Welcome to Route 1 Car Rental in Iceland

We offer personalized service, new cars and low prices!



What driver's licenses do you accept?
Valid driver's licenses issued in your state or country is acceptable as long as it is in English or in standard European format. If this is not the case an international license is required.

Do I need insurance?
CDW insurance is included in the rental price, but only to a certain „own risk“, 500.000isk for normal cars and 600.000isk for 4x4 and bigger. If you want to lower your own risk, then an additional insurances can be bought.

What are your age requirements?
You have to be at least 20 years old to rent a vehicle and you need to have held a valid driver´s license for at least 1 year.

Practical information

What is your contact information?
We are located at Arnarvellir 4, 235 Keflavik Airport. Our phone number is: +354 455 0000 and our e-mail address is: route1@route1.is. 

If I want to return the car outside of your opening hours and Shuttle Service hours, is there anywhere I can leave your vehicle?
Yes - that is only possible at our KEF Airport office. Please send us an email for further information.

What do I do if the car breaks down?
If you have any problems with the car you call us at +354 455 0000. 

Method of payment

What forms of payment do you accept?
You can pay in cash, with debit card or with credit card. Please keep in mind that if you pay in cash or with debit card you will still be required to provide us with a valid credit card number for security reasons.
Additional insurance might be required depending on type of card.
Accepted cards are:

Accepted credit cards

Can I use another person's credit card for renting a vehicle?
Yes, but the card holder must present themselves with proper ID to sign the rental contract.

Is the VAT included in the total price?
Yes, the VAT is always included.

What currency do you use?

All the prices listed on our website are in Euros (EUR).



Do I need to pay a deposit?
A deposit is not required unless you cancel our insurance due to having your own.

A deposit is also required if you do not have a credit card. Then you need to buy additional insurances and leave a cash deposit for the excess amount.

It may take up to 20 days for the deposits to be released from credit cards.

Cancellation Policy

What is your cancellation policy?
Cancelations need to be made at least 24 hours prior to rental start. No refunds if cancelled within 24 hours prior to rental start.

Type of vehicles

What type of cars do you have?
We have economy, compact, mid size cars and SUVs as well as vans.

Do you have automatic or stick shift cars?
We have automatic and manual (stick shift) cars. Make sure you ask for a automatic shift in advance.

What kind of tires are your cars fitted with during the winter months?
All our cars are fitted with studded snow tires in the winter.

Do you rent cars by the hour?
No, our minimum rental period is 24 hours.


Do you offer accessories with your rentals?
We do have accessories that can be rented with the vehicles. The accessories are baby seats/ cushions, GPS systems, Wi-Fi systems and roof boxes.

Additional charges

Is there an additional charge for more than one driver?
Yes, additional charges apply when the rental vehicle is to be driven by more than one person.

Is there an additional charge for fuel?
Fuel must be brought back the same way it was given to you. Our policy is full-to-full. 


What insurances do you offer and what do they cover?

We include a Basic Insurance package with our rentals, which consists of Collision Damage Waiver (CDW), TP and TPL, in the price of the car with excess amount 500.000isk for normal cars and 600.000isk for 4x4 and bigger. We do offer additional insurance packages for a added daily fee.

The lessee is always responsible for the following damages, which are not covered by CDW or other insurances: e.g., damage to tires, headlights, wind-screen and the underside of the car, damage caused by loose rocks which get thrown at the vehicle on gravel roads, damage to the engine of the vehicle caused by water getting into the motor, damages caused by ash and sand, negligence, or if the lessee is driving while intoxicated.


Additional insurances offered by Route 1 Car Rental:
Silver Insurance - Gold Insurance - Zero Excess

Driving conditions

What driving conditions and what weather can I expect?
I recommend taking a look at our page Driving in Iceland where you can find useful information regarding these topics.


Am I allowed to take the car on the ferry to the Westman Islands or between Stykkishólmur and the Westfjords?
Yes, this is allowed. Just remember that you need to book tickets for the ferries in advance. We cannot unfortunately provide vehicle dimensions prior to booking.


Can I drive out-of-state?
There are no official states in Iceland like in other countries such as the USA. So no there is no out-of-state driving simply due to the lack of states.

Monthly Special

If I rent a vehicle for a month can I get a good price?
Yes, vehicles can be rented long term throughout the year and receive a special offer.

Please send us an email at route1@route1.is for further information.

Any other questions? If so, then please send us an e-mail to route1@route1.is or check out our Terms & Conditions.