The rental fee includes the mandatory vehicle insurance, i.e. liability insurance and accident insurance for the driver and the owner.

Third-party liability insurance and the accident insurance for the driver are to the amount stipulated by Icelandic law at any given time. The Renters own-risk because of damage to the rented vehicle may amount to the full value of the vehicle; cf. a further stipulation of own-risk according to Hertz pricelist at any given time.

Our Coverages

The Renter may pay an own-risk fee (CDW and SCDW) and thereby reduce his or her financial liability in case of damage. The amount of the own-risk fee is according to Hertz pricelist. Notwithstanding the payment of the own-risk fee, the Renter is always obligated to pay a minimum amount in the event of damage to the rented vehicle during the time the vehicle is at the responsibility of the Renter. This amount is determined in the pricelist.

Each own-risk only applies to one incident. In instances of more damage that obviously did not occur at one and the same time, each own-risk CDW and SCDW applies to only one incident.


This option reduces your financial liability for damage to the Hertz vehicle, it´s parts and accessories, except the underbody, tires, theft, attempted theft or vandalism, provided the vehicle is used in accordance with the terms and conditions of the rental agreement.

If CDW is declined, you will be responsible for damage up to the full value of the vehicle.

CDW Non-Waivable Excess
All rentals are subject to a non-waivable excess (N.W.), depending on the vehicle group rented, which you are responsible in the event of damage to the Hertz vehicle during the rental.

The N.W. amount is according to our pricelist at any given time.



The purchase of SCDW in addition to CDW reduces the non-waivable amount of the CDW. Please note, the purchase of SCDW does not reduce the non-waivable excess for any other protection than CDW.

The N.W. amount is according to our pricelist at any given time.



This option reduces your financial liability for loss or theft of the Hertz vehicle, its parts and accessories, provided the vehicle is used in accordance with the terms and conditions of the rental agreement. If TP is declined, you will be responsible for the cost of repairing or replacing the Hertz vehicle lost or damaged, following theft, attempted theft or vandalism up to the full value of the vehicle.

TP non-waivable excess (N.W.)
All rentals are subject to a non-waivable excess fee (N.W), depending on the vehicle rented, for which you are responsible in case of loss or theft of the Hertz vehicle during the rental.

The N.W. amount is according to our pricelist at any given time.



This option will eliminate the Renters financial liability for damages, caused by gravel, on the front window and headlights.

Please note that this insurance does not cover damages caused by sand- or ash storm.



This option reduces your financial liability for damages caused by ash, sand or other earth materials being blown against the vehicle. Such damage is not covered by any other protection if the renter does not accept this protection, he is liable for the total damage cost which can include replacement of windows, headlights, and repaint of the vehicle. Now you can buy SAAP directly through the booking path on our website or at the counter.

SAAP non-waivable excess (N.W.) – All rentals are subject to a non-waivable excess (N.W.), depending on the vehicle group rented.

The N.W. amount is according to our pricelist at any given time.




The payment of an own-risk fee (CDW and SCDW) does not reduce the Renters financial liability because of damage to the vehicle in the following instances:

a. Intentional damage or damage resulting from major negligence by the driver.

b. Damage resulting from the driver being under the influence of intoxicants or is in other respects incapable of controlling the vehicle in a safe manner.

c. Damage resulting from racing or test-driving.

d. Damage resulting from warfare, revolution, riots and/or civil unrest.

e. Damage caused by animals.

f. Holes burned into the seats, carpet or mats.

g. Damage affecting only wheels, tires, suspension, batteries, glass, radio equipment, as well as damage due to the theft of individual parts of the vehicle and damage derived thereof.

h. Damage caused by driving on rough roads, for example, to the transmission, the transmission shaft, oil pan or engine or other parts in or on the chassis of the vehicle, damage to the chassis of the vehicle caused by the vehicle bumping against uneven roads, for example, road shoulders caused by motor graders, rocks lodged in gravel roads or by the edges of roads. The same applies to damage resulting from loose rocks hitting the vehicle or the bottom of the vehicle or into the radiator when being driven.

i. Damage resulting from the vehicle being driven in areas where driving is banned, for example, driving on paths, tracks, banks of snow, ice over or in unbridged rivers, streams or other watercourses, on beaches, places that are only accessible during low tide or other trackless areas.

j. Damage to passenger vehicle caused by driving on roads marked with an F in public maps and on the Kjölur (nr. 35)and Kaldidalur (nr. 550) roads, and roads to Landmannalaugar (nr. 208).

k. Damage to the vehicle caused by sand, gravel, ash, pumice or other kinds of earth materials being blown against it.

l. If the vehicle is shipped by sea, the payment of the own-risk fee does not apply to damage caused by seawater.

m. Any loss to the Lessor caused by the vehicle being stolen.

n. Water damage to the vehicle.




If the Renter chooses to rely on his credit card for cover, we strongly recommend that the Renter fully understands the terms and conditions of any cover provided by the credit card company before declining any of Hertz optional services.



The Renter will always have to cover the cost for transporting the damaged vehicle. The cost is per km, with a minimum fee according to the Hertz pricelist at any given time. Please note that replacing a damaged car is subject to availability.