Iceland Car Rental

Iceland Car Rental Guide

A rental car is the perfect way to see all of Iceland's one-of-a-kind destinations and offers visitors the flexibility of traveling at their own pace. 


How to Rent a Car in Iceland

Requirements to rent a car in Iceland include:

• A valid international credit card that can be used for a rental deposit which will be held for the length of the rental.

• A valid driver’s license (including a U.S or Latin-character license) which has been held for a minimum of one year at the day of rental.



Do You Need Car Rental Insurance and Protection Products in Iceland?

Check with your auto insurance provider and/or credit card company to see if they cover overseas car rental insurance. When renting a car in Iceland with Enterprise, your reservations include:


• Personal Accident Insurance (PAI) - mandatory in Iceland and is included in the rate. PAI compensates the rental driver in cases of bodily injury resulting from a traffic accident when operating the rental vehicle.

• Supplementary Liability Protection (SLP) - General Third Party Liability insurance is mandatory and included with all rental rates. Liability insurance covers third party property damage and bodily injury caused by the insured. Sum insured in each and every loss and aggregate for the year 2018 is ISK 285,000,000.

• Theft Protection 1 (TP) - Theft Protection covers damages caused by vehicle theft or attempted vehicle theft and vandalism. Coverage provided by Theft Protection is conditional on the police being informed of instances of theft, attempted theft, or vandalism of the rental vehicle, the rental vehicle being locked with windows rolled up and the keys of the rental vehicle being kept in a reasonably safe location. Theft Protection does not cover damage caused by theft or attempted theft to individual parts of the vehicle.

• Roadside Assistance - Enterprise provides 24/7 roadside assistance simply by calling +354 519 9300.

Information on additional coverage and protection products such as Super Collision Damage Waiver and Windshield Protection are available during the online reservation process. 



What Kind of Car Should You Rent in Iceland and What Should You Consider?

The type of car to rent is highly dependent on the season, the type of destinations you are looking to explore, and the amount of luggage you have. Iceland is made up of asphalt roads, gravel roads, and Highland roads (also called “F roads”). Enterprise has many options of rental cars to choose from. 

• 2WD/Front wheel drive – great option for the summer travel season and for visitors looking to stay on main roads (including the Ring Road)

• 4WD/All Wheel Drive SUV – this is the best choice for users traveling to Iceland in the winter months or for visitors going off the main roads. All rental cars come equipped with winter tires from November 15h to April 15th at no additional charge.



What are some Driving Tips and Restrictions in Iceland?

Driving in Iceland, either in major cities or open countryside, does not have to be stressful if you keep some driving tips in mind. 


• Traffic direction: Just like in the US, traffic travels on the right hand side of the road in Iceland.

• Transmission type: Many vehicles in Iceland are manual. When renting a car, be sure to select a rental car with the transmission type you are most comfortable driving.

• Icelandic law requires that vehicle headlights be on at all times, day and night, when driving.

Our local staff at Enterprise's Iceland locations is more than happy to provide you with additional driving information and tips. 



How Old do You Have to Be to Rent a Car in Iceland?

The minimum age to rent a car in Iceland is 20 years old. Unlike North America, there is no young driver fee. Drivers ages 20-24 can rent the following car classes: mini, compact, intermediate, standard, and vans. Drivers ages 25 and older can rent any car class, including premium and luxury SUVs. 



How Much is a Rental Car in Iceland?

To get the most accurate price for your rental car, start a reservation by inputting the dates, times, and location. There are several factors to consider:

• Type of car

• Seasonality

• Additional insurance and protection products included in reservation

• Other add-ons such as Wi-fi access, GPS, child seats, and ski racks

• Whether the car is picked up and dropped off at the same location or domestic one-way

• Number of additional drivers



Where to Rent a Car in Iceland?

Enterprise offers visitors coming into Iceland a choice of three convenient car rental locations:

• Keflavik International Airport – this airport is Iceland’s main point of entry and is located approximately 45 minutes from Reykjavik. This is the best car rental location for visitors looking to explore the Golden Circle and Iceland’s Ring Road right as they land.

• Reykjavik BSI Bus Terminal – this is Iceland’s main bus terminal, located in downtown Reykjavik. It is an ideal car rental location for visitors looking to spend some time in Reykjavik but also wanting to explore the sights outside of the city including the Golden Circle, Iceland’s Ring Road, or driving out to one of many hot springs around the area.

• Rejkjavik Skarfabakki Harbour – this is the most convenient car rental location for visitors coming into to Iceland via cruise ship. There are many day trip options from this point including the Golden Circle, a variety of hot springs such as the Blue Lagoon, and wide range of activities within the Reykjavik city center.

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