If you are planning on renting a car in Iceland then you will need to make sure that you are covered by the right insurance. All of the cars that we offer for rental are covered by the main insurance policies, to ensure that you are safe and covered on your travels. The insurance policies you are covered for include:
You are covered for third party and personal accident insurance with all rentals. The exact amount of third party coverage and liability is decided by Icelandic law at any given time. This also applies to the amount paid for individual driver liability.
COLLISION DAMAGE WAIVER (CDW) - INCLUDED
You are covered for CDW as part of your rental price and the driver liability is in excess of ISK 350,000.
SUPER COLLISION DAMAGE WAIVER (SCDW) - INCLUDED
Your car rental also includes SCDW, which lowers the driver liability excess down to ISK 75,000 from ISK 350,000. Charges that are not covered by SCDW insurance include: negligence, driving under the influence, damage to tires, windscreen, headlights, underside of the car, or damage caused by loose rocks. You are also not covered for damage to the engine caused by water getting in the motor.
GRAVEL PROTECTION (GP) - INCLUDED
This covers you for damage to the car, headlights or windscreen that is caused when gravel or loose rocks are thrown at the rental car by another car.
THEFT PROTECTION (TP) - INCLUDED
You are covered for the theft of your rental car. This means that you are covered in the event that your rental car is stolen.
TIRE INSURANCE (TI) - INCLUDED
All of the cars that we offer also come with tire insurance to make sure you are safe on the roads. This means you will be reimbursed 100% for the repair or replacement of damaged tires.
Not all of these insurance policies are standard practice in Iceland, but we make sure that you are covered on all of these aspects. This means you won’t be left with extra costs for repairs and damage to your rental vehicle. There is also an optional extra for your insurance.
SAND AND ASH DAMAGE WAIVER (SADW) - OPTIONAL
An additional aspect of car insurance in Iceland is for Sand and Ash damage. No regular car insurance includes this, but by adding it to your policy, you will be insured for damage to paint, glass and plastic parts of the car.