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Cheap Car Rental Iceland – Book from $40/day

At Firefly Car Rental Iceland, we believe that the mesmerizing beauty of Iceland should be accessible to all. Whether you are a group of university students eager to explore the rugged terrains, or a large family looking to make the most out of your vacation budget, we have the perfect car rental solution for you.

Why Choose Firefly for Cheap Car Rental in Iceland?

  • No Hidden Fees – what you see is what you pay
  • Young Drivers 20+ Welcome – no surcharge
  • Unlimited Mileage – explore the Ring Road without limits
  • Free GPS & Additional Driver – included in every booking
  • Award-Winning Service – Booking.com Traveller Review Award 2024 winners
  • Golden Oldies Fleet – reliable older models from $40/day

Firefly Iceland is an award winning car rental company in Iceland

Transparent Prices – Always All-Inclusive

Economy Car

From $40/day

Perfect for city driving and Ring Road trips in summer.

Mid-size SUV

From $65/day

Best choice for families and longer adventures.

4×4 for F-Roads

From $85/day

Highland-ready for summer mountain routes.

All prices include CDW insurance, unlimited mileage and VAT.

Where to Find Firefly Car Rental in Iceland

We’re literally inside Keflavík Airport (KEF) — no shuttles, no trekking across parking lots, no stress. Just land, vibe through arrivals, and spot the Hertz desk (that’s where we chill too). Keys in hand, wheels ready, and boom — your Iceland road trip starts faster than you can say “aurora borealis.” ✈️🚗✨

Best Time to Book Cheap Car Rentals in Iceland

Winter
Oct–Mar
Lowest rates + fewer tourists. Free winter tyres fitted by our in-house mechanics.

Summer
Jun–Aug
Peak season—book 2+ weeks ahead to lock the best price for long-daylight road trips.

All Year
Always transparent pricing. Safety first; vibes always.

Frequently Asked Questions

Are there any hidden fees?
Hidden fees? Ew, no. We’re allergic to fine print. Our rates already include CDW insurance, unlimited km, GPS, and an extra driver. What you see is what you pay. Periodt.
Do you rent to drivers under 25?
Yup. If you’re 20+ you’re good. And we don’t add a young-driver surcharge — we stan affordable adventures.
Do I need a 4×4 in Iceland?
Depends. Summer on paved roads? An economy car slaps. Winter or any F-roads? Grab a 4×4 unless you like stress.
Why is Firefly (one of the) cheapest car rental in Iceland?
We keep it real: our fleet’s a little older, but she’s reliable. Our in-house mechanics baby these cars, so they run smooth — and you keep more krónur for hot springs, snacks, and horse selfies.


How to drive in Iceland

Iceland is a beautiful country to visit and during your stay our main concern is your safety. Although Iceland is considered to be one of the safest countries in the world some conditions are most likely different from what you are accustomed to. We provide you with safe cars but the more you are informed about traveling in Iceland the better.