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If you're planning a self-drive adventure in Iceland, one of the first questions that pops into your mind is: how much does it cost to rent a car in Iceland? Whether you’re exploring the Golden Circle or braving the Highlands, understanding rental costs is essential for budgeting your trip. In this guide, we’ll break down everything from vehicle types to insurance fees, seasonal pricing, and insider tips for saving money—so you’ll know exactly what to expect.Car rental prices in Iceland: the basicsRental car prices in Iceland can vary significantly depending on the time of year, the type of vehicle, and the rental company you choose. In general, you can expect the following price ranges in 2025:Small cars (e.g. Toyota Aygo, Kia Rio): $40–$90 per dayMid-size cars (e.g. Dacia Duster, Toyota Corolla): $70–$140 per day4x4/SUVs (e.g. Toyota RAV4, Land Cruiser): $100–$220 per dayElectric vehicles (EVs): $80–$180 per day Prices fluctuate based on demand. High season (June–August) sees the steepest prices, while shoulder seasons (May, September) offer more reasonable deals.What’s included in the price?Some car rental companies advertise low daily rates but tack on surprise fees later. At Zero Car Rental, we believe in transparency. Every rental includes:Full insurance with zero excessUnlimited mileage24/7 roadside assistance with no deductible!No security deposit requiredAirport pickup with keybox accessThis all-included model simplifies pricing and reduces unexpected charges—ideal for travellers who value peace of mind.Factors that affect the cost of renting a car in IcelandUnderstanding what drives rental prices helps you plan better. Here are the main cost factors:Seasonality: Summer rates can be double or even triple what you’d pay in spring or autumn. Demand surges between June and August as thousands of tourists flock to Iceland, creating a competitive environment for rental cars. Shoulder seasons like May and September offer the best balance of good weather and reasonable pricing. Winter months (October–April), while cheaper, may require specific vehicles like 4x4s for safety. Booking as early as possible, especially for summer, not only secures a better price but also guarantees availability—essential for popular models.Car type: The type of vehicle you choose plays a major role in determining your rental cost. Small, fuel-efficient cars are usually the most budget-friendly, perfect for solo travelers or couples staying on paved roads. In contrast, 4x4s and campervans are more expensive due to their ability to handle Iceland’s rugged terrain and unpredictable weather. These vehicles also come with higher insurance costs and fuel consumption. SUVs like the Toyota Land Cruiser or Dacia Duster are in high demand for their versatility, particularly for accessing the Highlands and F-roads during summer.Rental duration: Many rental companies offer lower daily rates for longer bookings. If you’re planning a week-long or two-week itinerary, you’ll often find tiered pricing that rewards extended rentals. Some companies drop the daily rate by 10–20% after five or more consecutive days. Long-term rentals (14+ days) may come with even deeper discounts, making them ideal for extended stays or Ring Road explorations. Remember, some promotions are only visible when selecting longer durations directly on the booking platform.Pickup and drop-off location: While most tourists collect their car directly from Keflavík International Airport, some may prefer to pick up or drop off in Reykjavik or other towns. Some rental companies charge additional fees for city-center drop-offs, one-way rentals, or remote location pickups. These fees can range from $30 to over $100 depending on distance and logistics. Choosing airport pickup can save both time and money—especially if the company offers a contactless keybox service, like Zero Car Rental does.Extras and insurance: Extra services can stack up quickly if you're not careful. Additional drivers may incur a daily fee. GPS units, portable Wi-Fi routers, child safety seats, and winter tires are common add-ons—though some companies include these by default. Most notably, insurance upgrades can dramatically inflate your total cost. That’s why choosing an all-inclusive provider like Zero, where full insurance, roadside assistance, and essentials are built into the price, can be more economical in the end—even if the base rate appears higher at first glance.Insurance: the hidden cost most travellers forgetCar insurance in Iceland is complex—and pricey. Many companies offer only basic coverage with high deductibles. Add-ons like:Gravel Protection (GP)Sand and Ash Protection (SAAP)Super Collision Damage Waiver (SCDW)...can push your total cost up by $20–$50/day - EACH! - And these vary greatly between car rentals. At Zero Car Rental, all our cars come with full coverage and zero excess, so you never pay a króna extra, no matter what.How much will a week of car rental in Iceland cost?If you booked with a provider that didn’t include insurance, you could easily add $200–$400 extra in coverage and deposit fees.But a a very popular route - This Perfect 6 Day self drive - can be seen with different cars here - just input your preferred dates and extras:Toyota AygoDacia Duster (Manual)Toyota RAV4Toyota Land CruiserKia EV3Fuel costs and savings tipsFuel prices in Iceland are among the highest in Europe. As of early 2025, petrol costs around ISK 325/liter (approx. $9.30/gallon). Diesel is slightly cheaper.To reduce fuel expenses:Choose a fuel-efficient car or EV.Use fuel discount cards provided by some rental companies.Plan routes to avoid unnecessary detours.To check up-to-date fuel prices and find the cheapest station near you, visit Gasvaktin.is—a handy website that shows live prices across the country.Zero Car Rental includes fuel discounts with all bookings and offers a wide selection of hybrids and EVs.Can you save money on Iceland car rentals? Yes—here’s howBook early: Iceland’s inventory is limited. Last-minute bookings cost more.Avoid the upsell: Many extras are unnecessary or overpriced.Compare total cost, not just the base rate: A cheap base rate plus lots of add-ons may cost more than an all-inclusive rental.Look for direct booking discounts: Some rental companies offer promo codes on their own websites.Why Zero Car Rental stands outWith Zero, what you see is what you pay. Our model was built to eliminate confusion, upsells, and fine print.Here’s what makes us different:Full insurance always included—with zero excessRoadside assistance included in every rental with no deductibleNo deposits, no hidden feesAirport and downtown Reykjavik pickup via secure keybox—no waiting in lineIt’s the stress-free way to experience Iceland by car. Learn more at Zero Car Rental.Conclusion: Cost clarity means better planningSo, how much does it cost to rent a car in Iceland? Expect to spend between $500–$1,500 for a week, depending on the car and season. But the real cost depends on transparency. Companies that include insurance, mileage, and assistance in the price offer the best value—even if the base rate is a little higher.Plan ahead, compare fairly, and choose a provider that won’t surprise you later. Your road trip across Iceland’s jaw-dropping landscapes deserves nothing less.

There’s no better way to experience Iceland than by car. We have said it a million times and we will do so again! This 6-day Iceland itinerary is built for first-time visitors who want flexibility, freedom, and unforgettable views—without the hassle of tour groups or rigid schedules. You’ll explore the Golden Circle, traverse the dramatic South Coast, stand before glaciers and icebergs, and return through mossy canyons and coastal villages—all on your terms, with Zero by your side.With Zero Car Rental, the journey begins the moment you land: no lines, no upsells, no stress. Just grab your key from our airport keybox, hop in your fully insured vehicle, and drive straight into adventure. Whether you’re here to soak in steaming lagoons, chase waterfalls, or explore black sand beaches, Zero makes it seamless with full insurance (zero excess), no deposit, and 24/7 roadside assistance included in every rental.Let’s hit the road! Day 1 – Arrival: Blue Lagoon & Reykjavík WelcomeWelcome to Iceland! The moment you step off the plane at Keflavík International Airport (KEF), your adventure begins—not with long rental counter lines or confusing paperwork, but with Zero Car Rental’s fast, secure keybox pickup system. With your code in hand, you can walk straight to your car, unlock it, and hit the road—all in under 5 minutes. No hidden fees, no deposit, full insurance with zero excess, and 24/7 roadside assistance included means complete peace of mind from the moment you land.First Stop: Soak at the Blue LagoonBefore diving into city life, it’s time to relax and recharge after your flight. Just 20 minutes from KEF, the Blue Lagoon is one of Iceland’s most famous and soothing destinations. Nestled in a mossy lava field, this geothermal spa is rich in silica, algae, and minerals, known for leaving skin refreshed and glowing. The milky-blue waters are naturally heated and available year-round—whether you're arriving in summer sunlight or under the northern lights.Zero tip: Pre-book your tickets to secure your entry slot. Opt for the Comfort Package (includes a drink, face mask, and towel) for a balanced experience.If you're feeling indulgent, consider dining at LAVA Restaurant within the lagoon complex, where you can enjoy modern Icelandic cuisine with panoramic views of the lava fields. Perfect for a light lunch before heading into the capital.Head to Reykjavík – The World’s Northernmost CapitalOnce you're recharged, continue your drive to Reykjavík—around 45 minutes from the Blue Lagoon. Along the way, you’ll pass lunar-like lava fields and glimpses of the Atlantic Ocean. As you approach the city, the iconic Hallgrímskirkja Church will appear on the skyline, a sign that you're about to enter Iceland’s cultural heart.Check in to your accommodation—Reykjavík offers everything from boutique guesthouses to stylish design hotels. If you're looking for inspiration:Kvosin Downtown Hotel – chic and centrally locatedReykjavík Residence Hotel – spacious suites with kitchens, great for familiesION City Hotel – modern and minimalist, with a strong local design aestheticEvening Stroll & Dinner in StyleReykjavík is a walkable city filled with character, color, and creativity. Take a stroll down Laugavegur, the city’s main shopping street, where you'll find everything from local wool sweaters to quirky bookstores and craft beer bars. Detour to the harbor for views across Faxaflói Bay, and if you're visiting in winter, keep your eyes peeled for the northern lights dancing above the city.For dinner, Reykjavík’s food scene is a destination in itself:Fiskfélagið (The Fish Company) – a fine-dining spot in a cozy cellar offering creative takes on Icelandic seafood.Mat Bar – an intimate restaurant known for its small plates, natural wines, and Italian-Icelandic fusion.Hlemmur Mathöll – if you're feeling casual, this food hall offers a wide range of street food under one roof.If you’re still feeling energized, grab a nightcap at Kaffibarinn—a legendary downtown bar—or Skúli Craft Bar for a great selection of local brews. Overnight in ReykjavíkTomorrow, your road trip truly begins—but for now, enjoy the easy start and urban comforts after a long journey. With your Zero Car Rental vehicle ready and reliable, you're in full control of your schedule—no tour groups, no rush, just Iceland on your terms. Day 2 – Golden Circle AdventuresFuel up for the day with a coffee and fresh pastry at Sandholt Bakery, a Reykjavík institution known for its flaky croissants and sourdough bread. It’s the perfect spot to plan your route and charge your phone before hitting the road. Stop 1: Þingvellir National ParkJust under an hour from Reykjavík, Þingvellir (Thingvellir) is a UNESCO World Heritage Site and the heart of Icelandic history. It’s where the world's first democratic parliament was established in 930 AD. Park your car and walk between the North American and Eurasian tectonic plates in the Almannagjá gorge—a rare geological feature.If you're feeling adventurous, consider booking a snorkeling tour in Silfra fissure, a crystal-clear glacial spring where visibility can reach over 100 meters.Stop 2: Geysir Geothermal AreaFrom Þingvellir, drive about 50 minutes east to the Geysir Geothermal Area in Haukadalur Valley. Here you'll witness Strokkur, Iceland’s most active geyser, erupt every 5 to 10 minutes—launching boiling water up to 20 meters in the air. It's a favorite for photo ops, so have your camera ready.Take time to walk the boardwalk trails and observe the bubbling hot springs and steaming vents that surround Strokkur—just be cautious around the edges.Lunch at Friðheimar – A Tomato WonderlandA short 10-minute drive from Geysir takes you to the Friðheimar Greenhouse Restaurant in Reykholt. This is no ordinary lunch stop. You’ll dine inside a working greenhouse, surrounded by tomato plants. Everything on the menu—from the soup to the Bloody Marys—is tomato-based and freshly harvested on-site using geothermal heat and sustainable practices.Zero Tip: Reservations are strongly recommended, especially in summer. Stop 3: Gullfoss WaterfallJust 15 minutes from Friðheimar, Gullfoss is one of Iceland’s most iconic waterfalls. Watch as glacial water from the Hvítá river crashes in two dramatic stages down into a rugged canyon. In winter, the falls can be partially frozen—making them even more majestic. Don’t miss the upper viewing platform for panoramic photos.There’s a café and souvenir shop on-site if you want to grab a hot drink or some locally made gifts.Optional Detour: Secret Lagoon or Kerið CraterDepending on time, consider a short detour to:The Secret Lagoon in Flúðir—an alternative to crowded spas, this geothermal pool is rustic and charming.Kerið Crater – A vivid red volcanic caldera filled with a turquoise lake. A short walk around the rim offers striking views.Evening Relaxation: Laugarvatn FontanaFinish your day with a soak at Laugarvatn Fontana, a geothermal spa overlooking Lake Laugarvatn. Rotate between the natural steam baths, hot pools, and the icy lake itself (if you're feeling brave). It’s a perfect way to unwind after a full day of sightseeing.Make sure to stay hydrated, especially in geothermal areas—keep water in your Zero rental car for the road.Overnight Suggestions:Heradsskolinn Boutique Hostel in Laugarvatn – charming, budget-friendly, and beautifully restored.360 Hotel & Thermal Baths in Selfoss – elegant and relaxing with private hot pools. Day 3 – South Coast: Waterfalls, Cliffs & Black SandsAfter a restful night in Selfoss or Laugarvatn and a full day exploring the Golden Circle, today’s drive takes you along Iceland’s dramatic South Coast—a route known for some of the country’s most breathtaking landscapes. Morning Drive: From Golden Circle to the WaterfallsLeave your accommodation after breakfast and follow Route 1 eastward. In about 1 hour 45 minutes, your first major stop is Seljalandsfoss, a stunning 60-meter waterfall tumbling over a cliff into a lush green valley. What makes this fall truly unique is the path behind the cascade—walk behind the curtain of water for a magical, misty perspective (bring a rain jacket or fast-drying clothes).Just a short walk north is Gljúfrabúi, one of Iceland’s hidden treasures. Tucked behind a moss-covered cliff, this partially obscured waterfall feels like a secret straight out of Norse mythology. Carefully step across the shallow stream to peer inside its rock chamber—it's well worth the effort.Continue along Route 1 and, after about 30 minutes, you’ll reach your next marvel: Skógafoss. This waterfall is both taller and more powerful, crashing from a similar height but with much more force. On sunny days, rainbows often appear in the mist at its base. Adventurous travelers can climb the 500+ stairs to the right of the falls for sweeping views over the South Coast plains.Lunch Stop: Homey Fare with a Local TouchJust around the corner from Skógafoss, stop at Mia’s Country Van—a roadside food truck beloved for its lamb stew, homemade bread, and traditional Icelandic pastries. It’s a simple but soul-warming stop, and the views from the picnic tables make it a memorable lunch break.Afternoon: Black Sands & Basalt ColumnsFrom Skógafoss, continue another 35 minutes to Reynisfjara Black Sand Beach, just west of the small town of Vík. This beach is one of Iceland’s most iconic natural sights, famous for its jet-black volcanic sand, striking basalt column cliffs, and the mysterious sea stacks known as Reynisdrangar, said to be trolls frozen in stone.Park safely and take your time walking along the beach—but be vigilant. The Atlantic waves here are known for their power and unpredictability. Keep a safe distance from the shoreline and respect all posted safety signs.The cliffside Hálsanefshellir Cave offers a great photo spot framed by angular basalt formations, and the contrast of dark sands and crashing white waves makes this a photographer’s paradise.Optional Detour: Dyrhólaey ViewpointIf time and weather allow, take a detour to Dyrhólaey, a dramatic sea arch and cliff-top viewpoint just 20 minutes from Reynisfjara. On clear days, you can see Mýrdalsjökull glacier in one direction and the black sand beaches stretching endlessly in the other. In summer, the cliffs are also a nesting ground for puffins.Evening in VíkAfter a full day of exploring, check into your accommodation in Vík í Mýrdal—a small coastal village tucked between mountains and sea. You’ll find everything from guesthouses to modern hotels here, and it makes an ideal overnight base before heading further east toward glaciers and icebergs.Dinner Options:Smiðjan Brugghús – A lively brewery and smokehouse serving up craft beer, burgers, ribs, and pulled pork sandwiches. Great for groups or hungry hikers.The Soup Company – A cozy, casual spot with warming soups, including their signature “lava soup” served in a bread bowl.Where to Stay:Hotel Vík í Mýrdal – Comfortable and centrally located with great breakfast.Hótel Kría – A stylish and modern option with mountain views and an excellent on-site restaurant.Farmhouse Lodge – Located just outside town, offering quiet countryside charm and starry skies perfect for northern lights viewing in winter. Day 4 – Glaciers & Icebergs: Vatnajökull National Park & JökulsárlónToday, your journey brings you even closer to Iceland’s icy heart—Vatnajökull, Europe’s largest glacier. As you travel deeper into the southeast, the landscapes become more dramatic and glacial tongues begin to dominate the horizon.Morning: Skaftafell – Glacier Views & Hiking TrailsSet off early from Vík or your South Coast accommodation and follow Route 1 eastward toward Skaftafell, a stunning nature reserve nestled within Vatnajökull National Park. The drive takes about 2.5 hours, but the scenery along the way—expanses of black sand plains, moss-covered lava fields, and glacial rivers—makes it one of the most spectacular stretches in Iceland.At Skaftafell, you’ll find a range of hiking trails suitable for all levels:The Svartifoss trail (about 1.5–2 hours round trip) leads to a dramatic waterfall framed by dark basalt columns, often called the “organ pipes.”Shorter routes offer panoramic views over glaciers and the surrounding plains.In summer, wildflowers dot the meadows, creating vivid contrasts against the ice-capped peaks.There’s a visitor center and a small café here—perfect for grabbing coffee, light snacks, or getting advice on trail conditions from park rangers.Midday: Glacier Hikes or Ice Cave ToursFor those craving adventure, this is the time to get up close to the ice.Book a glacier hike with certified operators like Icelandic Mountain Guides or Arctic Adventures. These guided experiences allow you to walk on the glacier surface with crampons, exploring ice formations, moulins, and deep crevasses.In winter (typically November to March), you can visit a natural ice cave—a surreal blue-hued world carved out by meltwater within the glacier.Zero Tip: Always use certified, experienced guides for glacier or cave tours. These areas can be dangerous without expert support.Afternoon: Jökulsárlón & Diamond BeachJust an hour’s drive further east lies Jökulsárlón Glacier Lagoon, one of Iceland’s most iconic and otherworldly destinations. Here, vast icebergs break off from the Breiðamerkurjökull glacier and drift slowly across the lagoon before floating out to sea.Take your time walking the shores of the lagoon, where you’ll see seals swimming among the icebergs and birds circling overhead. You can also opt for a boat tour, available in summer, that takes you up close to the floating ice.Just across the road is Diamond Beach, a black sand shoreline where chunks of ice wash ashore like scattered jewels. It's a stunning visual contrast and one of the most photogenic spots in the country.Zero tip: Visit in late afternoon when the sun begins to lower and the light plays off the ice—ideal for photography.Dinner in Höfn – Langoustine Capital of IcelandFrom Jökulsárlón, continue east for just over an hour to reach Höfn, a fishing town perched on a peninsula with glacier views in almost every direction. Höfn is famous for its langoustine (Norway lobster), and it’s the perfect place to treat yourself to a memorable dinner.Dinner Recommendation:Pakkhús Restaurant – A beautiful waterside restaurant housed in an old warehouse near the harbor. Known for its langoustine specialties, the menu also features fresh arctic char, lamb, and locally inspired dishes. Ask for a table upstairs for glacier views at sunset.If Pakkhús is full, consider:Otto Matur & Drykkur – A smaller, creative spot blending Icelandic tradition with modern flair.Overnight in Höfn or Southeast IcelandStay the night in Höfn or the surrounding region. The town is well-equipped with accommodations for every style:Hali Country Hotel – A rural hotel near Jökulsárlón with glacier views and its own museum.Milk Factory Hotel – A comfortable boutique hotel in Höfn with a minimalist Nordic design.Fosshotel Vatnajökull – Just outside Höfn, offering spacious rooms and glacier-facing balconies.Day 5 – Scenic Return & Reykjavík StopoverToday you begin your westward journey back toward Reykjavík, retracing the stunning South Coast at a relaxed pace. With Zero Car Rental, you’ve had the freedom to explore Iceland on your terms—no tight schedules, no hidden costs, and always covered with zero excess insurance and 24/7 support.While the drive from Höfn to KEF could be done in one stretch, that’s not the Icelandic way. We recommend taking your time and staying one final night in Reykjavík to unwind, enjoy a proper meal, and reflect on your adventure.Morning: Höfn to South Coast – A Scenic Drive Worth RepeatingLeave Höfn after breakfast and make your way west on Route 1, the Ring Road. This return trip offers new perspectives on familiar landscapes—changing weather, shifting light, and a chance to stop at sights you may have missed on the way east.Suggested Stops Along the WayFjaðrárgljúfur Canyon(Approx. 2.5 hours from Höfn)A dramatic, mossy canyon winding through the cliffs near Kirkjubæjarklaustur. Stop for a short hike to a viewpoint over the canyon's winding river and sculpted walls. A great place to stretch your legs and grab fresh air.Vík Wool Factory OutletBefore leaving Vík, stop at the Icewear Outlet Store for authentic Icelandic wool clothing and practical souvenirs. They also have tax-free shopping for visitors, making it a convenient last-minute stop for gifts.Lunch at The Soup CompanyTucked behind the Icewear store, The Soup Company is a cozy favorite. Try their signature “lava soup” in a bread bowl or the rich seafood bisque—served quickly, perfect for road trippers.Afternoon Stop: Hveragerði – Iceland’s Geothermal Greenhouse TownKnown for its hot springs and bubbling geothermal activity, Hveragerði is only about 45 minutes from Reykjavík. You can stop by the Geothermal Park for a short visit or explore one of the local greenhouses producing tomatoes, flowers, and even bananas with natural heat.For a more active break, consider a short section of the Reykjadalur Hot River Trail—even a quick hike to the lower viewpoints offers rewarding views over the steaming valley without committing to the full 3-hour return trip.Evening Arrival in ReykjavíkArriving back in Reykjavík in the late afternoon or early evening, you’ll find the city welcoming yet familiar. Now that you’ve seen the raw nature of Iceland, take time to enjoy a more urban finale—with great food, boutique shops, and a restful night’s sleep.Dinner RecommendationsROK Restaurant Just behind Hallgrímskirkja, this cozy stone house serves modern Icelandic tapas with a twist—try the lamb tartare or truffle mashed potatoes. Great cocktails and wine list, too.Brút Restaurant A newer seafood-focused spot located near the old harbor, with a minimalist design and a creative seasonal menu that feels upscale but relaxed.Apótek Kitchen + Bar Set in a beautiful former pharmacy downtown, this stylish bistro serves Icelandic fusion dishes—ideal if you’re looking for a lively atmosphere without the fuss of fine dining.Overnight in Reykjavík – Alternative Hotel OptionsCanopy by Hilton Reykjavík City Centre Modern, artsy, and centrally located with cozy rooms and a fantastic breakfast buffet. A solid mid-to-premium option for couples or small groups.Alda Hotel Reykjavík Trendy, with a Scandinavian vibe and great views from upper floors. Located right on Laugavegur but away from late-night noise. Great for solo travelers and couples.Eyja Guldsmeden Hotel An eco-conscious boutique hotel near Hlemmur. Balinese-inspired interiors and organic breakfast make it one of Reykjavík’s more unique and relaxed stays.Day 6 – Departure Made EasyIt’s your final day in Iceland, and while it may be time to head home, your adventure doesn’t have to end just yet. If your flight departs in the afternoon or evening, you have time to enjoy a few final experiences in or near Reykjavík before making the drive to Keflavík International Airport (KEF).Thanks to Zero Car Rental’s streamlined drop-off process, no deposit, and no excess insurance, your return is as simple as turning the key—literally.Morning Suggestions for Late FlightsIf you’re flying out later in the day, make the most of your final morning with one of these flexible, half-day activities:1. Whale Watching from Reykjavík’s Old HarbourStart your day with a whale watching tour departing just steps from downtown. Tours typically last 2.5 to 3 hours and offer the chance to see minke whales, humpbacks, dolphins, and puffins in season. Most companies provide warm overalls and indoor seating.Best for: Wildlife lovers, families, photographersDeparture times: Usually 9:00 or 10:00 AM year-round2. Relax and recharge at Sky LagoonIf you’re looking to end your trip in pure Icelandic style, unwind at the Sky Lagoon—Reykjavík’s newest geothermal spa, located just 15 minutes from downtown. The lagoon overlooks the Atlantic Ocean and features a 7-step ritual, including a cold plunge, steam, and sauna.Best for: Wellness-focused travelers, couplesOpen from: 10:00 AM dailyPro tip: Book the Sky Pass for access to private changing rooms and enhanced spa access3. Off-road fun on an ATV tourFeeling adventurous? Head to Safari Quads for a guided quad bike ride on the outskirts of the city. Most tours take you to Mount Esja or the Reykjanes Peninsula, with panoramic views, lava fields, and black sand tracks.Best for: Adventure seekers, small groupsDuration: 1–2 hours (morning departures available)Zero Tip: No experience needed—just a valid driver’s licenseDrive to the AirportAfter your morning activity, leave Reykjavík with ample time. The drive to KEF takes about 45 minutes along Route 41. If you need to top up the fuel, Orkan and N1 stations are available en route—just make sure to use your credit card with PIN.Returning Your Vehicle – Quick & SeamlessZero Car Rental’s keybox return at KEF ensures your final moments in Iceland are free from queues, counter delays, or last-minute paperwork. Simply:Drive to Zero’s designated delivery area at the Blue Car Rental location, clearly signed at the airport.Park your vehicle.Go into the desk and leave your key with our staff (we always welcome feedback from your rental and we would appreciate a review)You’re done—on your way to departures in under two minutes.Takk fyrir – and see you next time!From waterfalls and volcanoes to glaciers and hot springs, you’ve experienced the best of Iceland with the independence of your own vehicle—and the simplicity of Zero Car Rental. We hope you’ll return, and when you do, we’ll be ready with no lines, no stress, and no surprises. Why Choose Zero Car Rental?✅ Full Insurance, No Excess – Every rental includes full coverage. No hidden fees, no deductible surprises.✅ 24/7 Roadside Assistance Included with No excess – Wherever you are in Iceland, we’ve got your back.✅ Airport Keybox Pickup & Dropoff – Skip the counters. Pick up and return your car at KEF with zero stress.✅ No Deposit & Unlimited Mileage – Travel freely with no limits and no upfront hold on your credit card.✅ Transparent Pricing – What you see is what you pay. Always.

Let’s be honest. The hardest decision about your Iceland trip isn’t whether to pack wool socks or waterproof ones (spoiler: both). It’s choosing which direction to drive first. Should you go northbound to chase wild fjords, geothermal secrets, and fewer tourists? Or southbound to hit every Instagrammable waterfall, glacier, and puffin hotspot in a single road trip? Either way, your perfect Icelandic adventure starts with one key move: renting a car with Zero Car Rental.With full insurance, zero excess, a seamless keybox pickup at KEF Airport, and roadside assistance built into every rental, Zero is the no-hassle launchpad for your journey—north, south, or somewhere gloriously off-grid. First things first: Why rent a car in Iceland at all?If you’re hoping to “do Iceland” by bus, you might find yourself stuck in a Reykjavik café wondering where all the volcanoes went. Iceland is built for self-drive exploration. Whether you’re navigating fjord roads, pulling over to pet shaggy horses, or making emergency hot spring detours, a car gives you freedom, flexibility, and a whole lot more fun.Still on the fence? We’ve broken it all down for you in this no-fluff guide to renting a car in Iceland.Northbound: For the solitude seekers and midnight sun chasersGoing north is like entering Iceland’s hidden back room—less tourist traffic, more local flavor, and landscapes that look straight out of a Viking saga. Northern Iceland offers a raw and untamed beauty that speaks to adventurers looking for more than photo ops—it offers experiences. From dramatic coastal cliffs to geothermal oases tucked between lava fields, every turn reveals a piece of the country many travelers miss. And with fewer crowds, you often have these wonders all to yourself.This is the land of the midnight sun in summer, where golden light stretches into the early hours and the wildlife—foxes, whales, and seabirds—go about their ancient routines undisturbed. In winter, this same region becomes a stage for the northern lights, with the dark skies over remote villages putting on breathtaking shows.The north is also a cultural experience: charming turf-roofed farms, sagas etched in stone, and locals who might invite you in for coffee and stories. Want to unwind in nature without being elbow-to-elbow with tourists? Head to the geothermal Mývatn Nature Baths, a quieter (and arguably better) alternative to the Blue Lagoon.If you’re craving something a little more epic, explore the vastness of the highlands that skirt the north. Places like Askja caldera and Herðubreið volcano require 4WD and a dose of courage, but they reward with landscapes so otherworldly, NASA once used them to train astronauts.And don’t forget the fjords of the northeast. The winding roads leading into towns like Bakkagerði (home of the elf queen, allegedly) make for cinematic driving. Birdwatchers can spot puffins, while solitude seekers might spend hours simply watching waves crash on ancient rock.Driving in the north is less about checklists and more about discovery. The joy is in the unexpected—a waterfall with no name, a herring-era museum run by a retired fisherman, or a roadside hot pot with a view of nothing but sheep and sky.Highlights of a Northbound Route:Akureyri: The “Capital of the North” with charming cafés and epic whale watching.Mývatn: Boiling mud pools, lava fields, and a lake that smells like science class.Húsavík: Arguably the best place in Europe to see whales (and sing the Jaja Ding Dong).Dettifoss: Europe’s most powerful waterfall—stand near it and feel like a soggy ant.The roads up north are long, wild, and empty in the best way. Perfect for travelers who like their trips quiet, quirky, and surrounded by nature.Best vehicle for the job? One of our fuel-efficient SUVs with 4WD. Full insurance and 24/7 roadside assistance come standard, because the North doesn’t mess around.Southbound: For the waterfall hoppers and glacier loversIf this is your first time in Iceland, head south. Yes, it’s more popular—but for good reason. The south coast is Iceland's greatest hits album: dramatic landscapes, bucket-list landmarks, and a road so scenic it’s practically a moving postcard. This is the route for travelers who want maximum wow with minimum detours.Right after leaving Keflavík Airport, you’re treated to a steady stream of jaw-dropping sights. Vast lava fields from centuries-old eruptions flank the roads, and steam rises from hidden geothermal vents. Every hour feels like a new highlight reel. It's a drive where the view changes with every curve, offering one photogenic marvel after another.Beyond the natural beauty, the south is where Iceland’s contrasts are on full display—icy glaciers and fiery volcanoes coexist just kilometers apart. Visit the LAVA Centre in Hvolsvöllur to understand the seismic drama beneath your tires, then head east toward the rolling tongues of Vatnajökull glacier, the largest in Europe.Summer travelers can enjoy midnight hikes and fields of blooming lupines, while winter brings snow-dusted waterfalls and ice cave tours that look like you’ve stepped into a fantasy novel. And speaking of fantasy, parts of this region were featured in Game of Thrones—so expect dramatic vibes at every turn.If you like charming towns with good food and better stories, don’t miss places like Hella, Kirkjubæjarklaustur, or Höfn (hello, langoustines). The locals are friendly, and even the gas stations serve surprisingly decent hot dogs and strong coffee.Want something more offbeat? Try a glacier hike on Sólheimajökull, explore the mossy canyon of Fjaðrárgljúfur, or drive inland to discover Þórsmörk, a rugged valley named after Thor himself.And yes, puffins. If you're here between May and August, Dyrhólaey cliffs become prime puffin real estate—just bring a zoom lens and a bit of patience.In short, South Iceland is a choose-your-own-adventure playground packed with visual overload, Icelandic legends, and natural spectacles that will ruin waterfalls for you anywhere else. You’ll get wall-to-wall scenic overload from the minute you leave KEF.Top Southbound Stops Include:Seljalandsfoss & Skógafoss: Two iconic waterfalls you can (mostly) walk behind or up.Reynisfjara: Black sand beaches with basalt columns and wave warnings.Vík: The southernmost village with charm, cliffs, and great hot chocolate.Jökulsárlón: Glacier lagoon + diamond beach = Insta heaven.Pro tip: These routes are usually well-maintained, so even our smaller rentals or electric vehicles will do the trick. You can read our Ultimate Guide for International Travelers to get a better sense of road rules, gas stations, and driving etiquette.Not sure which way to go? Make it a loop.Why settle for just half the experience when you can have it all? Iceland’s Ring Road (Route 1) is a 1,332-kilometer ribbon of adventure that circles the island and connects many of its most famous sights—along with plenty of hidden gems in between. Whether you start north or south, a full loop gives you the ultimate mix of landscapes, cultures, and unforgettable roadside surprises.The Ring Road doesn’t include detours to areas like the Westfjords or Snæfellsnes Peninsula—but those are well worth adding if time allows.If you’ve got 7–10 days, a full circuit is more than doable—and with Zero’s unlimited mileage, there’s no need to obsess over distance. Take your time. Pull over for every waterfall. Chase sunsets that never end. Grab coffee at that random gas station café that turns out to be run by a former fishing captain with the best pancakes on the island.Driving the loop means you get the best of both worlds: the southern showstoppers and the northern serenity. You’ll go from lava beaches to snow-capped peaks, from glacier tongues to geothermal lagoons, and from bustling towns to ghostly valleys where it’s just you and the wind.Want help planning it? Check out our Zero-hassle itinerary for 2025. It covers routes, time-saving tips, and where to stop for the best views, meals, and spontaneous swims.Need-to-know tips for a Ring Road adventure:Time it right: Summer offers long days and easy roads, while fall and winter bring the magic of northern lights and quieter travel.Bring layers: The weather can flip moods faster than a teenager.Use common sense: Don’t camp where you’re not allowed. Don’t feed the horses chocolate (yes, it happens). And always, always respect the signs.Just remember: speed limits are in kilometers per hour, sheep have right of way, and F-roads require a 4x4 (no exceptions, no negotiations, and no trying to convince the rental car it’s a monster truck).No detour is ever truly wrong in Iceland—just unexplored.