Is renting a car in Iceland the right choice for you?
Many travelers to Iceland find themselves wondering, “Should I rent a car in Iceland?” The answer? Absolutely!
Renting a car offers both flexibility and convenience, but there are a few things to consider before you decide to go ahead and book.
Read on to discover whether renting a car in Iceland is the best option for your trip or if you should stick to public transportation!
1. Who Should Rent a Car in Iceland?
Iceland is a sparsely populated country with vast, remote landscapes. That means that getting around can be a little trickier than what you might be used to! Here are a few things to consider when trying to decide if you should rent a car in Iceland based on your travel style, budget, and expectations.
Renting a Car is Highly Recommended If:
- You want the freedom to explore Iceland at your own pace.
- Your itinerary includes remote areas like mountain roads.
- You want to better control your itinerary for the classic Icelandic attractions like Golden Circle.
- You’re traveling in a group and want to save money by splitting the cost.
- You plan to visit multiple locations in one day without being restricted by bus schedules.
- You prefer privacy over guided group tours.
You Might Not Need a Rental Car If:
- You’re staying in Reykjavik only and plan to do day tours.
- You’re uncomfortable driving in Iceland’s weather conditions (especially in winter).
- You’re on a tight budget and public transport/tours fit your itinerary better.
- You don’t have a valid credit card (some car rental companies require one for deposits – tho Firefly don’t take depsits).
2. When Should You Rent a Car in Iceland?
The right time to rent a car depends on your travel season, driving skills, and planned itinerary.
While renting a car is a good idea in any season, some times of year (like winter) present special challenges.
Best Times to Rent a Car:
✔ Summer (June – August)
- Easy driving conditions on paved roads.
- You’ll have longer daylight hours for safe driving and sightseeing.
- This is the best time for a self-drive Golden Circle trip or Ring Road adventure.
✔ Shoulder Seasons (Spring & Autumn – May, September, October)
- Less crowded roads.
- More affordable rental car prices from rental car companies like Firefly Iceland.
- Some unpredictable weather conditions, but manageable with a good rental car.
✔ Winter (November – April) – Only If You’re Prepared!
- Winter driving in Iceland can be challenging. Snow, ice, and strong winds require a 4×4 rental car.
- Having your own car is highly recommended if you plan to see the Northern Lights in remote areas.
- If you have no experience driving in icy conditions, it may be safer to book guided tours instead.
3. What Type of Rental Car Should You Choose?
Different trips require different rental cars. Here’s a quick guide to help you decide:
Small 2WD Car
Renting a small, 2WD car is one of the cheapest car rental options in Iceland. This is best for summer road trips around the Golden Circle and South Coast and also ideal for driving around Reykjavik.
A smaller car will also be a better budget-friendly option if you’re looking to save money.
The downsides to renting a small car are that you won’t be able to fit more than four travelers. You also won’t have access to Iceland’s interior F-roads and they aren’t suitable for winter driving!
SUV / 4×4 (Best for winter, F-roads, and rugged terrain)
Renting an SUV or 4×4 is highly recommended if you’re traveling Iceland in winter or planning to explore mountain roads (F-roads) or areas with rugged terrain.
In fact, an SUV or 4×4 is required for visiting places like the Westfjords or the Highlands!
For travelers that aren’t planning on such a big adventure or who simply want to drive the Ring Road in summer, an SUV or 4×4 might be a bit overkill. The biggest downside to this kind of vehicle is the cost to rent them, which is often much more expensive than a standard car, and the cost of fuel.
Still, oftentimes an SUV or 4×4 is your best option for exploring the Land of Fire and Ice without any limitations!
Rented cars in Iceland come in all shapes and sizes, from small city cars to powerful 4x4s. Choosing the right rented car depends on your season, route, and driving comfort. Firefly Iceland offers affordable rental cars for all seasons—check availability today!
4. Iceland Driving and road Conditions: What to Expect?
Driving conditions in Iceland vary drastically depending on the season!
Weather conditions can change quickly, even in summer. To keep ahead of the weather and know what you’ll be dealing with out on the road, always check road.is before heading out.
Some of Iceland’s roads, especially mountain roads (F-roads), will require a 4×4 vehicle and are closed in winter. These roads are typically gravel or dirt and inaccessible with a standard vehicle. At times of heavy rain, they can also be inaccessible even with a 4×4 so always be sure to double check!
Driving in Iceland is much different than other countries! Watch out for gravel roads, strong winds, and one-lane bridges. If an eruption is taking place while you’re visiting, be sure to watch for ash which can damage cars.
Remember, when driving in Iceland, you should never stop your rented car in the middle of the road, even for a photo! Iceland’s roads can be narrow, and stopping like this can be dangerous. Always find a safe pull-out area before stepping out
Rental insurance is highly recommended to protect against wind and gravel damage. Keep in mind that most insurance doesn’t cover damage to the underside of the vehicle!
5. Renting a Car in Iceland: Essential Tips
Renting a car in Iceland is fairly straightforward, but there are a few things you should know ahead of time.
You’ll need a credit card to rent a car in Iceland. This is for deposits in case of an accident or damage to the vehicle, which is standard in most countries.
Know that fuel prices are high! Iceland is a remote, island nation which means that everything is imported and comes at a premium — including gas. Still, renting a car is often cheaper than a tour, especially if you have a group of travelers.
Be sure to follow Iceland’s driving laws at all times. Speeding fines are high, headlights must always be on, and you should NEVER drive off road as the vegetation is extremely fragile.
A good rule of thumb is to download offline maps from Google Maps before heading out. An offline GPS might be required in remote areas like the Highlands. You can double check with your rental company!
Is Renting a Car in Iceland Right for You?
Planning a trip to Iceland can feel overwhelming, but renting a car simplifies your adventure by giving you full control over where you go and when.
Whether you’re traveling in the heat of summer or the cold days of winter, renting a car in Iceland will give you ultimate freedom.
We hope this article helps you to make an informed decision on if you should rent a car in the Land of Fire and Ice! If you do decide to rent a car, Firefly Iceland is a great, budget-friendly option with a fleet of reliable vehicles.
Ready to explore Iceland on your own terms? Book your rental car with Firefly Iceland today and start your adventure!
