep -
    224$
  • Oct -
    224$
  • Nov -
    154$
  • Dec -
    245$

List of required documents

Attention!

A valid international driving license is required

1. Driver license
2. Credit card
3. Voucher
4. Passport

Frequently Asked Questions

  • Proof of identity (a passport is required for non-EU citizens)
  • A valid driver's license, bearing in mind that licenses that have been declared lost or stolen or that have been restricted or suspended will not be accepted. An international driver license must typically be submitted with a national permit for non-EU citizens in order to be accepted.
  • The person who is renting the car should be the one making the payment, thus it must be done in a way that is made in your name.
  • Additionally, a deposit is needed to cover any potential additional costs or to pay any damage done during the rental.

For online payments, we accept Visa, Mastercard, and American Express.
Please be aware that the local supplier will demand that you leave a security deposit for the car when you take it up. This manifests as a minimal amount (Excess + VAT) being put on the primary driver's credit card as a block. At the rental desk, you must have a credit card with you.
We will accept a debit card if purchase our Platinum Insurance plan for the duration of your rental period.

Rent a car without a deposit

The rental car companies in Iceland can only guarantee a certain type of car, not an exact make or model. Car rental companies have cars from many different brands in the same category. These cars should have the same features that were confirmed at the time of the reservation. Here is an explanation of the various car classes:

Car rental models

You may be able to reserve a specific model in some cases. You will notice a special note next to the vehicle in the search results if such a possibility exists.

It depends on the number of passengers and the amount of luggage each person is carrying. However, the following factors to think about before vacationing in Iceland:

Size: Our major suggestion is to choose a car that is not excessively wide. There are some tiny streets when you are driving through old towns or historical villages. It will be less stressful in a narrower automobile. Audi A1 is the most well-liked model among economy classes in Iceland. From EUROPCAR the daily rate for this vehicle begins at 14$.

Power: Any size car will be able to travel the entire country. However, if you choose an engine that is not the smallest, it will be more comfortable in the highlands.

When traveling, renting a car is nearly always a good decision because it allows you to see sites at your own pace and on your own schedule. It's always nice to be able to avoid crowded bus or rail times and go in the early morning or late at night if it suits you better.

By law, you must have third-party liability insurance when you rent a car in Iceland. Most car rental companies do this for you and charge you the same price.
Theft coverage and Collision Damage Waiver (CDW) are recommended, but not required. If you want to add more coverage, make sure to do it when you book your trip, because the prices are best when booked this way. You can also check to see if the insurance that comes with your credit card covers car rentals.
Purchase insurance while booking your car:

Car rental insurance

When it comes to car rental costs, Iceland is generally competitive. The price normally depends on several factors, including the time of year, the length of your trip, and the sort of vehicle you wish to rent.
There is always an increase in demand for automobile rentals in Iceland during the summer months, which drives up the prices. During the off-season, particularly the winter, the prices are significantly lower. The duration of your rental also affects the total price. Typically, renting a vehicle for a longer period of time results in a lower daily rate, thus a five-day rental may cost only somewhat more than a three-day rental. If possible, consider spending at least a week exploring Iceland.

Cheapest Way to Rent a Car in Iceland

Whether you are flying into Iceland or driving in, you may be interested in finding the cheapest way to rent a car. You can find a variety of options from big names such as Avis and Budget to local companies like Lava Car Rental. However, it's best to do your research before you leave. This will ensure you get a better deal. You can also check with friends who have already traveled to Iceland for more suggestions.

You can also find deals on short term rentals from locals. They may not have cars available, but they may be willing to offer a reasonable rate for a few days. Be sure to read the fine print before signing the dotted line. You don't want to get a fine from the local police if you don't have the money to pay. In some cases, you can use your debit card to pay, or you can mail in a check for the fine.

The Icelandic weather can be harsh, especially if you are in a rental car. It can be windy and treacherous, which can damage car doors and hinges. It can also be expensive to repair, so be careful. You can also find stray livestock on the road, so be wary.

  • If you are looking for the cheapest way to rent a car in Iceland, you will need to make sure you know what you are getting into. You can do this by reading the fine print and asking plenty of questions. If you plan on traveling through a large area, it's best to go with a 4x4 rental vehicle. They're especially useful if you're traveling through a region with a lot of varying weather conditions. You can also find cars with GPS. This is a smart move if you're planning on using it to help you navigate around Iceland.
  • If you're going to be driving in Iceland, you will want to make sure you have a valid driver's license. You don't need an international license, but you do need one that is in Roman English letters. It's also a good idea to have the right insurance in case you get into a car accident. Some car rental companies offer third party liability insurance.
  • The cheapest way to rent a car in the Icelandic capital city of Reykjavik is to go through a local rental agency. You can find these at the airport or the larger towns. If you plan on traveling a lot during your trip, it may be more cost-effective to rent a car in Reykjavik than it would be in a smaller city.
  • The cheapest way to rent s car in Iceland is to book it ahead of time. Most companies offer discounts if you book ahead of time. If you're looking to save some cash, you can also look into paying with your credit card. If you want to save money, it's a good idea to look for deals that include unlimited mileage.

Top Places to Visit in Iceland by a rented Car

Whether you are considering visiting Iceland or already have, there are several top places you should visit during your trip. These include Thingvellir National Park, Siglufjordur, Golden Circle, Gullfoss waterfall and Blue Lagoon.

Gullfoss waterfall

Located in the UNESCO World Heritage Site of the Golden Circle in Iceland, Gullfoss is one of the most popular waterfalls in the country. It is an iconic landmark and a must see. The waterfall is easily accessible, and there are several ways to reach it. You can drive there on your own, or you can hire a car. Depending on your time in Iceland, you might want to drive there early in the morning to catch the waterfall at its best.

The two-tiered waterfall cascades through a 2,5 km long crevasse. The crevasse is carved by the Hvita River. Hvitargljufur gorge is 40-50 meters deep, and contributes to the beauty of Gullfoss.

Gullfoss waterfall

Westfjords region

Located in the northwest of Iceland, the Westfjords is a peninsula which is off the beaten path. It is known for its glaciers and epic valleys. In recent years, the region has seen an increase in tourism. The region is now visited by around 10-15 percent of the two million tourists that visit Iceland.

A rented car is the best way to explore the Westfjords. If you have a four-wheel drive vehicle, you'll be able to traverse the area easily.

It's not uncommon for the region to experience 10-12 days of snow in October. Luckily, there are major mountain passes that are open in the summer.

The area is also home to seabirds, such as puffins. The largest island in the Westfjords, Flatey Island, is home to thousands of bird species.

Golden Circle

Located in South Iceland, the Golden Circle is a 230km long sightseeing route. It consists of three major attractions: Gullfoss waterfall, the Geysir geothermal area and Thingvellir National Park.

If you are planning a visit to Iceland and want to see the Golden Circle, you will want to rent a car. There are several agencies that offer vehicles for all types of travelers. Renting a car can be easy and simple.

If you don't have a car, there are day tours that are available to you. You can also check out a self-drive tour of Iceland. This is a great way to see the highlights of the country without a tour group or crowds.

Blue Lagoon

Located near Reykjavik and Keflavik International Airport, Blue Lagoon is a popular destination for tourists and travelers. It is a geothermal spa, meaning that it is a spa that is fed by superheated water from a power plant. The waters are mineral-rich and contain silica, algae, and minerals. The temperature is warm enough for a nice, warm bath on cold days.

Blue Lagoon is a relaxing and rejuvenating experience. It has a sauna, steam room, and swim-up bar. It also has mineral-rich mud masks. The area is also equipped with mirrors, lockers, and hair dryers.

Blue Lagoon is the perfect place to wind down before your flight. It is close to Keflavik Airport and offers free parking.

Siglufjordur

Located in the North of Iceland, Siglufjordur is a town that is well worth exploring. It is an incredibly beautiful place, with candy-colored houses, restaurants and shops. There are also a number of activities to take part in.

The town is also home to a number of historical sites. One of the oldest churches in Iceland, Grafarkirkja, is located here.

Siglufjordur's marina is also home to a number of sailing boats. You can enjoy a boat tour of the fjord here, as well as whale watching in March and April. It's also a great place to see the Northern Lights.

Siglufjordur is also the home of the award-winning Herring Era Museum. This maritime museum is housed in five exhibition buildings, and it's a great place to learn more about Iceland's history.

Siglufjordur

Thingvellir National Park

Located less than 50km from Reykjavik, Thingvellir is an easily accessible destination. It is a key location in Icelandic culture. It is also part of the Golden Circle tour, one of the best ways to see Iceland.

Thingvellir is one of the few places in the world where two tectonic plates stick out of the Earth's crust. Here you can see the Mid-Atlantic ridge, a rift valley where the North American and Eurasian tectonic plates meet.

One of the most popular attractions in Thingvellir is the Oxararfoss waterfall. It's not a big waterfall, but the water falls 13 metres and kicks up atmospheric clouds of spray. The waters are fed by the Oxara river, which flows through the park.

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