Iceland Road Trip Guide

Introduction

Iceland, known as the “Land of Fire and Ice,” is a captivating tourist destination renowned for its dramatic landscapes, including volcanoes, glaciers, geysers, and hot springs. Its well-maintained Ring Road encircles the island, making it ideal for road trips that offer the freedom to explore at your own pace. Travelers can experience the stunning beauty of the Golden Circle, the serene Blue Lagoon, and the breathtaking Northern Lights. With its unique blend of natural wonders and vibrant culture, Iceland provides an unforgettable adventure for those seeking both exploration and relaxation on the open road.

Car Rental Tips

Book in Advance

Generally, we recommend that you make your reservation one month in advance so that you could choose the desired vehicle and date.

If you proceed directly to the car rental store without booking, it is likely that the car you need might be unavailable.

*If you are already a QEEQ diamond member, you only need 1$ to freeze your booking and make the rest of the payment before pick-up, which does not affect your credit card limit.

Required Documents

Passport, Driver’s License, IDP(Optimal), Credit Card

International Driving Permit (IDP) is highly recommended, which allows you to drive legally in countries that need one.

If it is inconvenient for you to apply an IDP, generate a free driver’s license translation on QEEQ.com (Japanese site only).

Car Choices

The choice of your car depend largely on the duration of your trip, passenger number, luggage amount and road conditions.

Renting a regular car will suffice to go around the country, but some places may require four-wheel drive and/or bigger vehicles. Please refer to your car rental to make sure you have the appropriate vehicle for your destination. Most car rental services offer pick-up from the airport in Keflavik.

• City Driving for small groups (1-3 passengers)

If you are a couple, or travel with a friend or two, or if you travel alone, a reasonably priced small car would be a good choice.

Compact size cars have 4 to 5 seats. We recommend sparing one passenger capacity so you could relax and have more space.

• 4 to 5 passengers including children and elderly
  

Medium and large size cars are recommended. These models could still possess a fair mount of space with 2 to 3 suitcases. SUVs are suitable for hybrid road conditions. Eco-friendly cars such as the Prius could save your spend on gasoline. Choose what you need giving you peace of mind on long trips.

• Traveling in a group of 6 or more

It would be a wonderful experience to choose a van for everyone to have his or her own seat. These models accommodate a passenger capacity from 7 to 12 people. While it is noticeable that large cars cannot make quick and sharp turns. So we recommend renting two small or medium-sized cars if you spend a lot of time driving through towns.

Online Booking Process

We are endeavoring to make your booking as convenient as possible. Enter our website QEEQ.com, log in, enter the required information, and follow the instructions, you are free to rent your desired car.

Insurance

What Insurances Are Available?

*For Autopilot Cars:

1. Insured: Protection for the person renting the car, including passenger accident insurance and personal accident insurance (PAI). This includes the personal safety of the driver, passengers, and their personal belongings.
   
2. Automobile Insurance: protection for the vehicle of the renter. Collision Damage Waiver (CDW) is one example.
   
3. Third-party Insurance: insurance that protects third parties other than the renter and the car rental company. Basic Third Party Liability (BTL) insurance, etc.
   

International car rental booking will include the basic insurance required for car rentals: Vehicle Damage Coverage, Theft Protection, and Third Party Liability Insurance.

The deductible is the maximum amount of money you’re liable for in the event your rental car is damaged or stolen as long as you follow the conditions of your rental agreement. For example, the deductible is 1000 dollars, if the damage to the rented car is less than 1000 dollars, the customer pays; if the damage is more than 1000 dollars, the customer pays up to 1000 dollars; and the store’s insurance company pays for the part exceeding 1000 dollars.

Many travelers want more comprehensive coverage and purchase additional insurance. Personnel, vehicle and third-party coverage varies by insurance type. Here are some examples of common types of insurance (note: more checks means more coverage):

When and How to Purchase Insurance

There are two ways to obtain insurance: one is to purchase insurance when booking the car online; the other is to purchase insurance at the local store where the car is rented when picking up the car.

Generally, insurances provided by rental car companies usually has narrower coverage, higher premiums, so purchasing insurance online when booking the car is highly recommended.

How to Choose Insurance

If you are traveling with limited budget, it is better to choose the kind of insurance policy with the most comprehensive coverage. The main reasons are:

1. Firstly, repairing fee for the car would probably be higher abroad.
   
2. Secondly, in case of an accident, the medical cost and compensation are very high.
   
3. Thirdly, the wider the coverage, the less the troubles you would deal with, which saves tons of time and energy.
   

Taking automobile insurance as an instance, comparing to common insurance policies, the most comprehensive insurance coverage, including glasses, tires, chassis protection, and considerations for special road conditions such as sand and rocks, is very necessary, but basic insurance of car rental companies usually does not include full coverage as such.

Picking Up the Car

Check Before Departure

Before proceeding to the car rental shop, make sure you have brought with you all necessary documents for picking up the vehicle, and two international credit cards is recommended to ensure that there is enough credit limit for pre-authorization.

Proceed to the Car Rentals

If there is a pickup store nearby, you could just walk there, following signs for airport rental cars.

If the rental car center is far away, there is usually a free shuttle bus bound for the rental car center. Shuttle buses run every 10 minutes approximately, so take the bus when you see the logo of your car rental company.

If the shuttle is not available, you can contact the car rental company and wait for staff member to pick you up at designated location. In case you have difficulty communicating with the store staff, please call QEEQ and we will assist you in English or other languages.

Inspect the Car

When you receive your reserved vehicle, inspect the bodywork for damage. At that time, it’s a good idea to document the entire process with your smartphone camera or take a picture of the dashboard. Because if you forgot to check the condition of your vehicle before departure, you may be charged for wronged damage repairs when you return it.

Payment

Payment is due on the day of the rental unless you are paying online or purchasing a tour package.

Insurance is usually included in the rental price, but some car rental companies offer paid options for more comprehensive coverage.

Last but not least, keep all contracts and documents safe for possible further usage. Once you have received your keys, check the seat heights, mirror positions, secure child seats, and then you are ready to go!

Traffic Rules and Signs

Drive on the Right

In Iceland, the vehicles drive on the right side of the road, and cars are equipped with a left hand steering wheel. Please pay attention and spend some time to adjust if your country differs from that.

Off-Road Driving

Beaware that driving off-road in Iceland is strictly forbidden. But there is one kind of gravel road called F-Road. It is marked dirt road. With a 4×4 vehicle, you CAN drive on F-roads.

Speed Limit

The speed limit in Iceland is 90km/h (55mph) on paved roads, 80km/h (50mph) per hour on dirt roads, and 50km/h (30mph) per hour in cities.

Headlights On

Iceland has a regulation requiring vehicles to keep their headlights on during daylight. So don’t forget to turn them on when you see others doing the same.

Safety Belt and Child Seat

Drivers and all passengers are required to wear seat belts. Kids under 4 need a car seat, and kids under 12 must sit in the back and wear seat belts.

Driving with a Cellphone

Using a phone while driving is only permitted with a hands-free device, which must be operable with one hand and must not interfere with driving in any way.

The Sheep

Springtime is the season for the lambs to be born. From now on and throughout the summer they will be roaming free around the country and can be expected on and around roads in many areas. When sheep are near or on the road, slow down and show caution, they are very unpredictable when cars approach.

Highland Driving

On highlands the road condition could change unpredictably and rapidly. For information and cautions about highland driving, please visit this website: Highland driving – Safetravel with the road conditions, car choices and cautions concerning this topic.

Single Lane Bridge

When you see this sign, slow down and prepare for another car coming from the opposite direction.

Gravel Road

When you are entering a gravel road, reduce the speed as you could lose your grip.

Other Common Road Signs

Source: Road signs – Safetravel

Before your departure, please plan your trip in detail and visit this website for safety itinerary: Safetravel – Be safe in Iceland

Highway and Toll Road

Toll Road

There is only one toll road in Iceland, the Vadlaheidi Tunnel by Akureyri, which has a fee of around 1,990 ISK for passenger cars. You can pay for the Akureyri tunnel online either 24 hours before or after your drive through it.

The Ring Road

Highway no. 1, commonly known as the Ring Road or Route 1, is the most traveled road around Iceland. All 1322 kilometers of the Ring Road are paved and open throughout the year, although bad weather conditions during winter can cause temporary and local closures.

Gas Stations and Electric Charging Stations

Gas Service

Automated self-service gas stations are available in all towns and along major highways in Iceland, but distances between them can vary. Ensure you have enough fuel to reach the next station.

Most gas stations accept payment only by debit/credit card with a PIN, not cash.

Electric Charging

Traveling with an electric or hybrid car is now convenient, thanks to an interactive map that helps you plan your trip and locate charging stations throughout the country: https://map.visiticeland.com/

Parking

Paid Parking Area

If you drive around cities and towns, with parking spaces indicated with a “P” on blue background, this usually means you shoud pay for your parking. The fee and the way to count varies.

Free Parking Spots

In cities, free parking spots are marked with white lines, and are usually designed as gravel ground (ensure it is not private property before parking). Some spaces beside famous scenic spots on Route 1 are also free for parking.

How to Pay for Parking

You can pay by 3 ways:

1. Cash
   
2. Credit Cards
   
3. Mobile App (Parka or EasyPark)
   

Note: If you are parking while charging, you also need to pay the parking fee.

Accident Handling

If you are involved in a traffic accident, do not panic. Check whether the passengers are injured, help yourself and seek help from passersby. Emergency contacts are available at any time.

• Emergency Services: 112 (police, fire, and ambulance)
  
• Directory Inquiries: 118
  
• Police Station: 444-1000
  
• Search and Rescue: 570-5900
  
• International Directory Inquiries: 1811
  

Scratch

Ensure the safety of personnel→Move the vehicle to the side of the road without obstructing the traffic→Call 112→Take photos or videos of the condition of the vehicle →Register the accident by police and keep a proper record of the accident→Contact the rental car company and insurance company.

Theft

Call 112 → Police take notes → Insurance report → Verify information → Payment

Malfunction

Call the rental car company → They will send someone nearby to tow your car or change a tire.

If the rental car company is unable to help you, contact a towing service with the help of the police. Car repairs are very expensive sometimes, so it is important to have insurance.

Roadside Assistance

When renting a car and driving in Iceland, if a traffic accident occurs, in addition to calling 112, you can also contact the car rental company:

• AVIS: 1-800-352-7900
• SIXT: 1 (888) 749 8227
• Budget: 800-218-7992
• Thrifty: 1-800-283-0898
• Hertz: 1-800-654-5060
• ACE: (877) 822-3872
• Dollar: 800-235-9393
• Yesaway: 1 424-800-4990

Returning the Rental Car

To return the car, just drive back to the rental car company, but pay attention to the following things:

Refuel Before Returning

Usually, the basic rule for returning a car is to refuel the gas before returning it to the rental car company.

Even if the time is up, and there may not be a convenient gas station, it’s okay to drive for a while (about 5 kilometers or so) after refueling.

If you tried to return the car after the due time without refueling, or if you drove an excessive long distance after refueling, we will calculate the remaining time and charge you an additional fee.

Inspect the Car

When you arrive, we will have a representative inspect your vehicle for damage. If it had any damage, additional payment would be made.

Reconcile the Fee

When you return the car, the staff will check and record the vehicle and print the settlement list on site. Please check the list carefully, and if you have any unknown charges, you can raise them in person or call customer service to solve the problem.

Keep the Contract and Document

After returning the car, it is recommended to keep the contract and receipts in a safe place in case of needs.

Help after Trip

Traffic Citation

How to Pay Fine Ticket:

There are two main methods to pay a fine: ATM transfer or manual payment.

We recommend you to pay the fine as soon as possible, otherwise you may have to pay a late fee. If you can’t deal with it right away, tell the car rental company when you return the car, and you can let the company charge your credit card directly, but it usually requires a service fee.

Insurance Claim

If you bought a full coverage insurance, you would receive a fast claim settlement. The following documents should be prepared:

1. Passport
2. Driver’s License
3. Credit Card Checkback History
4. The Car Rental Contract
5. Car Damage Deduction Bill

For more detailed information, check the terms and conditions of insurance company:

https://www.qeeq.com/term?info=axa_policy&browser_open=1

Unknown Charges after Trip

If you received an unexpected deduction when you return to your home country, it might be that your violation fee is paid by the car rental company, but usually the deduction amount will be more expensive than the violation fee because that includes the management fee charged by the car rental company. If you don’t know what the violation was, you can contact our customer service for help.

Penalties of traffic offences in Iceland are expensive. Here is the speeding violation and the corresponding penalties:

For more specific and detailed traffic violations and penalties in Iceland, please refer to these two website:

https://www.hertz.is/driving-in-iceland/driving-tickets-and-fines-in-iceland

Speeding Fines in Iceland: Speeding Ticket Cost & How To Pay

Classic Routes

• The Ring Road (Route 1)

The Ring Road in Iceland is a 1322 km (820 miles) loop that connects most towns and villages, offering a diverse road trip experience through the country’s iconic landscapes. This journey, best explored over at least seven days, can be traveled year-round without the need for a 4×4 vehicle. Starting from Reykjavík, the southern route to Egilsstaðir is particularly scenic, featuring waterfalls and glacial lagoons. The northern section includes attractions like Mývatn’s hot springs and Akureyri’s cosmopolitan charm. While the Ring Road bypasses the Snæfellsnes Peninsula and Westfjords, these areas are worth detours for their unique beauty. Travelers should check road conditions, especially outside summer months, for a safe and memorable adventure.

The Westfjords

• The Westfjords Way

The Westfjords Way, or Vestfjarðaleiðin, is a 950 km route through Iceland’s dramatic Westfjords, featuring a mix of gravel and paved roads. Best traveled in summer, early autumn, or late spring, this route offers breathtaking landscapes with steep mountain roads, colorful beaches, and charming bridges. Along the way, discover small towns rich in cultural heritage, with museums showcasing tales of magic and witchcraft. Enjoy local treats, from remote waffle cafés to top-rated fish restaurants. The journey is surrounded by water, offering kayaking, whale watching, and stunning waterfalls like Dynjandi. A 4×4 is recommended in winter for this off-the-beaten-path adventure.

The North

• The Arctic Coast Way

The Arctic Coast Way, a 900 km route along Iceland’s northern coastline, offers a unique journey close to the Arctic Circle. Best traveled between April and October, this route can be explored as a detour from the Ring Road or as a standalone 3–12 day adventure. It features six peninsulas and islands, with over 25 cultural sites and museums showcasing Iceland’s rich history. Experience untouched nature with opportunities for whale watching, hiking, and horseback riding. Engage in Hero Experiences like cooking with local chefs or exploring towns with storytellers. A 4×4 vehicle is recommended for this scenic and immersive journey.

• The Diamond Circle

The Diamond Circle is a 250 km loop in North Iceland, offering a tour of the region’s most stunning landscapes. Best explored over 1 to 3 days, this route includes glacial waterfalls like Dettifoss and Goðafoss, the geothermal wonders of Lake Mývatn, and the whale-rich Skjálfandi Bay near Húsavík. The journey also covers the Jökulsárgljúfur Canyon, with its scenic hiking paths, and the Tjörnes Peninsula, known for ocean views and fossils. Open year-round, a 4×4 is recommended from October to April. This route is perfect for experiencing Iceland’s natural beauty and diverse wildlife.

The South

• The Golden Circle

The Golden Circle is a popular 250-kilometer route from Reykjavik, typically explored over 1 to 3 days. It features iconic sites like Gullfoss waterfall, known for its cascading shape and photogenic appeal, and the geothermal area in Haukadalur, where the Strokkur geyser erupts every 8-10 minutes. Þingvellir National Park, a UNESCO World Heritage site, offers historical significance and geological wonders, including visible tectonic plate crevasses. Additional highlights include the Kerið volcanic crater and Skálholt. This route, accessible year-round, showcases Iceland’s stunning landscapes and geothermal features.

• The Volcanic Way

The Volcanic Way is a captivating route through South Iceland and the Reykjanes regions, covering approximately 700 km one-way or 1200 km round-trip. This journey takes you to eight significant volcanoes, each telling a unique geological story. Along mostly paved roads with a 90 km/h speed limit, you’ll pass through 17 towns and villages, encountering hot springs, lava fields, black sand beaches, and basalt columns. Open year-round, this route invites travelers to explore Iceland’s raw beauty and volcanic history at a leisurely pace, dedicating at least one day to each of the eight stages. Visit this website to plan your route: The Volcanic Way | Visit South Iceland

The East

• The Eastfjords

The Eastfjords drive, spanning 200 to 400 km, offers a scenic journey from Djúpivogur to Borgarfjörður Eystri, perfect for a 2 to 5-day road trip. This route, accessible year-round, is best explored in summer and is recommended with a 4×4 from October to April. The Eastfjords, often overlooked, provide a glimpse into small-town Iceland, with charming villages like Seyðisfjörður, known for its international ferry and art scene, and Fáskrúðsfjörður, with its French heritage. Discover the natural beauty of fjords, waterfalls, and hiking paths, and enjoy local culture in towns like Neskaupstaður and Reyðarfjörður.

Useful Websites and Numbers

Emergency Contacts:

• Emergency Service (police, fire & ambulance): 112
• Directory Inquiries. Tel: 118
• Police Station. Tel: 444-1000
• Search and Rescue. Tel: 570-5900
• International Directory Inquiries: 1811

Roadside Assistance:

• AVIS: 1-800-352-7900
• SIXT: 1 (888) 749 8227
• Budget: 800-218-7992
• Thrifty: 1-800-283-0898
• Hertz: 1-800-654-5060
• ACE: (877) 822-3872
• Dollar: 800-235-9393
• Yesaway: 1 424-800-4990

Websites:

• Official Tourism: Visit Iceland | Official travel info for Iceland
• Important Numbers: Important Phone Numbers | Visit Reykjavík
• Safetravel: Safetravel – Be safe in Iceland
  

Others:

• ROAD.IS
• Home-page – Icelandic Meteorological Office | Icelandic Meteorological office
• https://wet.is/