Whether you’re landing at Keflavik Airport or planning a road trip around Iceland, we’ve gathered all the key information you need before booking with Explore Iceland Rental Cars. Learn about insurance, payments, pick-up options, driving rules, and more — all designed to make your journey safe, smooth, and hassle-free.
Exploring Iceland’s breathtaking landscapes - from volcanic highlands to cascading waterfalls - is best experienced with the freedom of your own vehicle. Renting a car in Iceland gives you the flexibility to travel at your own pace without worrying about schedules or limited routes. With Explore Iceland Rental Cars, you can enjoy comfort, reliability, and convenience while discovering the country’s stunning natural wonders on your terms.
We pride ourselves on offering high customer service, a wide range of well-maintained vehicles to choose from, and competitive prices. Our cars are regularly serviced and thoroughly cleaned between rentals to ensure a safe and enjoyable driving experience. We also offer additional services, such as GPS navigation systems, car seats for children, and more.
We believe in transparent pricing and excellent value. Your car rental in Iceland includes Collision Damage Waiver (CDW), Super Collision Damage Waiver (SCDW), and Theft Protection (TP) for added peace of mind. The rental cost also covers unlimited mileage, 24% local VAT, and a GPS system (available in select models).
Free vehicle pick-up and drop-off are provided at Keflavik International Airport (KEF) and the BSI Bus Terminal in Reykjavik, ensuring a smooth and stress-free start to your journey.
We offer 24/7 emergency roadside assistance throughout Iceland. If you experience a breakdown or accident, simply call our emergency line at +354 767 2959—available day and night.
We have service partners nationwide, so if you experience a breakdown or accident, we will promptly replace your vehicle with a new one of the same class. In a collision, we will also provide you with a replacement vehicle.
To rent a car with Explore Iceland Rental Cars, all drivers must present a valid driver's license (not a photocopy). The license must have been held for at least 12 months before the rental and be shown at the start of the rental process.
The minimum age for renters is 20 years old. Licenses issued by countries within the European Union and the United States/Canada are accepted. If the driver's license is from a country outside these regions, it must include a license number, photo, and valid date and be written in the Roman alphabet. An international driver's license is required if the license does not meet these requirements. Drivers between the ages of 20 and 22 will be considered young drivers and will be charged a young driver fee of 850 ISK per day. Additional driver fee is 850 ISK
The driver must be 23 years of age or older to drive SUVs or a passenger minivan.
Our free pick-up and drop-off points are located at Keflavik International Airport (P2 Arrivals) and the Reykjavik BSI Bus Terminal. Returning your rental car to the same location is free of charge.
A one-way service fee of 8,000 ISK applies if you choose to return your vehicle to a different location. This option can be selected during booking or updated up to 12 hours before drop-off.
For pick-up or drop-off at locations other than the assigned ones, a fee must be agreed upon between the customer and Explore Iceland Rental Cars, and this can only be done upon request. If you need assistance finding the pick-up or drop-off locations, don't hesitate to contact us via email, Telegram, WhatsApp, or phone at 00354 767 2959.
Your rental car will usually be provided with a full fuel tank and should be returned in the same condition.
If the vehicle is returned with less fuel than when it was collected, a refueling charge will apply for the missing fuel, plus a service fee of 2,500 ISK.
In cases where the car is not delivered with a full tank, simply return it with the same amount of fuel to avoid any additional charges.
Some types of damages fall outside the coverage of our insurance policies and renters are responsible for covering them. These include:
• Damage to the roof or underside of the vehicle
• Rollovers
• Off-road or river crossing damage
• Wind-related damage (e.g., doors blown open)
• Damage caused by reckless driving, alcohol, or animals on the road
Please review our Terms and Conditions for the full list of exclusions to ensure you understand what is and isn’t covered.
Yes, bookings can be modified or cancelled up to 48 hours before pickup. For last-minute changes, please contact our team directly. Any cancellation within 48 hours may incur a small fee depending on the booking conditions.
We accept all major credit cards (Visa, MasterCard, American Express). A valid card in the main driver’s name is required for the deposit and rental payment. Debit cards or cash are not accepted for security deposits.
Yes, a credit card pre-authorization is taken as a deposit when you pick up your car. The amount depends on the insurance coverage you choose but is released automatically once the car is returned in good condition.
Yes, you can add one or more additional drivers for a small daily fee. Each driver must present a valid driving license and meet the same age requirements.
Most of our cars can be driven on Iceland’s main paved and gravel roads. However, only 4x4 or AWD vehicles are permitted on F-roads (highland routes). Driving a non-4x4 vehicle on restricted roads violates the rental agreement.
Yes, all vehicles are equipped with winter tyres from November to April, meeting Iceland’s road safety regulations.
A standard level of dirt is acceptable due to Iceland’s road conditions. However, excessive dirt, sand, or interior stains may result in a cleaning fee.
No, rental vehicles may not be taken outside Iceland or on ferries to other islands.
Contact the police immediately and notify Explore Iceland Rental Cars at +354 787 2959. You’ll receive a replacement car as soon as possible, and our team will help with insurance paperwork.
Yes. We offer child seats, booster seats, and GPS navigation systems as optional extras. You can add them when booking or request them before pickup.