This guide provides comprehensive answers and crucial tips to ensure your Icelandic road trip is smooth and enjoyable. Detailed information on various aspects, from licenses to local driving practices, is included here to make you fully prepared for your adventure.
Yes, Mexican travelers can legally drive in Iceland with the proper documentation. Age restrictions and additional document requirements may apply.
Form of ID:
A valid passport.
Driving licence:
Accepted driving licence include:
• Original driving licence + International Driving Permit (IDP)
or
• EU/EEA Driving License.
Accepted cards:
Physical credit cards in the full name of the main driver. Accepted cards include Visa, Master, DinersClub, and AMEX.
Age requirements:
Drivers must be between 18 and 80 years old. Young drivers aged 18-20 may incur a fee of US$ 8.35 per day.
Requirements may vary between rental companies. Always confirm details when booking.
Explore top global car rental chains and local Icelandic providers to find the best fit for your travel needs. Each has distinct offerings suited to various preferences and itineraries.
Global Chain Companies
Local Brands

Europcar
Locations:
83Prices:
$$Key Advantages
Best for
Leisure travelers and eco-conscious renters
Hertz
Locations:
54Prices:
$$$Key Advantages
Best for
Business travelers and premium vehicle needs
Budget
Locations:
36Prices:
$Key Advantages
Best for
Cost-conscious travelers and families
SIXT
Locations:
19Prices:
$$Key Advantages
Best for
Travelers seeking premium vehicles and flexible rental options
Alamo
Locations:
13Prices:
$$Key Advantages
Best for
Leisure travelers and families
Icerental 4x4
Locations:
2Prices:
$$Key Advantages
Best for
Adventure seekers and winter travel
FAIRCAR
Locations:
6Prices:
$$Key Advantages
Best for
Budget-conscious travelers and local rentals
ACE Rent A Car
Locations:
4Prices:
$$Key Advantages
Best for
Budget-conscious travelers and families
SAGA Car Rental
Locations:
1Prices:
$Key Advantages
Best for
Budget-conscious travelers and local rentals
Lava
Locations:
1Prices:
$-$$Key Advantages
Best for
Budget-conscious travelers and local excursionsChoosing the right rental car can make your trip more comfortable, safe, and enjoyable. Think about your travel group, the destinations on your route, and the type of driving you'll be doing. With QEEQ, you can compare multiple car types and policies to find the one that best suits your journey.
Consider your travel group size and luggage needs
Economy cars (2-4 people, 1-2 suitcases)
Perfect for city driving and short trips
Compact cars (4-5 people, 2-3 suitcases)
Good balance of space and fuel efficiency
Mid-size cars (5 people, 3-4 suitcases)
Comfortable for longer distances
Full-size/SUV (5-7 people, 4+ suitcases)
Ideal for families and group travel
Choose between automatic and manual transmission
Automatic transmission
Easier for city driving and traffic, more common in Iceland
Manual transmission
Often cheaper, better fuel economy, more control
Consider your comfort level with manual driving on Iceland's roads
Check what insurance coverage comes with your rental
Basic liability
Covers damage to other vehicles and property, usually included
Collision Damage Waiver (CDW)
Covers damage to your rental car, often optional
Theft protection
Protects against car theft, may be included or additional
Personal insurance
Check if your Mexican insurance or travel insurance covers rentals
Understand booking flexibility and fees
Free cancellation
Usually available up to 24-48 hours before pickup
Prepaid vs. Pay-at-counter
Prepaid often cheaper but less flexible
Change fees
Cost to modify dates, locations, or car type
Travel insurance
Consider coverage for trip cancellations or delays
Check distance restrictions and additional charges
Unlimited mileage
Best for long road trips and exploring Iceland's vast landscapes
Limited mileage
Cheaper daily rate but extra charges for excess miles
Consider your planned route distance and potential detours
Factor in mileage costs when comparing total rental prices
Understand fuel requirements and costs
Full-to-Full
Return with same fuel level, most economical option
Full-to-Empty
Pay upfront for full tank, convenient but often more expensive
Same-to-Same
Return with same level as pickup, fair pricing
Pre-purchase fuel options
Compare costs with local gas station prices
Quick Decision Guide
Compact/Economy car with automatic transmission, full-to-full fuel policy
Reykjavik, AkureyriMid-size/Full-size car with unlimited mileage, flexible cancellation
Ring Road, South CoastSUV or 4x4 with comprehensive insurance, prepaid fuel option
Golden Circle, HighlandsCompare with Confidence on QEEQ
Iceland boasts breathtaking landscapes and unique experiences, ranging from the Golden Circle to the remote Westfjords. Travelers can explore Reykjavik, the capital city, or venture into natural wonders like the Blue Lagoon and glacier lagoons.
You'll need at least basic insurance to legally drive in Iceland, but for peace of mind on a long road trip, additional coverage is strongly recommended. Insurance rules vary, and what's included in your rental price may be minimal. Choosing the right protection can save you from high out-of-pocket costs in case of an accident or theft.
Covers damage to the rental car from collision or theft.
Protects against theft of the rental vehicle.
Covers injury or damage to others and their property.
Covers medical expenses for you and your passengers.
Perfect for travelers who want comprehensive protection without the complexity. One price covers everything, and AXA's trusted network ensures reliable claims processing throughout Iceland. Get comprehensive coverage online for about 50% less than counter rates.
Fully Covered
Fully Covered
Fully Covered
Fully Covered
Fully Covered
Save money on your Icelandic car rental by planning ahead and making informed decisions. Iceland can be expensive, but smart choices can significantly reduce your costs.
Important considerations and potential issues to watch for when renting a car in Iceland.
Being prepared and knowing what to expect can save you hundreds of dollars and prevent stressful situations. Take time to understand all terms and inspect your rental thoroughly.
The traffic regulations in Mexico and Iceland differ significantly in road signs, speed limits, and alcohol tolerance levels, catering to their unique driving cultures.
Turning on Red
Turning on red is generally not allowed unless explicitly permitted by signage.
Turning on red is allowed after a complete stop unless restricted by a sign.
Road Signs
Road signs are in Icelandic with international symbols.
Road signs are in Spanish with international symbols.
Blood Alcohol Limit
Strictly 0.02% BAC.
Generally 0.08% BAC (may vary).
Weather Considerations
Winter driving conditions with ice and snow are common.
Driving conditions vary greatly by region, but snow is rare in most areas.
Mobile Phone Use
Hands-free use only.
Hands-free use only.
Seatbelt Laws
Mandatory for all passengers.
Mandatory for all passengers.
Parking Rules
Parking is regulated with signs, and special rules apply in urban centers.
Parking regulations vary, but signs indicate restrictions.
Common questions for travelers from Mexico renting a car in Iceland