Terms and Agreement

We at Lotus Car Rental aim to provide you with peace of mind during your trip. We offer what is arguably the best car rental insurance available in Iceland: The Platinum Insurance Plan with a liability/deductible of 0 ISK, covering river crossings, damage to the chassis, engine, transmission, and more. Roadside Protection Premium is available as a separate optional add-on for any insurance tier. Third-party liability insurance is included with all rentals. 

For more information about our insurance options, please click here.

All rentals are subject to the full terms and conditions of the rental agreement at the time of rental. A debit card imprint and deposit equivalent to the selected insurance liability will be collected at the start of all rentals for security purposes, even when a voucher covers the rental cost. This deposit will be released after a thorough inspection by Lotus Car Rental at the end of the rental period, provided no damage, fines, or outstanding charges have been identified. The debit card imprint or deposit may be utilised to cover additional charges, such as extra insurance, parking fines, damages, tunnel fees or any expenses resulting from the renter’s use of the vehicle. 

Note: Renters who purchase the Platinum Insurance Plan are exempt from paying any deposit. For the Gold Insurance Plan, the deposit is 65,000 ISK, for the Silver Insurance Plan, it is 150,000 ISK and if all insurances are declined, it is 500,000 ISK. 

All rentals are subject to the full terms and conditions of the rental agreement at the time of rental. A credit card imprint will be taken at the start of all rentals for security reasons, even when a voucher covers the rental cost. This credit card imprint may be used to settle any additional charges, including extra insurance, parking fines, damages, or any expenses related to the rented vehicle resulting from the renter’s use. A deposit of 500,000 ISK will be taken at pick-up on all reservations where all optional insurance coverage has been declined. 

All drivers must have held a valid driver’s license for at least 12 months and present it at the start of the rental. 

The minimum age to rent smaller and medium-sized vehicles, as well as Dacia Duster and RAV4 roof-tent models, is 20 years. 

For large vehicles, luxury vehicles, 9-seater vans, California models, and Hilux campers, the minimum age requirement is 23 years. For more details, please visit Our Cars. 

A Young Driver Fee applies to renters who do not meet the minimum age requirements or have not held a valid driver’s license for at least 12 months, as specified in the Age Requirement and Driver’s License section above. 

• Cancellations made 24 hours or more before the scheduled pick-up time will receive a full refund. 
• Cancellations made within 24 hours of the scheduled pick-up time will not be refunded. However, customers who have prepaid for their rental will have the option to receive a voucher for the full amount of their booking. The voucher can be used for future rentals with us. 

This includes cancellations resulting from flight cancellations due to weather conditions or airline decisions. If your flight is cancelled and your cancellation falls within the 24-hour refund window, you will not be entitled to a refund, but you will still be eligible for a voucher for the full amount of your booking, which can be used for future rentals. 

Should the renter fail to collect the vehicle at the scheduled pick-up time without having cancelled the booking or contacted Lotus Car Rental, the booking will be treated as a no-show. The full booking amount will be forfeited 24 hours after the scheduled pick-up time, with no refund or voucher issued. 

Where no payment is attached to the booking, Lotus Car Rental reserves the right to cancel the reservation without notice 6 hours after the scheduled pick-up time, should the renter fail to collect the vehicle or provide notice of a delay such as a delayed or cancelled flight. In such cases Lotus Car Rental is under no obligation to hold the vehicle beyond this period. 

This policy applies to all cars booked from 23/6/2026. 

Pick-up and drop-off is available at Lotus Car Rental’s office in Keflavik at no additional charge. A complimentary shuttle service operates between Keflavik International Airport and our office. For further details please click here. 

Late returns exceeding one hour past the scheduled drop-off time will result in an additional day’s charge. The renter(s) may return the vehicle earlier than the scheduled drop-off time. A refund will be issued for any price difference if Lotus Car Rental is notified of the early return at least 24 hours before the scheduled pick-up time; otherwise, no refund will be provided. 

Your vehicle comes with a full tank of fuel -  please return it the same way. If you're renting an EV, return it with at least 50% battery charge. Returning with less than a full tank or below 50% charge will result in a top-up charge plus a 3,500 ISK administration fee. The renter(s) are fully responsible for repair costs if the wrong type of fuel is used. 

We always aim to provide the exact vehicle you booked and will do our best to ensure your reserved vehicle is ready for you. However, in exceptional circumstances, such as an unforeseen mechanical issue or a delayed return. Lotus Car Rental reserves the right to substitute your vehicle. In such cases, we will always provide a similar vehicle class or a higher-class vehicle at no extra cost to you. 

In the event of a collision or accident, the renter must immediately notify the appropriate police authorities and Lotus Car Rental. The renter(s) may not leave the scene until the police have arrived or Lotus Car Rental has provided permission. 

Failure to comply with any conditions of this contract may result in the renter(s) bearing all losses and damages incurred by the owner. The renter(s) agrees to rent the above vehicle and elects to pay all amounts due under this agreement using the payment method details provided in this document. The renter(s) are not authorized to arrange or engage roadside assistance or mechanical services for the vehicle without prior consent from Lotus Car Rental. Costs incurred without such consent will be borne entirely by the renter. 

The renter(s) also accepts responsibility for all traffic violations. An administration fee of 2,800–6,000 ISK will apply for any unpaid fines or delayed processing of infringements. 

The renter(s) are responsible for maintaining antifreeze, AdBlue, and oil levels in the vehicle. Any costs incurred will be reimbursed upon presentation of a receipt. In the event of a vehicle malfunction or signs of overheating, the renter(s) must immediately stop the vehicle; otherwise, the renter(s) may be held liable, and a loss of the deposit may occur. 

All prices include a local value-added tax (VAT) of 24% where applicable. Insurance coverage is exempt from VAT under Icelandic law. Lotus Car Rental ehf. acts as a distributor of insurance on behalf of Sjóvá-Almennar tryggingar hf. and is registered with the Central Bank of Iceland as an entity licensed to distribute insurance. 

Starting January 1, 2026, Icelandic law requires car rentals to charge a Road Tax for each rental day. 

Rate: 1,550 ISK/day (approx. €10.5 / $12.5) (incl. admin fee). 

Lotus Car Rental includes this fee in the rental price for full transparency for bookings made after 23rd of December 2025. For bookings made before 23rd of December 2025 the road tax will be added and paid upon arrival. 

We include this fee in your rental price so you always know the full cost before you travel — no surprises at pick-up or drop-off. 

For specific payment requests or inquiries regarding your car rental, please email us at: lotus@lotuscarrental.is.

The vehicle pick-up fee after damage is 400 ISK per km, with a minimum charge of 35,000 ISK. The spare key delivery fee, in the event of lost vehicle keys, is 300 ISK per km. 

Losing/damaging a Type 2 charging cable incurs a fee of 50,000 ISK 

Losing/damaging a 220V charging cable incurs a fee of 70,000 ISK 

Losing/damaging a GPS device incurs a fee of 45,000 ISK 

Losing/damaging a Wi-Fi dongle incurs a fee of 15,000 ISK 

Losing/damaging a booster seat incurs a fee of 15,000 ISK 

Losing/damaging a child seat incurs a fee of 60,000 ISK 

Losing/damaging a roof box incurs a fee of 100,000 ISK 

1. The renter(s) agrees to the provisions of this lease and has received a copy of it. 

2. The renter(s) will return the vehicle: 

a. And all accessories (including tires, charging cables, and tools) in the same condition they were in when received, apart from normal wear (covered by Lotus Car Rental) due to use. 

b. On the date specified in this lease, unless otherwise agreed upon later. 

c. To Lotus Car Rental's premises unless otherwise specified. 

d. With a full tank of the appropriate fuel. If the vehicle is not returned with a full tank, the renter will be charged for the missing fuel plus an administration fee of 3,500 ISK. The renter(s) are fully responsible for all repair costs if the wrong type of fuel is used. 

e. If the vehicle is an EV, the renter(s) will recharge the vehicle above 50% battery charge. Renter(s) will be charged a service fee according to the terms of the lessor. 

3. If the renter(s) do not return the vehicle at the time agreed upon in this lease or do not declare their intention to extend the lease, Lotus Car Rental or the police is authorized to repossess the vehicle without further notice and at the renter's expense. Extending the lease is dependent upon the consent of Lotus Car Rental. If the renter(s) returns the vehicle 1 hour or later after the lease has expired, Lotus Car Rental is authorized to charge the full daily rate applicable to the renter's booking. For each additional day the vehicle is not returned thereafter, Lotus Car Rental is authorized to charge the full daily rate for each such day, in addition to any other costs incurred. 

4. If the renter(s) returns the vehicle earlier than the agreed return date, no refund will be issued for the unused rental period. To be eligible for a refund due to a change in rental dates or pickup time, the renter must notify Lotus Car Rental at least 24 hours before the scheduled pickup time. 

5. The vehicle shall be handled and driven carefully. Only those named as drivers on the first page of the agreement are authorized to drive the vehicle. Should the vehicle be driven by any person not named on this agreement, all insurance coverage as stated in this rental agreement will be immediately voided and that person and the renter will be jointly and fully liable for any resulting damages, injury, and costs. The renter(s) is liable for damages resulting from the use of the vehicle for which no compensation will be paid by the vehicle's insurance company. This includes damage to the vehicle and/or injury to passengers and towing cost of retrieving the vehicle due to the following: 

a. Off-road driving and driving where driving is prohibited. 

b. Driving across rivers or any kind of watercourse — not covered by any insurance except under the Platinum Insurance Package (River Crossing Protection) 

c. Intentional acts or gross negligence. 

d. Use of intoxicants by the driver. 

e. Vehicle use that contravenes Icelandic law and/or the provisions of this lease. 

6. In the event of a collision or accident, the renter(s) shall immediately notify the appropriate police authorities as well as Lotus Car Rental of the incident, and the renter(s) may not leave the scene before the police have arrived or received permission from Lotus Car Rental to do so. 

7. The number of kilometers (km) that the vehicle will be driven while this lease is in force is determined by reading the odometer supplied with the vehicle by the manufacturer. The renter(s) shall notify Lotus Car Rental as soon as possible if the odometer is out of order or stops functioning during the term of the lease. 

8. The renter(s) agrees to pay Lotus Car Rental, upon request: 

a. A deposit amounting to the estimated cost of hiring the vehicle. 

b. If the renter pays by debit card, a deposit equivalent to the liability of the selected insurance package will be collected at the start of the rental: Platinum Insurance Plan: 0 ISK (no deposit required). Gold Insurance Package: 65,000 ISK. Silver Insurance Package: 150,000 ISK. If the renter declines all optional insurance coverage, a deposit of 500,000 ISK will be collected at pick-up, payable by either debit or credit card. The deposit will be released following a thorough inspection of the vehicle by Lotus Car Rental at the end of the rental period, provided no damage, fines, or outstanding charges have been identified. 

c. Any and all expenses incurred by Lotus Car Rental in order to bring the vehicle back to their premises, if the vehicle has been left somewhere without supervision, regardless of the condition of the vehicle, the roads, or the weather. Any other expenses that may arise as a result of the renter's use of the vehicle under the terms of this agreement. 

9. The renter(s) are not authorized to have repairs done or make changes to the vehicle or its accessories or to put the vehicle up as any kind of security without the prior consent of Lotus Car Rental. The renter(s) are not authorized to arrange or engage roadside assistance or mechanical services for the vehicle without prior consent from Lotus Car Rental. Costs incurred without such consent will be borne entirely by the renter. 

10. The renter(s) may only drive on F-roads in vehicles Lotus Car Rental has authorized for F-road use. All 2-wheel drive vehicles, 9-seater vans, and electric vehicles are not allowed on any F-roads. 

11. The renter(s) are liable for all parking meter charges and fines for breaking traffic laws. An administration fee of 2,800–6,000 ISK will apply for any unpaid fines, tunnel fees or delayed processing of traffic infringements on behalf of the renter. 

12. The renter(s) are not authorized to use the vehicle for transporting passengers for payment, loan it to others, or sublease it. 

13. Should the renter(s) become aware of any malfunction, fault, or damage to the vehicle or its equipment at any point during the rental period, they must notify Lotus Car Rental without delay. 

14. The renter(s) are strictly forbidden from driving any vehicle across the river Krossá on F249. 

15. In the event of a flat tire, the renter(s) shall first make reasonable efforts to replace the damaged tire using the spare tire provided, or using the supplied tire repair kit, where it is safe to do so. Roadside assistance may only be requested if the spare tire or repair kit is unavailable, cannot be used, or a genuine attempt to resolve the issue has been made without success. Callout fees will apply if this obligation has not been met. 

16. All drivers must have held a valid driver’s license for at least 12 months and must present it at the start of the rental. The minimum age to rent smaller and medium-sized vehicles, including Dacia Duster and RAV4 roof-tent models, is 20 years. For large vehicles, luxury vehicles, 9-seater vans, California models, and Hilux campers, the minimum age is 23 years. A Young Driver Fee applies to renters who do not meet the minimum age requirements or have not held a valid driver’s license for at least 12 months, as specified above. 

17. Lotus Car Rental will supply the vehicle at the agreed time and make sure it meets all the demands. Lotus Car Rental reserves the right to substitute vehicles if the reserved vehicle type is unavailable, in which case a similar or higher class vehicle will be provided. 

18. In the event of a vehicle malfunction due to normal wear and tear or other circumstances not attributable to the renter, Lotus Car Rental shall, as promptly as reasonably possible, either arrange for a replacement vehicle to be provided or direct the renter to an authorized service partner for repairs. The renter shall follow Lotus Car Rental’s instructions regarding the management of any breakdown or malfunction and shall not arrange independent repairs, towing and/or roadside assistance without prior consent from Lotus Car Rental. Lotus Car Rental is not liable for any indirect, incidental, or consequential loss arising from the rental or from any vehicle malfunction, breakdown, accident, or delay. This includes but is not limited to missed or cancelled flights, missed tours or activities, accommodation and meal costs, alternative transport, loss of time, or disruption to travel plans, whether or not Lotus Car Rental was made aware of the possibility of such loss. 

19. Lotus Car Rental shall inform a foreign renter(s) about Icelandic traffic regulations, traffic signs, and regulations banning off-road driving. Lotus Car Rental shall particularly point out the danger stemming from animals on the roads. 

20. Lotus Car Rental shall inform the renter(s) of the content of the agreement, particularly the obligations that the renter(s) undertakes by signing it. 

21. Lotus Car Rental accepts no responsibility for any personal belongings left in or transported by the vehicle, whether by the renter(s) or any other party. This includes loss, theft, or damage to such items during the rental period. Lotus Car Rental is likewise not responsible for any items left in the vehicle after it has been returned. Upon request, and if the item is located, Lotus Car Rental will make reasonable efforts to arrange for the item to be returned to its owner. 

22. If Lotus Car Rental wants to limit the use of the vehicle in terms of its equipment and/or road conditions, this shall be done in writing before this lease is signed. 

23. Lotus Car Rental will maintain valid liability insurance for its business operations. 

24. Lotus Car Rental ehf. acts as an insurance distributor on behalf of Sjóvá-Almennar tryggingar hf. Lotus is registered with the Central Bank of Iceland as an entity licensed to distribute insurances. 

25. By accepting the lease agreement, the renter accepts that Sjóvá-Almennar is notified of this lease agreement and its parties. 

26. Product information documents with the main information about the insurance (IPID) can also be found on the Sjóvá-Almennar website. 

27. Lotus Car Rental reserves remuneration or commission from the renter for any purchased insurances on the basis of an agreement between the parties. 

28. The rental fee includes mandatory vehicle insurance, covering liability insurance and accident insurance for both the driver and the vehicle owner. Third-party liability insurance is provided in accordance with the coverage limits set by Icelandic law at any given time. 

29. Lotus Car Rental shall carry out a visual inspection of the condition of the vehicle for the purpose of a risk assessment for insurance and exempt from insurance cover any damage that may occur to it before the insurance takes effect. By accepting this lease agreement, the renter confirms that they have received the vehicle in good condition. 

30. The terms of the insurance can be found at Skilmálar and are a part of these terms. The renter is also encouraged to familiarize themselves with Sjóvá’s general terms and conditions on the website, which apply to all Sjóvá insurance policies. 

31. Depending on the type of damage and the level of insurance coverage chosen, the renter(s) may be held liable for up to the full value of the vehicle. Renters have the option to purchase additional damage protection coverage as follows: 

a. Silver Insurance Package 

•  Third-Party Liability Insurance: Covers damages to third parties, with coverage limits determined by Icelandic law. This also applies to individual driver liability. 

•  Super Collision Damage Waiver (SCDW): Reduces the renter’s financial liability in the event of a collision. Deductible: 150,000 ISK per incident. The SCDW does not apply when: driving on closed roads; driving off-road; driving in prohibited areas; incidents involving animals; or any other exclusion stated in this agreement. 

•  Theft Protection (TP): Covers theft of the rented vehicle. Does not apply if the vehicle is left unlocked or if the keys are left in or on the vehicle. 

b. Gold Insurance Package (requires Silver) 

•  Includes all Silver benefits and also provides additional protections: 

•  Super Collision Damage Waiver (SCDW): reduced deductible to 65,000 ISK per incident. 

•  Gravel Protection (GP): Covers damages to the windscreen, headlights, front bumper, mirrors, hood, or any other part of the vehicle caused by gravel or rocks thrown onto the car by another vehicle, machine, or person. This protection does not cover damage to the radiator or engine. 

•  Sand & Ash Protection (SAAP): Covers damages to the windscreen, headlights, front bumper, mirrors, hood, or any other part of the vehicle caused by sand or ash being blown onto the vehicle. 

c. Platinum Insurance Package (requires Silver) 

•  Includes all Silver and Gold benefits and provides additional protections: 0 ISK deductible for all covered events included in the Platinum package. 

•  Tire Insurance: Covers damage to tires and wheels caused by road conditions. Does not cover damage resulting from off-road driving, driving on closed roads, or deliberate misuse. 

•  River Crossing Protection (4x4 vehicles only, not valid for VW California): Covers water damage to the engine, transmission, and radiator when crossing rivers. Only valid for 4x4 vehicles authorised by Lotus Car Rental for F-road use. Does not apply under any circumstances to crossing river Krossá on F249. 

•  F-road Insurance (4x4 vehicles only): Covers damages incurred while driving on F-roads (highland roads), including chassis damage. Does not apply to 2-wheel drive vehicles, 9-seater vans, or electric vehicles. Driving these vehicle types on F-roads also voids the SCDW. 

•  Animal Damage Protection: Covers damage to the vehicle caused by animals, such as horses or sheep. 

d. Roadside Protection Premium 

• Not included in any standard insurance package; must be purchased separately. This package covers the cost of assistance and delivery services only, it does not cover the cost of lost, damaged, or replacement parts unless explicitly stated in the applicable insurance package. Coverage includes: lost key callout and delivery to the renter's location; towing and roadside assistance; F-road rescue and recovery; flat tire assistance; out of fuel delivery; flat battery assistance; 24/7 Lotus Car Rental roadside support line.  

•  Deductible: 0 ISK for standard callouts. Where the callout arose from negligence by the driver, driving on a closed road, or off-road driving, the full cost of the callout will be charged to the renter regardless of whether Roadside Protection Premium has been purchased. 

•  Does not authorise the renter to arrange their own roadside or mechanical services without prior consent from Lotus Car Rental. 

•  No coverage applies to cases where there is negligence by the driver, such as continuing to drive with a flat tire causing damage to the rim, driving on a closed road, or off-road driving. 

32. The following damages and incidents are not covered by any insurance unless explicitly stated otherwise:  

A. Intentional damage or gross negligence by the driver 

B. Driving under the influence of substances 

C. Smoking or vaping of any kind inside the vehicle and will result in a cleaning fee of minimum 50,000 ISK if violated 

D. Racing or test driving 

E. War, civil unrest, or riots 

F. Animal damage (Only Platinum) 

G. Burns or damages on interior surfaces, fixtures, fittings, or any other items within the vehicle. This includes damage to camper unit interiors, equipment, and furnishings, as well as roof tent structures and their components.  

H. Damage to wheels, tires, suspension, and related components (only Platinum) 

I. Transmission/chassis damage from rough roads (only Platinum) 

J. Damage from restricted areas: 

• Closed/off-road areas 
• Beaches, snowbanks etc. 
• Rivers (Only Platinum), Crossing river Krossá on F249 (not covered) 
• F-roads in unauthorized vehicles (e.g., 2WD, vans, EVs) 

K. Sand, ash, gravel damage (only Gold/Platinum)

L. Body/frame damage from wind (only Platinum) 

M. Damage caused by standing, sitting, climbing, or placing objects on the roof, hood, bonnet, or any other exterior surface of the vehicle not intended for such use. This includes damage to roof tents, roof boxes, and their mounting points caused by improper use or excessive load. 

N. Damage from seawater/sea spray (not covered) 

O. Missing or damaged accessories/extra equipment such as but not limited to GPS, WiFi, child seats, roof tent and roof box (not covered) 

P. Lost or damaged keys  

Q. Wrong fuel usage (not covered) 

R. 12V battery issues (Only Roadside Protection Premium) 

S. Sea transport spray damage (not covered) 

T. Electric Vehicles (EVs): 

• If the battery is fully depleted, renter covers recharge/tow costs (Only Roadside Protection Premium) 
• Lost charging cable is not covered 

U. Damage caused by a driver not named on this rental agreement (see clause 5). 

See full terms at www.sjova.is 

33. The renter(s) may decline all optional insurance coverage when booking the vehicle. However, third-party liability insurance is always included. If declined, a deposit of 500,000 ISK is required upon arrival. All online prices include the Silver Insurance Plan by default. 

34. A customer may appeal a dispute to the Complaints Committee on transactions with financial undertakings: 

Úrskurðarnefnd um viðskipti við fjármálafyrirtæki, 

Guðrúnartún 1, 105 Reykjavík, Phone: 578-6500, Email: fjarmal@nefndir.is 

Form and more info available at www.nefndir.is/fjarmala 

35. Lotus Car Rental, through a Telematics Service Provider, monitors each tracked vehicle and collects the following data: vehicle position, speed, acceleration, impact data (including location, g-force, error messages, and direction of impact), and the unique identifier of the in-vehicle device. The purpose of this data collection is to: protect Lotus Car Rental vehicles against loss or theft; support the management of insurance claims; detect and respond to unauthorised use or movement of vehicles; uphold safety standards and public welfare obligations; maintain accurate vehicle inventory records; and locate the vehicle in the event of a breakdown, emergency, or roadside assistance request, enabling Lotus Car Rental to dispatch support to the renter. For further information on how personal data is handled, please refer to Lotus Car Rental’s Privacy Policy. 

36. This lease agreement should always be kept in the vehicle, either in printed or electronic form. 

37. Cancellations made 24 hours or more before the scheduled pick-up time will receive a full refund. Cancellations made within 24 hours of the scheduled pick-up time will not be refunded; however, the renter will have the option to receive a voucher for the full booking amount, redeemable on future rentals with Lotus Car Rental. This includes cancellations resulting from flight cancellations due to weather conditions or airline decisions. 

38. Should the renter(s) fail to collect the vehicle at the scheduled pick-up time without having cancelled the booking or contacted Lotus Car Rental, the booking will be treated as a no-show. Full forfeiture of any prepaid amount will apply 24 hours after the scheduled pick-up time, with no refund or voucher issued. Where no payment is attached to the booking, Lotus Car Rental reserves the right to cancel the reservation without notice 6 hours after the scheduled pick-up time, should the renter fail to collect the vehicle or provide notice of a delay. In such cases Lotus Car Rental is under no obligation to hold the vehicle beyond this period. 

39. If the same renter has two or more active rentals with Lotus Car Rental simultaneously, a deposit of 20% of the total booking cost across all concurrent rentals is due and payable at the time of booking. Should the renter cancel any or all the concurrent rentals within 3 months of the scheduled pick-up date, the deposit will be forfeited in full. If cancellation is made more than 3 months prior to the scheduled pick-up date, the deposit will be fully refunded.  

40. Lotus Car Rental reserves the right, at its reasonable discretion, to decline or cancel any booking, or to refuse to release a vehicle at pick-up, where the booking information provided is incomplete, inaccurate, or suspicious, where the renter cannot present a valid driver's license or a valid payment card in the renter's name, or where there are reasonable concerns regarding the renter's eligibility or the likelihood of the vehicle being returned in a satisfactory condition. In such cases, Lotus Car Rental's standard cancellation policy will apply. 

41. Additions and amendments to the conditions and provisions of this lease agreement shall be made in writing. 

42. Icelandic law applies to agreements made based on the terms cited above. This includes any claims for compensation that might be made. It also applies to the basis for and the calculation of compensation. The same applies to claims for damages based on liability outside this agreement. If legal disputes arise concerning this lease agreement, they will be heard before Lotus Car Rental’s legal venue. 

43. Disputes between the parties to this lease agreement can be submitted to the active Arbitration Committee of the Icelandic Consumers Association and the Icelandic Travel Industry Association. 

44. It is the driver’s responsibility to know road conditions and whether the road is open or closed. 

45. Starting January 1, 2026, Icelandic law requires a Road Tax of 1,550 ISK/day (approx. €10.5/$12.5, incl. admin fee). For bookings made after 23 Dec 2025, this fee is included in the rental price. For bookings made before 23 Dec 2025, this fee will be charged upon arrival. 

46. Vehicle pick-up fee after damage: 400 ISK/km (minimum 35,000 ISK). Spare key delivery fee (lost keys): 300 ISK/km. Losing/damaging a Type 2 charging cable: 50,000 ISK. Losing/damaging a 220V charging cable: 70,000 ISK. Losing/damaging a GPS device: 45,000 ISK. Losing/damaging a Wi-Fi dongle: 15,000 ISK. Losing/damaging a booster seat: 15,000 ISK. Losing/damaging a child seat: 60,000 ISK. Losing/damaging a roof box: 100,000 ISK.