Hiring a car in Iceland is a great adventure that lets you travel through the country in your own time and with more freedom when touring with kids.

However, it is recommended to see and keep in mind a couple of factors that will give more pleasure in the process. For instance, when choosing a car, it would be worth it to focus on such parameters as the size of the trunk, availability of a child seat, and four-wheel drive if you are going to travel a lot on the F-road.

By carefully planning and preparing, you can make the most of your Icelandic road trip with your family. Here is a small list of all the important information for you!

What Will Travelling Families Need In Iceland In 2025?

·         Age and License Requirements

Most car rental companies in Iceland require drivers to be at least 20 years old. However, some companies may have higher age limits, especially for specific vehicle categories like luxury cars or large SUVs. Drivers under this age often incur an additional young driver fee. An International Driving Permit (IDP) is highly recommended, especially if your driver's license is not in English, French, German, Spanish, or Italian.

An IDP serves as an official translation of your driver's license and can be helpful in case of unforeseen circumstances. A valid national driver's license from your home country is also essential.

·         Insurance Coverage

These are probably the two most important kinds of insurance coverage: Collision Damage Waiver and Theft Protection. Both cover damage to the car as well as theft, respectively, but come with deductibles attached.

Super CDW and Super TP can be purchased for the rental of Ford Transit Rental Iceland with low or no deductible and the stress of financial loss is removed. One of the most important forms of car rental insurance covers sand and ash. This coverage safeguards the rental car against harm caused by volcanic ash, a major problem in Iceland.

·         Winter Driving Considerations

Winter driving in Iceland can be challenging due to icy roads, snowstorms, and limited daylight. Such preparations are necessary. Iceland requires winter tires for winter. Most car rental firms include winter tires with rentals. However, always contact your rental firm for confirmation.

Experience with conditions of winter driving is a must. Be prepared to get into challenging road conditions and drive accordingly.

A 4WD vehicle is highly recommended for excellent winter driving conditions. In general, a 4WD vehicle is going to perform more favorably than other vehicles in handling conditions that are slick such as icy and snowy.

Here you will find the best cheap vehicle rental in our fleet.

·         Knowing the Rental Terms & Conditions

Most car rental companies require the driver to be at least 20 years old and charge extra for drivers younger than 25. You will need a valid driver's license from your home country, and an International Driving Permit is recommended if your license is not in English.

Upgrades to Super Collision Damage Waiver (SCDW) and Super Theft Protection (STP) are needed for reduced or zero deductibles. Sand and Ash Protection is vital, especially in the case of volcanic eruptions.

Additional fees may apply, such as airport surcharges and winter tire fees. And these can add up over time even if you selected a cheap car rental at Keflavik Airport in the beginning to save cost.

·         Fuel Policy to Adhere To 

Most of the car rental companies in Iceland will give you the vehicle on full-to-full, meaning the vehicle is to be returned with a full tank of fuel after receiving it with a full tank of fuel. The fuel level will be stated on the rental agreement at the time of picking up the car.

Look at the fuel gauge and ensure that you fill it up before handing it in. A number of the forestry gas stations in the rural parts of Iceland keep such limited hours that it is far more convenient for one to fill up the car in good time before they hand it back.

Some rentals have different fuel policies. Some rental companies may offer alternative fuel policies, such as paying a pre-paid fuel fee. The majority of the rental shops use fueling systems that measure fuel from full-full. Knowledge of fuel policy can effectively ensure that the renting of a car in Iceland experiences no drama.

Our detailed guide to Gas Stations in Iceland provides all the information you need, from current gas prices to tips on using self-service pumps, ensuring you're well-prepared for your Icelandic adventure.

Click to read the full post and ensure your journey is as smooth and enjoyable.

·         Preparing a Travel Kit

When planning a family road trip to Iceland, it's essential to prepare for unexpected situations. Every car should have an emergency kit, especially for the winter season including clothing, a blanket, food and water bottles, a first aid box, a flashlight, and a power bank. The tastes offered by Icelandic food are relatively varied, but it is advisable to carry some biscuits and other edibles in large quests for long travels. But, other concerns such as the diet of preference, food allergies, and restrictions within your family should also be considered.

Such a traveling kit can indeed make you have a good time on your trip and your family will have a very comfortable time. Some useful items include sunscreen, sunglasses, hats, raincoats, and walking shoes with good tread on them.

For kids, you might want to take snacks, candies, toys, etc for children so that they can keep themselves busy when on long journeys. It also recommended that one should also carry a car seat for better transport when carrying a child in the car. The above essentials are helpful for a family road trip planning and organizing while in advance in Iceland.

In Closing…

Having learned these requirements and tips, you can have a safe and fun road trip in Iceland even on crazy winter days. You should always read the conditions of renting provision and precisely check what is allowed in F-roads, and what penalties will be charged in case of returning the automobile late or infringing the requirements.

You must also be aware of the capacities of the car you are renting. For instance, Ford Transit Rental Iceland can open up avenues for many adventures that other base models cannot. All these tips when followed together can give you a trip of a lifetime with negligible worries to deal with!