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Iceland, Europe’s second-largest island, is one of the closest to the North Pole. Nature here is crude, wild, and raw. Exploring this breathtaking country is an adventure best experienced by car, giving you the freedom to travel at your own pace and visit Iceland’s top attractions.
The Ring Road is the primary route that circles the island, with most major tourist attractions located nearby. That’s why renting a car in Iceland and arranging a road trip has become a popular trend among travelers and adventure seekers alike. Before setting off on your road trip, it's crucial to understand the driver’s license requirements for car rentals in Iceland.
Would your home country's driver’s license suffice? Let’s find out!
Iceland Driving License Requirements for Tourists
Most visitors will lease a vehicle in Iceland for their getaway, but there are certain steps to follow before hitting the road. Other than taking a gander at the ideal vehicle for the perfect excursion, you must understand the car rental conditions set by different rental companies. Asking those questions right on the spot isn’t the best thing you can do, right? It's best to be prepared in advance:
License Requirements for Renting a Car in Iceland
When it comes to nationalities, there are a variety of regulations. Fortunately, the driver's license requirements for car rentals in Iceland are quite straightforward. Most permits are valid in Iceland as long as they meet the following requirements:
- If not in English, it must be written in Latin letters in order as well: this applies to languages like Arabic, Chinese, Japanese, Hebrew, Russian, and whatever other languages that use a different sort of alphabet.
- The driving license must have a photo of the driver.
- You should have held your license for one year at least. This period is tallied from the original issue date.
- It must have an issue and an expiry date. This way, the staff at the office can see it is a full driver's permit. Provisional ones are not acknowledged.
- The permit ought to be the equivalent of a European B License.
What is a European B License
So, what is an European B License? You may inquire. Well, it is a permit that enables you to drive a passenger’s vehicle and a similar vehicle not heavier than 3500 kg. With this permit, you can drive any van, camper, 2WD and 4WD vehicle (four-wheel drive) as long as the maximum weight limit is not exceeded.
Permanent vs Temporary Licenses
US, UK, and EU licenses are valid in Iceland. However, drivers must have held the license for at least one year. That's because many countries issue temporary licenses before granting full licenses, and these are not always accepted.
In Europe, if you have less than one year of driving experience, you are classified as a novel driver. Your permit will then be a temporary one. So, as a driver's license requirement for Iceland rentals, many companies expect you to have held your permit for at least one year.
It is likewise imperative to know that most car rental agencies allude to the first issue date of your permit to see whether you have less than one year of driving experience or not. In Europe, if you renovate your permit, it still shows the original issue date. On the off chance that it isn't your case, you may need to provide an official document proving your full driving history.
Documents Needed When Renting a Car in Iceland
Planning a road trip in Iceland is a dream for many travelers. To avoid any issues, ensure you have the following documents before picking up your rental car:
Checklist of Required Documents
| Document | Required |
| A valid driver’s license | ✅ Yes (meeting Icelandic regulations) |
|
An IDP; International Driving Permit |
✅ Yes (if applicable) |
|
A credit card for the security deposit |
✅ Yes (some companies may accept debit cards) |
|
A passport or national ID card for identification |
✅ Yes |
|
Rental confirmation and terms |
✅ Yes (which should be reviewed before signing) |
Your permit can't expire while in Iceland, either. So, try to check both the issue and expiry date of your permit to see whether you have to renew it. That will, without a doubt, help in staying away from any potential issue concerning the legitimacy of your permit. For some other special cases, do get in touch with us at info@reykjavikcars.com.
Do You Need an International Driving Permit in Iceland?
A valid license with a number, photo, and Latin letters suffices for driving in Iceland. Otherwise, an international driving permit (IDP) is required. So, on the off chance that your driver's permit does not meet any of the requisites previously mentioned, you do require an international driving permit. Iceland driver's permit conditions are clear and rigid. Numerous insurance agencies only cover the driver in specific situations. So it is critical to have the correct documentation for a rental.
What is an International Driving Permit?
Know that an international driver’s permit isn't a license itself. It is an official translation of your permit into ten languages. This translation is acknowledged by most nations around the world, yet despite everything, you must carry your own driver's license alongside the international one. Else, it isn't valid.
In case you need an international permit, you have to apply for one at your nearby traffic administration authorities. In many nations, it is issued on the same day.
Age Limit for Driving and Renting a Car in Iceland
Many travelers ask about the minimum and maximum age limits for renting a car in Iceland. Age restrictions depend on the vehicle category:
Minimum Age Requirements by Vehicle Type
| Vehicle Type | Minium Age |
| Economy/City Cars | 20 years |
| SUVs and 4x4s | 23 years |
| Minivans and Passenger Vans | 25 years |
In case you are interested, there is no maximum age limit as long as you have a valid driver's license. But please note that some rental agencies charge additional fees for young drivers (under 25 years old).
Driving in Iceland with a US or UK License
If you are from the United States or the United Kingdom, you can drive in Iceland without any additional permits as long as your driver’s license meets the standard requirements. These include a valid issue date, a clear photograph, and Latin characters. Rental agencies will check these details upon pickup, so ensure that your documents are in order before arriving.
For tourists from the United Kingdom, post-Brexit regulations have not affected driving in Iceland. British citizens can still rent and drive vehicles in Iceland without needing an IDP.
Special Requirements for Campervans and SUVs
If you plan to rent a campervan or large SUV, check if your license classification allows it. Most campervans available for rental in Iceland can be driven with a standard European B License, but vehicles exceeding 3,500 kg may require a C1 category license. Always verify with your rental provider beforehand.
Where Can You Drive in Iceland?
Iceland has strict regulations on where certain vehicles can drive. If you are renting a car, you should be aware of the following:
- The Ring Road (Route 1) is fully paved and accessible to all vehicles.
- F-roads (mountain roads) require a 4WD vehicle and are only open during summer.
- Off-roading is illegal and can result in heavy fines.
- Some rural roads may be unpaved or gravel, requiring cautious driving.
.jpg "A car navigates with its headlights on")
Traffic Laws, Fines and Driving Conditions in Iceland
Traffic Laws and Regulations
Driving in Iceland requires adhering to strict traffic laws to ensure safety. Speed limits vary depending on road type:
- 50 km/h in urban areas.
- 80 km/h on gravel roads.
- 90 km/h on paved rural roads.
Seat belts are mandatory for all passengers, and using a mobile phone while driving is prohibited unless you have a hands-free system. Driving under the influence of alcohol has a zero-tolerance policy in Iceland.
Fines and Legal Consequences
- Speeding fines in Iceland are significantly high, often exceeding 400€.
- Driving without a valid license can lead to hefty fines and legal issues.
- Off-road driving is strictly illegal and can result in severe penalties.
.jpg "A tourist travels in a 4x4 car")
How to Prepare for Driving in Iceland?
Before embarking on your Icelandic road trip, take the following precautions:
- Check the weather forecast regularly—conditions can change rapidly.
- Familiarize yourself with local road signs, as some may be unfamiliar.
- Keep emergency supplies in your car, especially if traveling in winter.
- Always have a GPS or offline map, as mobile coverage can be limited in remote areas.
FAQs: Everything You Need to Know About Driving in Iceland
Can I drive in Iceland with a temporary license?
No, temporary or provisional licenses are not accepted by most rental companies in Iceland.
Do I need an IDP if I have an EU/EEA license?
No, EU/EEA licenses are valid without an IDP.
Is it safe to drive in Iceland in winter?
Driving conditions can be challenging due to snow, ice, and strong winds. Always rent a 4x4 vehicle and check road conditions before traveling.
Do rental companies accept digital driver’s licenses?
No, a physical copy of your license is required. Digital licenses are not accepted.
Plan Your Road Trip in Iceland with Confidence!
Driving in Iceland is easier than you might think—as long as you have the right documents. In most cases, you don’t need a special license or permit beyond your valid driver’s license, making car rentals a convenient option for travelers.
With your documents in order, the only thing left to do is plan your ultimate Icelandic road trip. Whether you’re exploring the famous Ring Road, venturing into the stunning Highlands, or chasing the Northern Lights, having a rental car gives you the freedom to experience Iceland on your own terms.
Ready to hit the road? Choose from a wide selection of rental vehicles and start your unforgettable adventure in Iceland today. Your journey begins the moment you land at Keflavik International Airport—so get behind the wheel and explore!
