Find Rentals
Popular Cars
Rental Deals
Insights
Agencies
FAQs
Iceland

Cheap Car Rentals in Iceland from ₹ 2,517

Driver's age: 25-65
Here’s why our users search for rental cars through Cheapflights

Save over 40%Compare Cheapflights against other travel sites with one search.

Price trackingHolding out for a great deal? Get notified when prices are reduced.

Customized resultsFilter by rental agency, car type, price range and more.

Unlimited free useSearch as many times as you want with no hidden charges or fees.

Iceland car rentals in 2026

Most popular company

Ice Rental 4x4

Most common car type

Luxury

Average price per day

₹ 7,173

Cheapest price per day

₹ 2,517
Search Deals
Search Deals
Search Deals
Search Deals

Popular car types in Iceland

All deals

There are 77 hire agencies servicing Iceland. These agencies, altogether, have 277 hire locations available. Need an affordable hire? small car is the cheapest car type to hire in Iceland with prices from ₹ 2,517 a day in the previous 7-day period. Here are 3 car types you can hire in Iceland:

Economy

Economy

₹ 2,517+

View deal
Compact

Compact

₹ 2,778+

View deal
Intermediate

Intermediate

₹ 4,007+

View deal
Full-size SUV

Full-size SUV

₹ 6,182+

View deal
Compact estate car

Compact estate car

₹ 3,172+

View deal
Compact SUV

Compact SUV

₹ 3,488+

View deal
Intermediate SUV

Intermediate SUV

₹ 4,105+

View deal
Intermediate estate car

Intermediate estate car

₹ 4,161+

View deal

Best car rental deals found in Iceland

Suzuki Swift₹ 2,517/day
Suzuki Swift
Found 11/03/26
Volkswagen Polo₹ 2,706/day
Volkswagen Polo
Found 11/03/26
Honda Amaze₹ 2,778/day
Honda Amaze
Found 11/03/26

Cheapflights insights for Iceland car rentals

Get relevant, data-driven information to help you hire a car in Iceland, including pricing trends, ideal booking times, and more.

How far in advance should I hire a car in Iceland?

For the best savings on car hire in Iceland, make your reservation 58 days before pickup. The average price then is just ₹ 4,879/day – about 8,269% less than the yearly average.

Find deals

What is the cheapest car hire company in Iceland?

In Iceland, the most affordable car hire company right now is FLIZZR, offering prices from just ₹ 23/day over the past two weeks. Another budget-friendly choice is Alamo, with rates starting at ₹ 31/day.

What is the cheapest month to rent a car in Iceland?

At Iceland, the best time to rent a car is at January, with an average daily rate of just ₹ 3,742. Conversely, August is the priciest month, averaging ₹ 9,852 per day. Below youll find the monthly average rental prices. Note that costs can fluctuate depending on availability, booking time, and vehicle type.|1#In Iceland, the best time to rent a car is in January, with an average daily rate of just ₹ 3,742. Conversely, August is the priciest month, averaging ₹ 9,852 per day. Below youll find the monthly average rental prices. Note that costs can fluctuate depending on availability, booking time, and vehicle type.

January

₹ 3,742

February

₹ 3,931

March

₹ 4,263

April

₹ 4,358

May

₹ 5,115

June

₹ 6,536

July

₹ 9,141

August

₹ 9,852

September

₹ 5,778

October

₹ 5,068

November

₹ 4,263

December

₹ 4,215

What car do most people rent in Iceland?

SUV cars (Land Rover Discovery Sport or similar) are the most popular option for those visiting Iceland. Passenger van cars (Renault Trafic or similar) are also a popular choice, followed by Intermediate cars (Toyota C-HR or similar).

Which car hire company has the most locations in Iceland?

Avis has 8 locations throughout the area, more than any other company. NextCar has the second-highest number of locations in Iceland at 1.

Find deals

Top rental agencies in Iceland

Avis

9.2
Wonderful
1 review•8 locations
Check prices
Overview

Cleanliness

9.6

Comfort

8.8

Overall

9.2

Pick-up/drop-off

9.2

Value

7.6

Routes Car & Truck Rentals

5.4
Fair
12 reviews•1 location
Check prices
Overview

Cleanliness

6.4

Comfort

5.2

Overall

5.4

Pick-up/drop-off

4.9

Value

5.8

Go Rentals

1 location
Check prices

NextCar

1 location
Check prices

National

3 locations
Check prices

Rhodium

1 location
Check prices

RAS Car Rental

4 locations
Check prices

Fara Car Rental

2 locations
Check prices

Car rental FAQs

  • What is the most popular car hire provider in Iceland?

    When hiring a car in Iceland, the most popular provider of hire cars among Cheapflights users is Europcar, and with prices around ₹ 19,015/day, it’s easy to understand why. The most popular car type from Europcar is PASSENGER_VAN, which starts as low as ₹ 12,576/day.

  • What is the cheapest city to get a rental car in Iceland?

    At ₹ 8,232/day, it is 2% cheaper on average to rent a car in Reykjavik than any other city in Iceland. The cheapest price found in Iceland was for ₹ 3,497/day in Reykjavik.

  • What side of the road do you drive on in Iceland?

    Cars travel on the right side of the road in Iceland.

Car rentals by fuel type in Iceland

All deals

Browse through car rental deals by fuel type in Iceland. There are currently 3 fuel types to choose from with Petrol/Diesel being the cheapest (₹ 30+).

Electric

Electric

₹ 40+

View deal
Hybrid

Hybrid

₹ 31+

View deal
Petrol/Diesel

Petrol/Diesel

₹ 30+

View deal

Browse thousands of different options on Cheapflights for your next trip

Airport car hires in Iceland

Car Rental in Reykjavik Keflavik Intl Airport
Car Rental in Akureyri Airport
Car Rental in Reykjavik Domestic Airport

Best Car Rental Deals

We make it easy and fast to find and compare deals from 70,000+ rental locations and hundreds of agencies.

No surprises

Prices shown to you will be final, without any hidden charges or fees.

Free Cancellation

Plans change – we get it. And that’s why you can search and book rental cars on Cheapflights from agencies that offer free cancellation