Driving in Iceland is a unique experience — and it may come with a few surprises, especially if it’s your first time visiting. At Thrifty Car Rental Iceland, your safety is our top priority. That’s why we want to make sure you’re fully prepared before hitting the road. From rapidly changing weather conditions to gravel roads and single-lane bridges, driving in Iceland is quite different from what many travellers are used to.
The road system, traffic laws, and even signage may vary significantly from your home country. It’s essential that you stay informed and responsible. Always check the latest road conditions on road.is and weather forecasts at vedur.is — especially if you’re heading into rural areas or the Icelandic highlands. Whether you’re renting a 4×4 for a winter trip or a compact car for a summer Golden Circle tour, being prepared ensures a safer and more enjoyable adventure.
Take a moment to read through our essential tips and guidelines before you begin your Iceland self-drive tour with Thrifty Car Rental.

ALWAYS WEAR SEATBELTS
Wearing seatbelts is mandatory for everyone in the car, whether you’re sitting in the front or back. This rule applies to all passengers and drivers, no matter how short the journey. It’s not just about avoiding fines—seatbelts are essential for safety. Always make sure everyone is buckled up before setting off on your Icelandic road trip.

DRIVER’S LICENSE
A valid driver’s license with Latin letters is sufficient for renting a car with us.
If your license does not use Latin letters, you will need to present an International Driving Permit (IDP) along with your original license.
- Minimum license holding period: 1 year
- Minimum rental age: 20 – but for larger vehicles, the minimum age may vary. Please check the requirements closely on each vehicle page.
- Maximum rental age: None
👉 Read more about our driver’s license policy.

KEEP HEADLIGHTS ON AT ALL TIMES
In Iceland, keeping your headlights on is not just a safety suggestion — it’s the law. No matter the time of day or weather conditions, drivers are required to keep their headlights switched on at all times, even during bright summer daylight. This rule helps improve visibility on Iceland’s often narrow or winding roads, especially as weather conditions can change quickly. Failing to follow this regulation can result in a fine, so it’s essential to check your lights before setting off.

DON’T STOP ON THE ROADSIDE
When driving in Iceland, it’s crucial never to stop on the side of the road, no matter how tempting the view might be. Iceland’s roads, especially Route 1 (the Ring Road), are often narrow with limited visibility and no shoulder lanes. Pulling over in unsafe spots can pose a serious risk to you and other drivers, as passing vehicles may not have enough time or space to react. If you want to take photos or admire the scenery, always look for designated pull-out areas or parking spots where you can stop safely without obstructing traffic. Respecting this rule helps keep everyone safe and ensures smoother travel across Iceland’s stunning — but sometimes challenging — roadways.

DON’T DRIVE TIRED
In the summertime when the sun is up almost 24 hours a day drivers need to be careful to rest over the day during long trips. It is a good idea to take turns driving. We offer an additional driver for low cost so you can add an extra driver and enjoy your trip to the fullest. If you are travelling alone, find a designated parking lot and rest if you are feeling tired. It is very dangerous for you and others if you fall asleep behind the wheel. It can cause fatal accidents.

ROUNDABOUTS
Roundabouts in Iceland may work a little differently than what you’re used to. Most Icelandic roundabouts have two lanes, and the inner lane always has the right of way. That means if you’re in the outer lane, you must yield to vehicles on the inside when exiting the roundabout. This can be confusing for first-time visitors, so take it slow, use your indicators early, and stay alert. Always watch for road signs and lane markings, especially in busy areas like Reykjavik, where multi-lane roundabouts are more common.

LUGGAGE
Please DO NOT place your luggage in the back seat. In case of a collision or an emergency stop heavy items WILL be thrown around. This can cause serious injury to you or others. Please be safe.

ROADBLOCKS
Roads can be blocked temporarily due to extreme weather or road conditions. NEVER enter a blocked road – it is DANGEROUS. Closed roads are not always blocked with signs! Check www.road.is
Drivers will be subject to complete liability for any damage to the rental vehicle if they enter a closed road.

BLIND HILLS
Blind hills, or “blind rises,” are common on Icelandic roads—especially in the countryside. These are places where you can’t see over the top of the hill to what’s coming on the other side. It’s crucial to slow down, stay on your side of the road, and never attempt to overtake another vehicle on a blind hill. Many Icelandic roads are narrow and without barriers, so meeting another car unexpectedly at high speed can be extremely dangerous. Always drive cautiously in these areas, and keep an eye out for warning signs marked with “blindhæð.”

OFF ROAD & F-ROADS
The nature in Iceland is very unique and fragile. Damage can be irreversible. Beaches and black sand count as off-road. Stay on roads and recognised tracks. Offroad driving is illegal even though you are driving an AWD/4×4 vehicle.
F-roads in Iceland are rugged mountain roads that lead into the highlands and are only accessible with a 4×4 vehicle during the summer months.

SPEED LIMITS
Speed limits in Iceland are strictly enforced and may be lower than what you’re used to. The general limits are 50 km/h in urban areas, 80 km/h on gravel roads in rural areas, and 90 km/h on paved rural roads. These limits exist for safety reasons—many roads in Iceland are narrow, winding, and affected by unpredictable weather conditions. Speed cameras are common throughout the country, especially near towns and on major routes like the Ring Road. Driving over the limit can result in heavy fines, so keep an eye on speed signs and adjust your speed accordingly.

ONE LANE BRIDGE
One-lane bridges are very common in the countryside, especially along the Ring Road. When approaching a one-lane bridge, the general rule is that the car closest to the bridge has the right of way, but it’s important to approach slowly and make eye contact or flash headlights to signal your intentions. Always slow down when approaching, and be prepared to yield. Taking it slow not only avoids accidents, but also prevents damage to your rental car.

ANIMALS ON THE ROAD
sheep are the most common culprits. Icelandic sheep roam freely and often wander across roads without warning. What makes them unpredictable is that they tend to dart after their lambs, who may already be on the other side of the road. Always slow down when you see sheep near the roadside and never honk—this can spook them into running. Collisions with animals should be reported to the Police immediately. You can contact them by dialling 112.

GRAVEL ROADS
Driving too fast on gravel can cause the car to skid or kick up stones, which may damage the car or other vehicles. To stay safe, slow down before transitioning from paved to gravel surfaces, avoid sudden turns or braking, and keep a safe distance from the vehicle ahead.
When a car comes from the opposite direction, slow down and pull out to the right side of the road. This can reduce the risk of costly damage to paint and windshield from flying stones.

WINDSHIELD DAMAGE
Windshield damage is the most common damage customers experience here in Iceland. It is very costly and can happen on both paved and gravel roads. Often it is a passing car that causes a flying stone to hit your windshield. Nonetheless, you are responsible. See our Premium protection package option to view windshield coverage.

Recommended Read
Visiting Iceland during winter?
Winter driving in Iceland can be different what you are used to. Not used to driving in snow or ice? Read more.

Renting an AWD/4×4 car?
F-roads are mountain roads that are only suitable for AWD/4×4 rental cars.