Terms and Conditions

AGE REQUIREMENT AND DRIVERS LICENSE: A full drivers license must have been held for at least 12 months and must be presented at the start of the rental. Renter must be 20 years of age to rent a vehicle from Ice Holiday car rental. To rent a large size SUV or a passenger car the renter must be 23 years of age. A renter under the age of 20 may be able to rent a car under some circumstances. Including that he purchases all optional insurances.

CREDIT CARD IMPRINT: All rentals are subject to the full rental agreement terms and conditions 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 cost of the rental. This credit card imprint may be used to pay all extra charges as extra insurance, parking fines, damages or any cost due to the rented car as a result of the renters use of the car.

RENTAL PERIOD: The minimum rental period at Ice Holiday car rental is two days - 48 hours. When the drop off is one hour or more after the pick up time, it is regarded as a full day.

PICK-UP & DROP-OFF SERVICE: For customers in the Reykjavik area which are staying at hotels, guest-houses or other accommodations, we offer pick-ups and drop offs to a rental location of your choice, at a reasonable additional charge. For our customers arriving or departing at Keflavik International Airport we offer both pick up and drop off service free of charge.. Finally we offer pick-ups and drop offs at our office which are free of charge.

PICK-UP & DROP-OFF location: Our pick up and drop locations are, Our Office at Njarðarbraut 1, 260 Reykjanesbær., Keflavik Int. Airport, Keflavik City area and Reykjavik City area. Taking the car outside of the country is forbidden

CAR TYPES: We reserve the right to substitute vehicles when the reserved car types is not availble. We can not always guarantee the brand but we can guarantee a similar car or an upgrade instead.

FUEL TANK: The rental car will always have a full tank of fuel. The car should be returned full or a charge will be made for having the tank refilled no matter how few liters of fuel are missing. If the car is returned with less gas than when it was rented, we will charge the cost for the missing gas plus an additional ISK 3.000

CANCELLATION AND RESERVATION POLICY: In order to guarantee your reservation we require a valid credit card number and we charge your credit card at the time of your booking. In case of a cancellation, this is our policy; Cancel three weeks prior to the rental and get a full refund (100%). Cancel in the last week before your rental and pay 50% of the rental amount. In case of a no-show or last day cancellation we charge 100% of the rental amount.

TAX: Local value added tax (VAT) is 24%

CHILD SEATS: In Iceland it is mandatory for young children to travel in safety seats while in a vehicle. Child seats are available if pre-ordered at a reasonable additional charge. These child seats are generally suitable for children aged from 6 months to +4 years of age. Booster seats are also available for a reasonable price.
INSURANCE: Third part liability is equivalent to the amount stipulated by Icelandic law at each time. This also applies to the amount of individual driver liability. Third party coverage and personal accident insurance is automatically included in your rental and in the self-risk liability amount mentioned here below. If for some reason, the renter causes damages to a third party vehicle, without causing damages to the rented vehicle, the third party liability is a total of ISK 35.000.
The following damages are always on the renters responsibility and are not covered by the CDW or the SCDW; - Negligence - Damages caused by driving into waters and rivers and when driving off-road. - Driving while intoxicated - Damage to tires, headlights, wind-screen and the underside of the car. - Damage caused by the wind blowing up the door. - Damage caused by sand and ash storm. (only applies if the renter has not opted for the SAAP insurance). (Please see full details listed on the backside of rental agreement).
GRAVEL PROTECTION (GP): This protection includes damage to windscreen, headlights, front bumper, mirrors and the hood of the car when gravel or rocks gets thrown onto the vehicle by another car. The gravel protection (GP) is included. Self risk amount for broken windscreen is ISK 15.000.
THEFT PROTECTION (TP): TP covers theft of rental vehicle. SAND AND ASH PROTECTION (SAAP): This is our new optional insurance which we offer and is the only insurance not included in the price. For our customers protection we have decided to offer an insurance which covers our customers against damage due to sand and ash storm which damages the paint of the car, windows, lights and plastic. These damages can cost between 500.000 to 1.500.000 ISK to fix. By purchasing SAAP the self risk in case of damage from sand and ash is lowered to 90.000 ISK. We offer the SAAP for only 1.500 ISK per day. Volcano eruptions in the past years have increased the risk of damage to the paint and windows of all cars and no insurance company will cover these damages. In high winds and dry weather the ash from the volcanos and sand in the south coast can cause huge damage to the cars and all the cost has fallen on the renter, until now. (NOT included)

 EMERGENCY ASSISTANCE: Call 112. Break down service 24 hours call +354 660-7266

Extra driver
Baby seat
Cushion/Booster seat
Service Fee
Discounts for gasoline -
 There is a handling fee of 50 EUR for all fines or charges that result from renters use of the car and the renter does not pay himself. Ice Holiday car rental will charge the renter for fines and charges plus the previously mentioned handling fee. If the car is returned extra dirty or if someone smoked inside the car , the renter will have to pay ISK 15.000 for cleaning fee. If the car is damaged and needs to be picked up, the retrival fee is a total of ISK 250 per km outside of the capital area or a minimum of ISK 35.000. If the car is returned with a flat tire, the renter is charged at the time of drop off, total of ISK 30.000 for a small and medium sized car. For a large and luxury car, the total charge is ISK 40.000 at the time of drop off. The tire will then be taken to a tire repair shop and if it is repairable, the total charge is ISK 9.500 and a refund for the difference is made immediately.