Summarise (click here)
Car Specs
- Seats up to 9 people (1 driver + 8 passengers).
- Automatic transmission.
- 2WD (front-wheel drive).
- Space for about 5 large suitcases + 2 small bags.
- Air conditioning, traction control, Bluetooth, power steering/windows.
Who It’s Suitable For
- Large groups and families traveling together.
- Travellers wanting one vehicle big enough for nine people and luggage.
- Good choice for long drives around Iceland with comfort and space.
Where It Can Go in Iceland
- Ideal for the Ring Road (Route 1) and main paved touring routes.
- Great for popular loops like the Golden Circle, Snæfellsnes Peninsula, and Westfjords.
- Good for city driving and airport transfers.
- Not allowed on F-roads or highland mountain tracks.
Good to Know
- A spacious and easy-to-drive van perfect for large groups who want comfort and luggage capacity on paved roads.
- Best used for touring Iceland’s main attractions.
The Volkswagen 9 seats Caravelle van (1 driver + 8 passengers) is a perfect passenger van for larger groups and families travelling together in the summertime. It is an easy to dive passenger van that can tour you comfortably and quietly over long distances. For those who plan to visit Iceland in a big group of nine with plenty of luggage, this is one of the ideal passenger vans for your Iceland road trip.
A Minivan Suited For Group Trips Around The Iceland Ring Road
The Volkswagen Caravelle 9-seater rental in Iceland is a spacious and economical passenger van, perfect for groups or families traveling together. With an automatic 2WD system, it’s easy to handle in cities like Reykjavík and for transfers to and from Keflavík Airport. Its large, well-designed interior makes it a comfortable choice compared to similar vans, offering ample room for passengers and luggage. This makes it one of the most popular options for travelers searching for affordable group car rentals in Iceland.
Best suited for paved roads, the VW Caravelle is ideal for exploring Iceland’s main tourist routes, including the Ring Road, Golden Circle, Snæfellsnes Peninsula, and the Westfjords in summer. Please note that this van is not allowed on F-roads or in the Highlands, making it unsuitable for rugged mountain driving. To rent the VW Caravelle, drivers must be at least 23 years old, hold a valid license for one year, and present a credit card in the renter’s name. An International Driving Permit (IDP) is required if the license is not in Roman script.
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4×4 Iceland Car Rental Guide
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FAQ
- Which is the most recommended car for Airport Transfers in Iceland?
The VW Caravelle is a popular choice for airport transfers thanks to its spacious interior and easy handling. It comfortably fits groups traveling between Keflavík International Airport and Reykjavík.
- Can I rent a 4×4 minivan in Iceland?
Yes, we have a 4×4 version of the VW Caravelle 9-seater available here.
- What months do I need a 4×4 in Iceland?
You need a 4×4 in Iceland mainly from October to April during the winter months. You also need a 4×4 during the summer if you plan on exploring the highland F-roads.
- What is the new kilometer tax / road tax fee in Iceland?
As of January 1st 2026 the Icelandic government is replacing part of the traditional fuel-based road tax with a usage-based system (“kílómetragjald”), calculated per kilometer driven and adjusted by vehicle weight. All vehicles using Icelandic roads, including rental cars, are required to contribute through this kilometer-based charge to support road maintenance and future infrastructure.
- What is the new kilometer tax / road tax fee in Iceland?
As of January 1st 2026 the Icelandic government is replacing part of the traditional fuel-based road tax with a usage-based system (“kílómetragjald”), calculated per kilometer driven and adjusted by vehicle weight. All vehicles using Icelandic roads, including rental cars, are required to contribute through this kilometer-based charge to support road maintenance and future infrastructure.
- Why is Thrifty Car Rental Iceland charging it?
The tax applies to all standard passenger cars and SUVs under 3.5 tonnes, as well as heavier vehicles in higher weight categories, with rates defined by law for each class. It applies to both Icelandic residents and visitors, including tourists renting a vehicle from Thrifty Iceland for a short stay or a longer road trip such as the Ring Road.
- Is it included in the daily rate?
The Road Tax appears as its own line item at these points:
- On your rental agreement at the check-in desk
- On your final invoice after drop-off
This clear separation helps show exactly what portion of your total cost is the government-mandated tax versus your actual rental service.
The charge applied to your rental agreement consists of two clear parts:
- Government Road Tax: The mandatory fee set by the Icelandic Parliament.
- Thrifty Service Fee: Covers the administrative cost of processing, reporting, and remitting these taxes to the government.
Rate (Per KM) Government Road Tax 6.95 ISK (Approx . 0.056 USD / 0.047 EUR) Thrifty Service Fee 1.40 ISK (+ VAT) (Approx . 0.011 USD / 0.0095 EUR) - Where do I pickup my rental car?
Our desk is located directly inside Keflavik International airport.
Just head to the Hertz rental desk in the arrivals hall, and you will be hitting the Icelandic roads in no time. Thrifty is serviced by Hertz Iceland, so everything is in one easy spot and to the highest standard.
We also have pickups available at Reykjavik Domestic Airport, Akureyri, Egilsstaðir, and Ísafjörður.
- What is your cancellation policy?
In case of a cancellation, the rental needs to be cancelled more than 3 days prior to rental pick up for a full refund.
If a rental is cancelled with less than 3 days notice or in case of no show the full rental price will be charged.
- 3 days or earlier – Full refund
- Less than 3 days – Non refundable
If you need to cancel your prepaid reservation please do so by sending an email to thrifty@thrifty.is stating your name and reservation number.
