20-02-2025
Driving in Iceland is unforgettable, but only if you know what you're doing. Tourists roll up thinking it's just another road trip, then find themselves stuck on a gravel road, wondering if their rental insurance covers bad decisions.
Ever heard of wind so strong it can take your car door off? That's a thing here. And let's not forget those one-lane bridges where you'll awkwardly stare down another driver, waiting to see who goes first. But don't stress.
With the right tips, you'll handle Iceland's roads like a pro and actually enjoy the ride. Let's get you fully prepared for what it takes to drive in Iceland.
Tour buses rush you, public transport skips some of the most amazing places, and hitchhiking? Not exactly a solid plan. Renting a car in Iceland isn't just the best way to explore. It's the only way to do it right.
Driving in Iceland means pulling over for hidden hot springs, chasing waterfalls no tour will take you to, and staying as long as you want instead of racing against a bus schedule. The Ring Road is made for self-drive trips, but the real magic is in the spots you won't find on a tour map.
Public transport won't get you to places like remote black sand beaches, tucked-away canyons, or that one geothermal pool you saw on Instagram. When the weather flips from sunshine to a storm, your car is your escape. Northern Lights looking good at 2 a.m.? Go for it. Renting a car means Iceland is yours to explore with no restrictions.
Iceland's driving rules aren't just mere suggestions. Ignore them, and you might end up with a fine, a wrecked rental, or a viral video starring you in a ditch. Here's what you need to know:
Speeding in Iceland isn't just reckless. It's an easy way to fund the local police department. Fines are no joke, and speed cameras are everywhere. If you're driving around Iceland, know the limits before you hit the road:
Roundabouts are more common near Reykjavik and larger towns like Akureyri. Get this wrong, and you'll frustrate every local driver around you:
Buckle up, keep your lights on, and stay sober. Here's what you need to know before getting behind the wheel.
Driving a car rental in Iceland isn't the time to multitask with your phone. Holding your phone while driving is illegal, but beyond that, Iceland's roads demand your full attention. If you need to check your GPS, use a hands-free system or pull over properly. If a road is too narrow for two cars, be the one who pulls over and lets the other pass.
Picking the wrong car and driving in Iceland gets frustrating fast. Here is what you need to know.
The choice between a 2WD (two-wheel drive) and a 4WD (four-wheel drive) vehicle depends largely on your planned routes and the time of year:
Not sure which model you want? Have a look at our range of vehicles here and find the best fit for your trip.
If you are planning to travel to Iceland, getting your rental car should be the easiest part of your trip. Here is how to make it work for you.
Iceland's roads are unpredictable, and insurance gives you the flexibility to drive without worrying about surprise repair bills. Here is what you need to know about your car insurance options:
We recommend the Gold Insurance Plan (from ISK 3,700/USD 25 per day) as a minimum. It includes Gravel Protection (GP), covering damage to the windshield and body from gravel or rocks, and lowering the deductible/self-risk amount with the SCDW.
For full peace of mind, while exploring remote areas, we suggest the Platinum Insurance Plan. It covers a wider range of damages and comes with a 0 ISK deductible/self-risk.
Iceland's roads are as wild as its landscapes. One minute, you are on a smooth surface; the next, you are battling loose gravel or a steep mountain pass. Road conditions change fast, and if you are not prepared, they will catch you off guard. Know what you are driving into or risk learning the hard way.
The Ring Road (also known as Route 1) is the backbone of the roads in Iceland, wrapping around the entire island for 1,332 km (828 miles) and connecting most major towns. It is paved, well-maintained, and the easiest way to explore Iceland by car, but that does not mean it is always smooth sailing.
It is open year-round, but don't assume that means easy driving. In winter, ice, snow, and sudden storms can make certain sections dangerous or even impassable. You can also expect heavy traffic in popular tourist areas during the summer months.
Think driving in Iceland is just smooth highways and easy roads? Think again. Many routes to Iceland's best natural wonders are gravel, and they do not play nice with careless drivers. If you do not adjust your driving, you will either lose control or wreck your rental.
F-roads are not your average scenic drive. These mountain roads lead deep into Iceland's Highlands, where the tarmac disappears, and things get real. They are rough, unpaved, and only open in summer. If you are not prepared, you will regret it fast.
Driving in Iceland means dealing with single-lane bridges and tunnels, and if you do not know the rules, you are in for some awkward standoffs. These roads were built for function, not convenience, so pay attention unless you enjoy reversing in tight spaces.
Wildlife encounters are common on Icelandic roads. If you are not paying attention, your rental car might get an unexpected (and unhappy) hitchhiker. To avoid any animal-related accidents, follow these tips.
If you hit an animal, Icelandic law requires you to report it. Call the police or ask a local for help. Do not just drive off and pretend it did not happen.
Luckily, fueling up in Iceland is just like anywhere else. The only difference? We have 3 hydrogen stations too. Unless you are driving an electric car, you will probably stick to regular gas stations or smaller towns with pumps that sell diesel and unleaded.
Running low on fuel in Reykjavík? No problem. Running low in the Westfjords or Eastfjords? That is a different story since they are spread far apart in these regions. If you plan to travel to Iceland, knowing where to fill up or charge your car can save you a major headache.
Gas stations are easy to find along the Ring Road, with brands like N1, Orkan, Olís, and OB scattered throughout the country. Around Reykjavík, there are about 80 stations to choose from. Outside the city, gas stations are spaced roughly 100 km (62 miles) apart, which works unless you forget to refuel. In remote areas like the Westfjords, North, and Highlands, stations are few and far between. If your tank hits half, top up.
EV drivers pay attention. Iceland's charging network is growing, but it is still not as widespread as gas stations. There are over 200 public rapid chargers, plus Tesla Superchargers in key locations. Apps like eONE EV Charging and ON Power help find stations before you run out of juice.
Want to make your trip to Iceland smoother? Learn how to pay for fuel before you hit empty. Most gas stations require a credit or debit card with a 4-digit PIN.
Important: If you select the 'Fill Up' option at the pump, a hold of ISK 15,000 to 20,000 ($107 to 140) may be placed on your card. To avoid this, choose a specific amount instead.
We cannot stress this enough: a good app can make all the difference when driving in Iceland. With these apps, you will be better prepared for any situation on the road.
If you are driving in Iceland, checking weather and road conditions is not optional. The right apps can mean the difference between a smooth trip and getting stuck somewhere you do not want to be.
Losing signal in Iceland is not a maybe, it is a guarantee. If you are heading into the Highlands or anywhere far from Reykjavík, you need offline maps. Do not assume Google Maps will save you when you are deep in the middle of nowhere.
Here is how to find out everything you need for navigation:
If you choose to drive in Reykjavík or at popular attractions, finding parking can either be simple or a frustrating time-waster. Get the right app, and you will avoid circling the streets like a lost tourist.
It can be tricky for tourists to navigate parking in Reykjavík. Here are some tips and tricks for making it easier:
Parking in Reykjavík is not free, and if you park in the wrong spot without paying, expect a fine waiting for you. The city center is split into four color-coded zones, and each comes with different rates. Know where you are parking before you assume it will be cheap.
Car parks and multi-storey garages usually charge $1.70 for the first hour, then $0.85 per hour after that. Some tourist attractions also charge for parking, like Jökulsárlón Glacier Lagoon and Diamond Beach ($7.50 fee). Parking is free on Sundays and national holidays, so if you are in town, then enjoy the savings.
Paying for parking in Iceland is simple if you know what to expect. If you are parking on the street, look for a ticket machine or parking meter.
Driving in Iceland safely and efficiently is all about preparation. Make sure you have the right apps, check road conditions regularly, and always be aware of your surroundings on the road. Here are some final tips for a successful road trip in Iceland:
Planning stops is key to making the most of driving in Iceland. There is a lot to see, and you do not want to rush past the best spots.
If you run into any issues on the road, here are some emergency numbers to have on hand:
If your license is in Latin characters (English, German, French, etc.), you do not need an international driver's license. If not, get an official translation or an IDP.
Only if you rent a 4WD. F-roads are rough mountain roads, and 2WD vehicles are not allowed. Even with a 4WD, check road conditions before driving, as closures are common.
Call 112, Iceland's emergency number. If stranded, stay with your vehicle and check the SafeTravel app for alerts. For breakdowns, contact your rental company for roadside assistance.
No, Iceland is an island with no road connections. You can ship your car by ferry from Denmark via the Smyril Line, but flying and renting a car is easier.
Drive on the right, keep headlights on at all times, and follow speed limits. Roads can be unpredictable, so check road conditions and be prepared for gravel, wind, and sudden weather changes.
Yes, the Ring Road (Route 1) circles the island and covers most major sights. It is 1,332 km (828 miles) long and takes about a week to drive comfortably.
Most people land in Iceland clueless about its roads, and that is how they end up stuck, lost, or worse. Driving in Iceland is easy, but only if you do it right. You can either be the tourist who panics at the first gravel road or the one who plans ahead, rents the right car, and knows exactly what to expect. Your choice.
Rent a car in Iceland and take control of your trip. If you have any questions, reach out to us at Cars Iceland. We are here to help you 24/7 should you have any questions. Drive smart, stay safe, and make your Iceland road trip one to remember.