Driving a Rental Car in Iceland in 2025

Daniel Cramer

(Updated: )
5 min read

Common Car Rental Problems in Iceland (2025) and How to Avoid Them

Driving in Iceland is one of the best ways to see the country. But let's be honest, it's not always easy. Between wild weather, tricky roads, and unfamiliar laws, there's a lot that can trip you up. If you're renting a car in Iceland in 2025, here's what you need to know to stay safe and keep things running smoothly.

A rental car in Iceland on icy road
Icy road conditions

1. Iceland's Weather is No Joke

The weather here changes fast. One minute it's clear skies, the next it's snowing sideways. That's just how it goes.

To stay safe:

  • Check the forecast before you drive. Use vedur.is for weather and road.is for road conditions. Apps like Safetravel also help.
  • Drive slower than you think you need to. Speed limits are set for good conditions. If it's snowing or icy, go way slower.
  • Headlights on, always. It's the law in Iceland, day or night.
  • Be ready to stop. If conditions get really bad, pull over somewhere safe and wait it out.
  • Winter tires are a must. All rentals should have them in cold months, but double-check.
  • Watch for wind. Strong gusts can push your car, especially near tunnels or bridges. Hold the wheel firmly.

Tip: Read our Self-Drive Guide for more tips.


2. Gravel Roads and F-Roads Can Wreck Your Car

Some of Iceland's best views are off the main road. That means gravel roads or F-roads, and they're not always easy to drive.

Image of a land cruiser rental in Iceland crossing a River
River crossings - only suitable for large 4x4's

Here's what helps:

  • Rent the right car. For F-roads, you legally need a 4x4. A small car won't cut it.
  • Slow down on gravel. Loose rocks can fly up and crack windshields or paint.
  • Keep your distance. Stay back to avoid flying gravel from the car in front.
  • Avoid risky crossings. Don't drive through rivers unless you're sure it's shallow and safe.
  • Plan your route. Some roads may be closed or need special caution.

Check out our what are F-Roads in Iceland? and what is an F-Road for more info.


3. Icelandic Driving Laws You Might Not Know

Tourists often break traffic laws without meaning to. Iceland's rules are strict, and the fines are no joke.

Keep this in mind:

  • Speed limits: 50 km/h in towns, 80 on gravel, 90 on paved roads.
  • No off-roading. It's illegal and bad for nature.
  • Don't drink and drive. The legal limit is low. It's better not to risk it at all.
  • Seat belts are mandatory. Front and back.
  • No phones unless hands-free.
  • Headlights must be on, always.
  • Yield rules: Cars in roundabouts have the right of way. In towns, yield to the right.
  • One-lane bridges: Let the closest car cross first.
  • Children under 135 cm need a proper seat.
  • Only 4x4s on F-roads.

Read more in our Driving Laws blog.


4. High Winds and Narrow Roads

Wind in Iceland isn't just breezy, it can shake your car hard, especially if you're in a van or SUV.

Image of the map of F-Roads in Iceland
F-Road map in Iceland

Stay safe by:

  • Checking the wind forecast before you hit the road.
  • Holding the wheel tight. Especially near tunnels or cliffs.
  • Securing everything. Roof boxes and bikes must be fastened down well.
  • Slowing down on narrow roads. Watch for oncoming traffic.
  • Parking smart. Face the wind and avoid exposed spots.

5. Don't Run Out of Fuel

Outside of Reykjavik, gas stations can be few and far between. Running out of fuel in the middle of nowhere is not how you want to spend your trip.

Avoid that by:

  • Topping off your tank often. Especially before long drives.
  • Knowing your route. Check where the next station is.
  • Carrying a can if you're heading remote. Just in case.
  • Driving efficiently. Steady speed and no harsh braking.
  • Knowing your fuel type. Petrol is ?bensín? and diesel is ?dísel.?

Read our fuel savings guide for more help.


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Final Thoughts

Driving in Iceland can be incredible. It also comes with a few curveballs. If you plan ahead, drive smart, and pick the right car, you'll avoid the common issues and enjoy the ride.

FAQs

Do I need a 4x4 to drive in Iceland?
Only if you plan to use F-roads. For the Ring Road, a regular car is fine.

Is it safe to drive in winter?
Yes, but conditions can be rough. Check the weather and make sure your car has winter tires.

Can I drive off-road?
No. It's illegal and can damage Iceland's environment.

What if my rental breaks down?
Call the rental company. Most offer 24/7 roadside help.

Are gas stations open late?
Not always. Many are automated and accept cards, but not all are open 24/7.


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