Family Rental Cars in Iceland
Explore Iceland with the whole family in Hertz Iceland’s diverse fleet of family rental cars. From the practical Toyota Corolla Wagon perfect for the Golden Circle to the spacious Kia Sorento PHEV and Land Rover Defender for Ring Road adventures, we have an ideal family car hire option that suits your group size, luggage needs, and budget.
Booking a rental car for your family vacation in Iceland is about more than just seats. It is about having enough boot space for pushchairs and suitcases, the right 4×4 capability for Iceland’s roads, and the confidence of driving a newer, reliable vehicle from the moment you land.
Baby seats, child seats, and booster seats are all available to add during the booking process, so your youngest travellers are covered from KEF Airport arrivals to your final destination.
Why Rent a Family Car in Iceland?
Iceland is a country built for road trips, but not all cars are built for Iceland. Narrow passes, long distances between towns, unpredictable weather, and gravel road sections on popular routes mean that the car you choose genuinely affects how comfortable — and how safe — your family’s journey will be.
Choosing the right family rental car means matching your group size, luggage volume, and planned routes to the right vehicle category from the start. A family of three travelling light has very different needs from a family of five with a pushchair, winter gear, and four full-size suitcases.
Finding the Right Fit: Family Size Guide
Which Family Rental Car Is Right for You?
Our honest recommendation: If you are travelling with children in Iceland and have any doubt about which category to choose, go one size up. Boot space fills quickly with a pushchair, and having room to spare makes long driving days significantly more comfortable.
Matching the Right Car to Your Family
Your Family
Luggage Capacity
Category
Example Models
Your Family
2 adults + 1–2 young children (light luggage)
Luggage
2 medium bags + small pushchair
Category
Compact Family Wagon
Your Family
2 adults + 2 children (standard luggage)
Luggage
3 large suitcases + pushchair
Category
Family Wagon or Compact SUV
Your Family
2 adults + 2–3 children (full luggage)
Luggage
4 large suitcases + pushchair + extras
Category
Family SUV 4×4
Your Family
3 adults + 2–3 children or extended family
Luggage
5–7 large suitcases
Category
Large Family / 7-Seater
Your Family
Groups of 8–9 with luggage
Luggage
5–7 large suitcases
Category
9-Seat Minibus
⭐ Our Honest Recommendation
If you are travelling with children in Iceland and have any doubt about which category to choose, go one size up. Boot space fills quickly with pushchairs and cold-weather gear. Choosing a newer, spacious model from our modern fleet ensures your family stays comfortable during long scenic drives.
Travelling with Babies and Toddlers in Iceland
Iceland is an incredibly family-friendly destination, but road tripping with babies and toddlers requires a little extra preparation — especially when it comes to your rental car. At Hertz Iceland, we have made this as straightforward as possible.
Baby seats, child seats, and booster seats are available to add during the booking process. We offer rear-facing infant seats for babies, forward-facing child seats for toddlers, and booster seats for older children. All are fitted to ISOFIX anchor points where available in the vehicle, giving you the same standard of restraint you would expect at home. Simply add the seat type you need when you book, and it will be installed and ready in your vehicle at collection.
Because our fleet is kept under approximately two years old, every family rental car you hire from us comes equipped with the latest passive and active safety technology as standard — including multiple airbag systems, automatic emergency braking, lane-keeping assist, and blind-spot monitoring depending on model. When you are driving through Iceland’s coastal wind corridors, single-lane bridges, or winter gravel roads with children in the car, driving a newer vehicle is not a luxury — it is the most important decision you make.
Icelandic law requires all children under 135 cm in height to use an approved child restraint system. Add your child seat at booking — availability is subject to demand, particularly in peak summer season.
Child Seat Safety Standards
Child’s Age / Weight
Seat Type
Fitting Method
Age / Weight
Newborn to approx. 15 months
Up to 13 kg
Up to 13 kg
Seat Type
Rear-facing infant seat
Fitting
ISOFIX + top tether or seatbelt
Age / Weight
Approx. 9 months to 4 years
9–18 kg
9–18 kg
Seat Type
Forward-facing child seat
Fitting
ISOFIX + top tether or seatbelt
Age / Weight
Approx. 3–12 years
15–36 kg
15–36 kg
Seat Type
Booster seat / High-back booster
Fitting
Vehicle Seatbelt
Icelandic Law
Mandatory Requirement: Icelandic law requires all children under 135 cm in height to use an approved child restraint system.
Pro Tip: Add your required child seats during the online booking process to guarantee availability. Demand is exceptionally high during the peak summer season (June–August).
The Real Cost of Renting a Family Car in Iceland
Important 2026 Update: The Kilometer Tax
As of January 1, 2026, the Icelandic government introduced a “Road Usage Charge” to replace older fuel taxes. This applies to all vehicles on the road — including every family rental car category.
- Government Tax: 6.95 ISK per km
- Hertz Admin Fee: 1.40 ISK per km (+ VAT)
- Total Charge: Approx. 8.35 ISK per km
How you pay: This fee is calculated automatically based on your mileage and added to your final invoice when you return the vehicle.
What this means for family road trips: A typical Iceland family road trip covers 1,500–3,000 km depending on your itinerary. At 8.35 ISK per km, budget approximately 12,500–25,000 ISK in road tax across your trip, regardless of which vehicle category you choose.
The practical takeaway: Since the kilometre tax is the same for every car on the road, the size of vehicle you need for your family does not change your tax bill — only your daily rental rate and fuel costs vary by category. Choosing the right size car for your family from the start is far more cost-effective than upgrading mid-trip.
Family Car Availability and Roads in Iceland
Iceland’s roads offer an extraordinary variety of driving conditions — and the best rental vehicle for a family road trip in Iceland is the one that matches both your family’s needs and the roads you plan to drive. The paved Ring Road (Route 1) and main routes to the Golden Circle, South Coast, Snæfellsnes, and the North are accessible to all vehicle categories in the fleet. These roads are well-maintained, clearly signed, and entirely suitable for compact family wagons and crossovers in good weather.
However, Iceland’s conditions change quickly. Gravel road sections appear on popular routes even outside the highland interior — including parts of the Snæfellsnes Peninsula, the Eastfjords, and approach roads to waterfalls and glaciers. Strong coastal winds are common year-round, and winter driving between November and April introduces ice, snow, and reduced visibility on roads that look straightforward in summer. For families travelling with children, the best vehicle to rent for a family road trip in Iceland is unambiguously a 4×4 SUV — not because paved roads require it, but because the stability, higher ground clearance, and traction systems make every driving day significantly less stressful when the weather turns.
If you want a no-brainer answer for car rental for a family vacation in Iceland, book a family 4×4 SUV. Models like the Kia Sorento PHEV, Toyota Land Cruiser, Kia Sportage, or Land Rover Defender give you the space, safety, and all-terrain confidence to handle whatever Iceland’s roads and weather put in front of you — with room for the whole family and all their luggage.
Why Choose Hertz Family Car Hire
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Newer, reliable family fleet
Every family rental car is kept under two years old—meaning the latest safety systems and comfort. When driving with children, a newer car is peace of mind.
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ISOFIX Child seats available
We offer infant, forward-facing, and booster seats. All are ISOFIX compatible where available. Add these to your booking early to guarantee availability.
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Airport pick-up inside KEF Hall
Collect your car directly inside the KEF arrivals hall—no shuttle or waiting outside with tired children. Walk straight from baggage claim to our counter.
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Wide range of family vehicles
From Corolla Wagons and Kia Sorento PHEVs to Land Cruisers and 9-seat minibuses, we have the perfect fit for every family size and luggage load.
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Nationwide support & local advice
Expert guidance on route planning and road conditions. Our nationwide support network keeps your family covered from Reykjavík to the Eastfjords.
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Transparent pricing
No hidden fees. Your daily rate, the 2026 kilometre tax, and extras like child seats are clearly stated upfront. What you see is what you pay.
Tips on Renting a Family Car in Iceland
Before you rent a car for your family vacation in Iceland and hit the road, here is what to keep in mind for a smooth, stress-free trip with children:
- Book your child seat in advance. Baby seats, child seats, and booster seats are available to add during the booking process at Hertz Iceland. During peak summer season (June to August), availability is higher when reserved ahead of time — do not leave it until you arrive at the counter.
- Go one size up if you are unsure. When it comes to rental cars for large families or families travelling with a pushchair, extra luggage, and children’s gear, the boot fills faster than you expect. If you are deciding between two vehicle categories, the larger one will almost always be the right call.
- Choose a 4×4 SUV for winter or shoulder season travel. If your family is visiting Iceland between September and May, a 4×4 SUV is the single most important upgrade you can make. Iceland’s roads can change from dry tarmac to ice or snow within minutes, and having a vehicle with proper traction control and AWD removes the stress entirely.
- Avoid F-roads with any regular family vehicle. F-roads are unpaved highland interior tracks accessible only to specialist high-clearance 4×4 vehicles. No compact wagon, crossover, or standard family SUV is approved for F-roads, and damage from unpaved terrain is not covered. If your plans include the highland interior, double check the detail of the car in our fleet before booking to ensure you have the right vehicle.
- Plan fuel stops around nap times and meal breaks. Iceland’s fuel stations on the Ring Road are well-spaced but not always close together on longer remote sections. Building fuel stops into your driving day around the children’s schedule keeps the trip predictable and comfortable for everyone.
- Confirm your luggage and pushchair dimensions before booking. A compact family wagon like the Hyundai i30 Wagon can handle a foldable pushchair plus three large suitcases comfortably. A larger travel system or twin pushchair will need a family SUV or larger. Check the boot dimensions on each vehicle’s page before confirming your booking.
Types Of Family Cars: Choosing Your Rental
Not sure which type suits your Iceland travel plan? Here is a quick breakdown to help you choose the best family rental car for your road trip.
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Compact
Compact Family Car
5 seats, 2WD, 3–4 large bagsA practical, easy-to-drive option for smaller families or couples with standard luggage. Offering excellent fuel efficiency, these are simple to park and well-suited to paved routes like the Golden Circle. Our modern, reliable fleet ensures comfort on every summer journey.
Best for: Families of 3–4 travelling light in summer on paved routes. -
Family SUV
Family SUV 4×4
5 seats, AWD, 3–5 large bags + pushchairThe most versatile choice for Iceland. AWD and higher ground clearance provide confidence in coastal winds and winter conditions. Collect yours at our Keflavík Airport arrivals hall location and start your adventure with ample space for luggage and pushchairs.
Best for: Families of 4–5 wanting safety, space, and all-season confidence. -
Large Family
Large Family & Minibus
7–9 seats, AWD or 2WD, 4–7 large bagsIdeal for multi-generational groups or gear-heavy travelers. From the 7-seat Land Rover Defender 130 to 9-seat Ford Transits, all vehicles include nationwide support. Enjoy the same Hertz quality regardless of your group size.
Best for: Large groups of 6–9 who need everyone—and everything—in one vehicle.
Explore Our Family Rental Fleet
Latest family models under 2 years old, fully serviced, and ready for collection inside the KEF Airport arrivals hall.
Compact & Classic Family Cars
Best for: Families of 3–4 travelling in summer on paved roads. Easy to drive and practical for Ring Road and Golden Circle itineraries.
Toyota Corolla Sedan
- Automatic | 5 seats | 3 large bags
- Refined choice for long paved-road itineraries.
Toyota Corolla Wagon
- Automatic | 5 seats | 4 large bags
- Generous boot space for a pushchair and full luggage.
Tesla Model 3
- Electric | 5 seats | 3 large bags
- Premium EV with silent driving and advanced safety.
Kia e-Niro
- Electric | 5 seats | 3 large bags
- Efficient crossover with spacious, practical interior.
Family Wagons & Crossovers
Best for: Families of 4 wanting more space and a higher driving position without stepping up to a full SUV.
Skoda Octavia Wagon 4×4
- 4×4 | 5 seats | 4 large bags
- Boot-generous wagon with AWD reassurance for gravel.
Mazda CX-30
- 2WD | 5 seats | 3 large bags
- Stylish, refined crossover with elevated driving position.
Renault Captur PHEV
- PHEV | 5 seats | 3 large bags
- Hybrid efficiency for families wanting a lighter footprint.
Family SUVs 4×4 — Recommended
Best for: Families of 4–5, year-round travel, and full luggage loads. The 4×4 drivetrain provides essential confidence on gravel and winter roads.
Dacia Duster
- Manual | 4×4 | 5 seats | 3 large bags
- Strong value AWD confidence with genuine off-road capability.
Hyundai Tucson PHEV
- PHEV | 4×4 | 5 seats | 3 large bags
- Combines hybrid efficiency with AWD traction and modern cabin.
Kia Sorento PHEV
- PHEV | 4×4 | 5 seats | 4 large bags
- Spacious, premium SUV with generous boot capacity.
Toyota Land Cruiser
- 4×4 | 5 seats | 5 large bags
- Iceland’s most proven overland vehicle for total confidence.
Toyota Land Cruiser 250
- 4×4 | 5 seats | 5 large bags
- Latest generation combining proven capability with modern comfort.
Land Rover Defender PHEV
- PHEV | 4×4 | 5 seats | 3–4 large bags
- Premium 4×4 with Land Rover’s acclaimed off-road systems.
BMW X3 PHEV
- PHEV | 4×4 | 5 seats | 3–4 large bags
- Premium mid-size SUV combining dynamic drive and efficiency.
BMW X5 PHEV
- PHEV | 4×4 | 5 seats | 4–5 large bags
- Full-size premium SUV with advanced safety features.
Mercedes-Benz GLE PHEV
- PHEV | 4×4 | 5 seats | 4 large bags
- Luxurious SUV with top-tier electric range and cabin comfort.
Audi Q7
- 4×4 | 5 seats | 4–5 large bags
- Spacious premium SUV with refined long-distance comfort.
Range Rover Sport PHEV
- PHEV | 4×4 | 5 seats | 4 large bags
- Flagship SUV option with up to 85 km electric range.
Land Rover Discovery
- 4×4 | 5 seats | 4–5 large bags
- Generous interior space with high-position driving credentials.
Large Family & Group Vehicles
Best for: Extended families or groups of 6–9 who need everyone and everything in one vehicle.
VW Caddy Maxi 7-seater
- Manual | 2WD | 7 seats | 4 large bags
- Practical people carrier for families who need that extra row.
Land Rover Defender 130
- 4×4 | 7 seats | 4 large bags
- Only 7-seat 4×4 in the fleet with genuine AWD confidence.
VW Caravelle 9-seater
- Automatic | 2WD | 9 seats | 4–7 large bags
- Full-size people carrier with ample luggage space.
Ford Transit 9-seater
- Manual or Automatic | 2WD | 9 seats | 5–7 large bags
- Maximum passenger and luggage capacity for large itineraries.
Everything You Need To Know About Family Car Hire
Driving in Iceland with a Family — Factors That Affect Your Trip
Iceland’s roads are generally well-maintained on paved routes, but several factors make family driving here different from a standard European road trip. Understanding these before you go means fewer surprises on the road.
- Road type and season
Paved roads on the Ring Road and main tourist routes are accessible to all vehicle categories in summer. Gravel road sections — common even on popular routes like the Eastfjords and Snæfellsnes — require slower speeds and add wear to smaller vehicles. In winter, ice, snow, and reduced visibility make a 4×4 SUV the strongly recommended choice for families. - Distance between towns
Iceland’s towns and fuel stations are more spread out than most visitors expect. On longer Ring Road sections, gaps of 80–130 km between stops are common. With young children in the car, planning driving days of 200–300 km rather than 400+ km makes for a more comfortable, manageable trip. - Wind and weather
Coastal wind in Iceland can be extremely strong — strong enough to make a car door difficult to open or close. A heavier, more stable vehicle like a family SUV handles crosswind significantly better than a compact car. Check road and weather conditions daily at road.is before driving. - Load and passenger weight
A fully loaded family SUV with four passengers, a pushchair, and five suitcases will use more fuel per kilometre than the same vehicle lightly loaded. Factor this into your fuel stop planning on longer driving days.
Fuel Types Available in the Hertz Iceland Family Fleet
The Hertz Iceland family fleet includes petrol, diesel, electric, and plug-in hybrid vehicles. Here is a quick overview of what to expect by fuel type:
- Petrol (most compact cars, wagons, and SUVs) The most common fuel type in the fleet. Available at all N1, Orkan, and ÓB stations across Iceland. Pay directly at the pump with any international payment card.
- Diesel (select 4×4 models) Available at the same stations as petrol. Offers strong torque and fuel economy on longer highway stretches — particularly relevant for heavier family SUVs with full passenger and luggage loads.
- Plug-in Hybrid / PHEV (select SUVs) Runs on electric power for shorter sections (typically 40–85 km depending on model) and switches to petrol automatically. A Type 2 charging cable is available as a paid add-on at booking. Refuels like a conventional petrol car at any fuel station when the battery is depleted.
- Full Electric / BEV (Tesla Model 3, Kia e-Niro, VW ID.4) Zero tailpipe emissions, near-silent driving. Iceland has over 450 public fast-charging ports nationwide. Charging cables are included with all EV rentals. Best suited to families planning paved-road itineraries with overnight charging at accommodation.
Quick Comparison: Which Family Car Category Suits You?
| Comparison Factor | Compact Family Car | Family SUV 4×4 | Large Family Vehicle |
|---|---|---|---|
| Seats | 5 | 5 | 7–9 |
| Boot space | 3–4 large bags | 3–5 large bags + pushchair | 4–7 large bags |
| Drivetrain | 2WD | AWD / 4×4 | 2WD or 4×4 |
| Best season | Summer (paved roads) | Year-round | Year-round |
| Gravel roads | Caution advised | Confident | Caution advised |
| Winter driving | Not recommended | Strongly recommended | Variable by model |
| Child seat fitment | ISOFIX available | ISOFIX standard | ISOFIX available |
| Road tax (2026) | 8.35 ISK per km | 8.35 ISK per km | 8.35 ISK per km |
| Best for | Families of 3–4, summer, light luggage | Families of 4–5, all seasons, full luggage | Groups of 6–9 |
Where Can I Find Fuel in Iceland?
Iceland has over 550 petrol stations nationwide, with N1, Orkan, and ÓB being the most common operators on all major routes. Fuel stations are found at petrol stations, supermarkets, and key rest stops along the Ring Road, South Coast, and all main tourist corridors.
Before driving any remote or rural section — particularly in the North, East, or on longer gravel detours — check your fuel level and fill up at the last confirmed station before your turn-off. Download the N1 or Orkan app before your trip to locate the nearest station in real time and pay directly from your phone. All stations accept international payment cards at the pump.
Top Road Trip Ideas in Iceland for Your Family Car Hire
The Ring Road
ReykjavíkVíkHöfnEgilsstaðirAkureyriReykjavík
Iceland’s classic long-distance self-drive route, linking major towns and service hubs. It works well year-round for nearly all family rental cars. For winter Ring Road trips, we recommend choosing a family 4×4 SUV from our newer fleet for better traction, stability, and confidence in changing road conditions.
Best Time: Suitable all year; for winter Ring Road trips, a family 4×4 is the better choice.
The Golden Circle
ReykjavíkÞingvellirGeysirGullfossReykjavík
One of Iceland’s easiest and most flexible family routes, featuring short driving distances and iconic sights. Accessible year-round; pick up your car at our Keflavík Airport arrivals desk to start. While EVs work well here in summer, a 4×4 provides extra control on icy winter roads.
Best Time: Open year-round; EVs are best in summer, while 4×4 options are better in winter.
The South Coast
ReykjavíkSeljalandsfossSkógafossVíkJökulsárlón
A rewarding family journey past waterfalls and glacier lagoons. Our nationwide support ensures your family is covered along this well-serviced corridor. We recommend a 4×4 for most of the year to handle coastal winds, ice, and rapidly changing conditions comfortably.
Best Time: Good all year; EVs are best in summer, and a 4×4 is recommended for all other seasons.
Family Car Rental Requirements in Iceland
Before you get ready to collect your Hertz family rental car in Iceland, here is what you must know. Full details are available on our Hertz Iceland rental requirements page.
- Valid driving licence required. A physical driving licence held for a minimum of one year is required for all rentals. Licences in English or Latin script are accepted as-is. If your licence uses a non-Latin script, you must also carry a valid International Driving Permit (IDP).
- Minimum age applies by vehicle category. The minimum rental age is 20 for economy, compact, and intermediate vehicles. Most other vehicle groups — including family SUVs and wagons — require drivers to be at least 23. Select prestige and luxury models require a minimum age of 25. There is no maximum age restriction.
- Child seats must be booked in advance. Baby seats, child seats, and booster seats are available as paid add-ons during the booking process. Availability is higher when reserved ahead of time, particularly during peak summer season. We cannot guarantee availability for walk-in requests at the counter.
- A valid physical credit card is required at pick-up. A Visa, Mastercard, or American Express credit card in the main driver’s name must be presented at collection. Debit cards are accepted under specific conditions — contact us before your trip if you do not have a credit card.
- Additional drivers must be declared. Extra drivers can be added for a small daily fee. Any undeclared driver who drives the vehicle automatically voids the insurance coverage for the rental period.
- One-way rentals are available. Picking up at KEF Airport and dropping off at another location — or vice versa — is possible but subject to a one-way fee and availability restrictions depending on vehicle category.
- Cancellation policy. Prepaid bookings cancelled more than 3 days before pick-up receive a full refund. Cancellations within 3 days of pick-up or no-shows are non-refundable. Pay-on-arrival bookings can be cancelled up to the start of the rental period.
- F-roads are not permitted for standard family vehicles. No compact car, wagon, crossover, or standard family SUV is approved for highland F-road tracks. These are unpaved, remote interior routes that require specialist high-clearance 4×4 vehicles. Damage from unpaved terrain is not covered under standard rental insurance.
Family Car Rental Iceland: Frequently Asked Questions
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What is the best rental car for a family trip to Iceland?
For most families visiting Iceland, a 4×4 family SUV is the best choice. Models like the Kia Sportage, Kia Sorento PHEV, or Toyota Land Cruiser give you five seats, generous boot space for luggage and pushchairs, and AWD traction that handles Iceland’s varied terrain confidently. If you are travelling in summer on paved roads only, a compact wagon like the Toyota Corolla Wagon or Hyundai i30 Wagon is a practical alternative.
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Does Hertz Iceland provide baby seats and child seats?
Yes. We offer rear-facing infant seats, forward-facing child seats, and booster seats as add-ons. We strongly recommend reserving your child seat at the time of booking to guarantee availability, especially during the peak summer season when demand is exceptionally high.
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What age does a child need a car seat in Iceland?
Icelandic law requires all children under 135 cm in height to use an approved child restraint system, regardless of age. This typically applies to children up to 10–12 years old. All restraints provided by Hertz Iceland meet strict EU safety standards.
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Do I need a 4×4 to drive in Iceland with my family?
While not mandatory for paved roads in summer, we strongly recommend it. For any trip between September and May, a 4×4 is essential for safety. Even in summer, a 4×4 SUV provides the necessary flexibility and peace of mind for Iceland’s rapidly changing weather and gravel sections.
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Can I take a family rental car on F-roads in Iceland?
No. F-roads are strictly off-limits for standard family vehicles, including crossovers and SUVs like the Kia Sportage. Only specialist high-clearance 4×4s are approved for the highland interior. Driving standard vehicles on these tracks voids your insurance coverage.
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Where do I pick up my family rental car at Keflavík Airport?
The Hertz Iceland Difference: Our desk is located directly inside the arrivals hall at Keflavík Airport (KEF). There is no shuttle bus and no waiting outside in the elements with children and luggage—simply walk from baggage claim straight to our counter.
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What is the minimum age to rent a family car in Iceland?
The minimum age is 20 for compact vehicles. For most family wagons and SUVs, the minimum age is 23, while select luxury models require the driver to be at least 25. All drivers must have held a valid licence for at least one year.
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How many suitcases fit in a family rental car in Iceland?
Compact wagons like the Toyota Corolla Wagon fit 3–4 large suitcases. Larger SUVs like the Toyota Land Cruiser 250 fit 4–5 large bags. Pro Tip: If you have a pushchair, we recommend booking a size up, as they take up significant boot space even when folded.
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Is Iceland a good destination for a family road trip?
Yes, it is world-class. From glaciers to waterfalls, Iceland is awe-inspiring for children. The key is choosing a reliable, newer fleet vehicle (under 2 years old) and planning shorter daily driving distances (200–300 km) to allow for frequent rest stops and exploring.
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Can I add an extra driver to my family car rental in Iceland?
Yes. Additional drivers can be added for a small daily fee. This is highly recommended for long itineraries to share driving duties. Ensure all drivers are declared on the agreement to maintain full insurance coverage.
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