Iceland Car Hire

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Top destinations to hire a car in Iceland

Car Hire in Iceland

This Nordic island simply has to be seen to be believed. And if you are going to see the best it has to offer, you are going to need to hire a car in Iceland.

It’s the Icelandic nature that never fails to take your breath away – although its hedonistic capital, Reykjavik can still leave many reeling, too!

Driving through Iceland is like passing through one cinematic landscape after another. Geysers gush, mud bubbles, glaciers creak, rivers rush, cliffs loom, waves crash and snow-capped mountains frame every view.

Yet Iceland is far more than a collection of stunning views. When you rent a car in Iceland you can reach fantastic ski slopes, trek across glittering glaciers, rejuvenate in geothermal lagoons and gaze awestruck as the lights of aurora borealis set the night sky on fire.

Let’s hit the road!


Arranging to Rent a Car in Iceland

Expedia partners with a number of car hire specialists to offer you car hire throughout Iceland. You can arrange your car hire in advance by booking online with us. Simply let us know when you want to arrange your car hire for and choose where you want to pick up and drop off your car.

We’ll show you the best car hire deals in Iceland out there – we do all the hard work for you, making sure that cheap car hire in Iceland is simple to arrange.

With a wide range of cars available throughout the country, finding the perfect car for your trip is simple. And you can even arrange any extras, like booster or child seats, directly with your provider when you make your booking.

The only real thing you need to worry about is where you will visit!


Where to Hire a Car in Iceland

Car hire is available from all of Iceland’s major airports and cities. It is completely up to you where you wish to hire your car from to explore this beautiful country.

Whether you are flying in to Keflavik International Airport, or taking a transfer to domestic airports such as Reykjavik, Akureyri or Egilsstadir, you can arrange for your hire car to be waiting for you as you stroll through the arrivals hall.

It may be that you only require car hire for a part of your trip and have arranged alternative transport for the rest. Once again, this is no problem. We offer car hire from many destinations in Iceland, so you are always close to a location that can provide the car you need to take in all that Icelandic splendour. And, if you need to drop your car off in a different location to the one you picked it up from, that is simple to arrange.


Where Will You Go When You Arrange Cheap Car Hire in Iceland?

Many road trips in Iceland start in Reykjavik – and it’s certainly the place to ensure your journey starts with a bang and not with a whimper!

The most northerly capital in the world is certainly a vibrant place. Colourful buildings, a creative atmosphere, eye-catching design and ear-throbbing nightlife come together to make it a fascinating place.

You’ll find the best museums in the country here, so take some time out to explore Iceland’s history and Viking heritage. If you hanker for something more contemporary you will not be short-changed by the city’s lively arts scene and its contemporary exhibition spaces.

Just beyond this vibrant capital, however, there are plenty of reasons to jump in that car and get out there. The crashing ocean, snow-capped mountains, gushing waterfalls and the clearest air you are ever likely to breathe all await you.

It’s a four or five-hour drive northwest from Reykjavik to Iceland’s second city of Akureyri, yet they feel a world apart. Stunning waterfalls and evocative volcanic landscapes are just a short drive from the grass roof houses that fringe the fjord on which Akureyri rests.

Akureyri’s scenic location is enhanced by its situation at the base of snow-capped peaks crowning the skies just a short distance from the Arctic Circle. In summer its gardens are bedecked with flowers and in winter some of Iceland’s best skiing can be found just a short drive away.

Just over an hour’s drive east from Akureyri you will find Husavik, Iceland’s whale-watching capital. There couldn’t be a finer spot to keep an eye out for these majestic beasts: colourful houses, unique museums and a backdrop of snow-capped peaks make this, by far, the northeast's prettiest fishing town.

Head south from Reykjavik and in little more than two hours you will have passed several stunning waterfalls and arrived at Vik i Myrdal, Iceland’s southernmost town. Offering easy access to the puffin colonies and the evocatively shaped rocks on the black basalt beaches of Reynisfjara, this is a place to stay awhile if you can. There’s the rocky plateau of Dyrholaey to explore and the line of volcanoes that run from Skogar to the Jokulsarlon glacier lagoon.

Wherever you head when you hire a car in Iceland, one thing is guaranteed: the scenery will be spectacular and the views will be unparalleled.


Frequently asked questions

What happens if I need to cancel my Iceland car reservation?
We understand that flexibility on the road is important. That’s why the majority of rentals offer a complete refund if cancelled at least six hours before collecting the car. It’s still good to check the cancellation policy though as there are some exclusions. If the info isn’t there, make your way to our Customer Service Portal.
What types of cars can I rent in Iceland?
Small in size but big on benefits, economy vehicles are the top pick in Iceland. They’re easy to park and handle, which is handy if you’ll be doing lots of city driving. And with fantastic mileage, this dependable hire type will have you dashing around on the cheap. Want a larger car? Check out our range of standard, full-size or premium vehicles.
How do I find the best car hire deals in Iceland with Expedia?
It’s easy to score the best deal with Expedia. All you have to do is choose your wheels, select your dates and pick-up and drop-off points, and browse offers from all the big-name hire brands. Make even bigger savings when you combine your Iceland car rental with hotel or flight bookings.
How old do you have to be to rent a car in Iceland?
Anyone with a valid driver’s license aged 20 and above can rent a car in Iceland. While some providers may be willing to rent to drivers younger than 20, expect an extra fee. Find out what age range the young renter fee applies to, and associated costs, before booking your wheels. Outlets also restrict the types of cars young drivers can rent. Higher age limits apply for large vehicles like premium SUVs and luxury models.
What do you need to rent a car in Iceland?
A current driver’s license and a credit card in the same name. Opting out of the company’s insurance plan? Then you may also need proof of your own coverage. Rules can differ between rental companies, so be sure to read through your policy.
Can I hire a car for a month or longer in Iceland?
Yes, and the wonderful news is companies often offer lower prices the longer your hire term. Browse our long-term car rental deals in Iceland and drive off with an amazing bargain.
Where can I find an Iceland hire car if I am younger than 25?
If you’re a younger driver hoping to hire a vehicle in Iceland, you’ll need to check the policies of the rental companies you’re interested in. Some may hire to drivers under the age of 25, some may not. Surcharges may apply if you’re between 21 and 24 years of age. To escape any surprise fees and charges at the rental counter, make sure you know what those charges are if they apply to you.
Why should I rent an Iceland car with Expedia?
Expedia is the perfect place to book your hire car. With multiple suppliers in Iceland to choose from, we search high and low to get you amazing deals. Score savings with our member prices and exclusive offers, and earn rewards with every booking. Save more when you bundle bookings into an Iceland holiday package. Hire cars, hotels, holiday rentals, tours, flights — Expedia has everything you need in one handy place. Plus, when you join our free One Key™ rewards programme, you can earn OneKeyCash™* and spend it on eligible flights, activities, hotels and more. *OneKeyCash disclaimer - OneKeyCash is not redeemable for cash and can only be used on Expedia.

Car Hire Information

Popular car types:
SUV, Full Size, Economy
From the airport to your hotel:
Airport Transportation