At a Glance
Generally no — most US personal auto policies don’t extend internationally, and even credit-card rental coverage or travel insurance often excludes Iceland-specific risks like gravel and sand/ash damage.
Breaking it Down
Renters are free to rely on their own travel insurance or credit-card rental coverage instead of Hertz’s optional packages, but should confirm with their provider that it explicitly covers rental vehicles in Iceland — this is a common gap, since many standard international policies exclude gravel and sand/ash damage, which are frequent here. TPL and CDW are included in every rental regardless of outside coverage. For full details, please check our Rental Requirements and Coverage & Protection.
