To explore Iceland it is necessary to rent a car, and choosing which car to rent is an aspect of the trip in which many tourists make mistakes, which can then be costly.
A classic example: did you know that when you rent a car in Iceland no insurance includes damage caused to the doors by the wind? And if you think it’s an absurd thing that never happens, you’re wrong: it happens often, because in Iceland there is always a lot of wind, and it’s strong enough to uproot the doors. No insurance covers you: you have to be careful, always park against the wind, and open the doors carefully. And there’s a lot more to know about car rental in Iceland.
In this guide of mine, I, therefore, report a whole series of useful tips and some insights into some important concepts to understand to orient yourself between prices and offers without getting scammed.
useful tips and mistakes to avoid
Before diving headlong into finding the cheapest offer for a rental car in Iceland, it is very important to understand some basic concepts.
These are my tips for best renting a car for your holiday in Iceland:
- It is essential to book the car well in advance, at least several months in advance.
The earlier you book the better: the later you book the more you pay. - Surrender to the idea that the costs are high: if you want to save DON’T go to Iceland.
- Don’t rent from small local companies, but only from large international agencies (like Avis, Hertz, etc.)
- Don’t skimp on security.
- Even if expensive, always choose adequate insurance coverage.
In particular, it considers glass protection and “gravel protection” (damage from gravel). - Don’t save on insurance.
- Remember that damage to the doors caused by wind and damage to the bottom of the car is NEVER covered by insurance.
- A 4×4 off-road vehicle is NOT needed for a normal trip to Iceland, a normal sedan with 2-wheel drive is enough: 4x4s are only necessary on the inland F tracks.
- Don’t venture onto dirt tracks if you’re not familiar with them.
I was very brief, but I invite you to pay attention to all the points listed above. And also read the following paragraphs carefully.
how much does it cost?
In Iceland, renting a car is much more expensive than in continental Europe, however since it is necessary to explore the island you have to accept it.
The cost of car rental in Iceland depends on various factors:
- period: in summer, especially in August, it costs much more than in winter
- booking: the earlier you book the less you pay
- selected machine type
- reliability of the rental agency
- type of insurance included
(they are expensive, but it is very important to have good insurance) - age of the driver (young and old people over 65 pay more)
Some local agencies have lower prices than the big international car rental companies, but I strongly recommend avoiding them: various types of problems often arise, in addition to the fact that the cars are old.
OK, but how much does it cost?
The best thing is to get a quote through AutoEurope, which is one of the best sites for booking cars online because it shows you the search results sorted in a practical summary table.
low-cost car rentals
If you are looking for a cheap car rental for your trip to Iceland, consider that: there are NO reliable low-cost car rentals in Iceland.
At least as I see it, I advise against small local low-cost car rental agencies: they indeed offer lower prices than large international companies, but it is also true that in the end they often try to recover the money in another way and the service offered is not qualitatively valid. Many rented cars have many kilometers on them and the maintenance is perhaps not as careful as in the more expensive companies, with the result that perhaps your car breaks down in some remote region of Iceland, their assistance and car replacement is slow in arriving, you lose your precious (and expensive) days of vacation, in these difficult situations the company may even charge you for costs that you wouldn’t be entitled to or charge them at a higher price… in short, absolutely inadvisable.
The only valid advice to save on car rental in Iceland, or rather to keep costs down, is to book as soon as possible.
which car to choose
What type of car to choose depends mainly on the budget available: to go around the island while remaining on asphalted roads, even a small front-wheel drive car is enough, and if you have to keep costs down you should fall back on this type of car and pay a good price. insurance coverage for any damage rather than spending more to get a bigger car.
But bigger cars are better: not only because they are more comfortable and can fit more suitcases (essential if you have more than two passengers), but above all because they are safer and better planted on the road in case of strong winds or bad conditions. climatic conditions, which is not so rare in Iceland.
There’s no point in spending a fortune on convertibles or luxury cars: considering the weather, statistically, you won’t be able to appreciate them much. If anything, if your budget allows it, it’s better to spend on a good SUV or large Jeep.
And we come to the question: is 4×4 useful?
4×4 off-road vehicle
When you stay on the main asphalt roads in Iceland the 4×4 is not necessary (it is better to have at least a good SUV anyway). However, it becomes important on dirt roads, and fundamental / necessary on F tracks.
On the 4×4 off-road issue, I refer you to this in-depth article.
The roads in Iceland can damage your car and in addition to having to be careful not to have the door torn off by the wind, it is essential to be well insured for any damage, especially to the windows and bodywork.
trunks of SUVs and 4x4s
If you also want to travel on some normal dirt roads with a gravel surface, in theory, it would be better to have an SUV (even if it is more important to have “gravel protection” insurance coverage), but BEWARE of the size of the trunk: many SUVs only have room for one or two suitcases, and since a trip to Iceland is always a sequence of transfer stages during which you visit attractions, you will understand that it is not pleasant to leave the nice SUV you rented parked with suitcases and backpacks visible. It’s okay that Iceland is a quiet place, but even there there have been reports of damage to cars thefts of unattended material, and car thefts.
So all things considered, I would prefer to rent a good, well-insured sedan with a large trunk rather than a powerful SUV or 4×4 with a tiny trunk that only fits a suitcase (if you pay attention to the search results, there are some SUVs of this type on sale).