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Should I Rent a Car in Iceland?


Rental car in Iceland

If you’re planning a trip to the Land of Ice and Fire, you might be wondering whether you’ll need a car to explore this magical island. So, is it worth renting a car in Iceland? 

Let’s explore some important factors when deciding whether to rent a car in Iceland, so you can weigh up the pros and cons to make an informed decision for your own Iceland adventure.

Important Factors When Deciding Whether to Rent a Car in Iceland 

If you’re wondering ‘is it worth renting a car in Iceland?’, it can help to take the following factors into account when exploring your options.


A major benefit to renting a car in Iceland is the freedom it affords you during your vacation. When you have your own car, you’re free to travel wherever you want whenever you want. Sounds good, right? 

You won’t have any restriction in terms of time or place when renting a car in Iceland; you can simply explore this incredible country to your heart’s content. It’s worth noting also that some locations in Iceland can only be reached by car, so if you prefer not to have any restrictions in terms of where you can visit, renting a car is for you.

is it worth renting a car in iceland?


When renting a car in Iceland, you can forget about queuing for buses or waiting around to get where you want to go; you can simply hop in your car and head to your destination. Having your own car in Iceland will save you lots of time, meaning you have more time for sightseeing, exploring and enjoying the spectacular landscapes all across the country. 

Traveling by car is by far the most efficient way of seeing Iceland, especially as the main Ring Road in Iceland takes you around the whole country, allowing you to easily explore whichever side of the island takes your fancy.


While renting a car in Iceland can be expensive (depending on the time of year you visit and the rental company and car you choose), buses can also be expensive. For example, a bus ticket from the airport to Reykjavik is around $35 USD per person and a 10-trip bus ticket is around $40 USD, so public transport doesn’t exactly come cheap in Iceland! 

Price is an important factor for big groups, especially because public transport tickets can quickly add up when paying for several people at a time. In this case, renting a car in Iceland could actually work out cheaper for you.


Did you know that Iceland doesn’t have a rail system? The absence of trains in Iceland limits the routes and capacity of the country’s public transportation system, meaning it can be difficult (or impossible) to get from A to B using public transport in Iceland. If you’d like to visit the Icelandic Highlands, for example, you’ll need a rental car. 

Of course, having your own car in Iceland is much more convenient, as you don’t have any limitations in terms of time or place. We recommend weighing up how important convenience is to you during your trip when you’re deciding if it’s worth it for you to rent a car in Iceland.

tips renting a car in Iceland

Top Tips For Renting a Car in Iceland 

  • Be prepared to drive in different conditions than you’re used to at home – Driving in Iceland is most likely going to be quite different to driving in your home country due to the unique terrain and often harsh climate conditions of Iceland. For example, you may come across gravel roads and potentially snowy and icy conditions. We recommend preparing for this by reading up all about driving in Iceland before you arrive and giving the most experienced driver the driving seat!

  • Factor in the cost of insurance – There are many different types of car insurance in Iceland, such as specific protection against sand and ash, which can cause a problem for drivers due to volcanic ash plumes. You’ll need to take into account which areas of the country you plan to visit when deciding what insurance you’ll need, then factor this into the cost of renting a car in Iceland. Your rental company can advise you on which insurance will be most suitable for your trip.

  • Check the mile limit – Some rental companies in Iceland put a limit on the amount of miles that you’re allowed to drive in a day, so it’s important to check this out beforehand. That way, you can be fully informed and choose the best option for you and your trip.

  • Be aware of the minimum age – The usual minimum age to rent a car in Iceland is 20, although this can vary from company to company. You might also find that this age is higher for certain types of rental vehicle, including larger vehicles. Keep this in mind when deciding whether to rent a car in Iceland.

  • Someone needs to be the designated driver – When renting a car in Iceland, you’ll need to make sure you have a designated driver when out and about exploring all this incredible country has to offer. Especially when heading to the city to enjoy the vibrant Icelandic nightlife, it’s important for one person to remain sober to be able to drive everyone home safely. In Iceland, it’s illegal to drive after even one beer – you could be fined, have your driver’s license confiscated or even face jail time depending on the amount of alcohol in your blood.

Why renting a car in Iceland is a good idea

Plan Your Perfect Iceland Road Trip

Who’s excited to take a road trip around Iceland? We definitely are! Hopefully, now you feel a bit more clued-up and able to answer the question: ‘is it worth renting a car in Iceland?’. So, let’s dive into the fun of planning your perfect Iceland adventure by exploring some of the best, most affordable and reliable rental cars in Iceland you can choose from. Exciting!