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Mid-Size Car Rental in Iceland

Searching for a mid size car rental in Iceland and also seeing the term “intermediate” everywhere? They’re the same thing — intermediate rental car is simply the technical category name the rental industry uses for what most travellers call a mid-size or family car. At Hertz Iceland, this is our comfort sweet spot: a genuine step up from compact in space and legroom, without the size, cost, or footprint of a full-size SUV.

Whether you’re travelling as a couple wanting extra room, a family of four, or specifically looking for an intermediate suv car rental with a bit more capability, our mid-size range spans efficient 2WD sedans and wagons, all-weather 4×4 crossovers, and electric options — all sized to handle the Ring Road comfortably.

👨‍👩‍👧Ideal for 4 Adults or a Family of 5
🧳3–4 Large Bags Capacity
2WD, 4×4 & Electric Options
🚗Newer Fleet (Under 2.5 Years)

What Is a Mid-Size (Intermediate) Car Rental?

If you’ve been searching “what is a midsize car rental” or “what is an intermediate rental car” — the answer is the same category, just two different names for it. “Intermediate” is the standard rental-industry term; “mid-size” is what most travellers call it in everyday language. Either way, it describes a car positioned between compact and full-size: noticeably more legroom and boot space than a compact, without stepping up to the size, price, or fuel cost of a full-size SUV.

In practical terms for Iceland: choosing mid-size over compact typically gets you around 20% more legroom and an extra 150–200 litres of trunk space — the difference between bags squeezed into the back seat and a clear cabin for a 10-day Ring Road trip. Compared with a full-size SUV, mid-size cars are noticeably easier to manoeuvre and park on Reykjavík’s narrower downtown streets, and carry meaningfully lower fuel or energy costs thanks to their lighter weight.

Trunk Capacity · Mid-Size

See How Much Actually Fits

Shown: KIA Sportage or similar

KIA Sportage rear exterior Iceland rental
🚗
Exterior View
Mid-size SUV footprint
KIA Sportage empty trunk boot space Iceland rental
📦
Empty Trunk
3 Large Bags Capacity
KIA Sportage trunk with 28 inch suitcase Iceland rental
🧳
With One 28″ Suitcase
Room remaining for 2 more large bags
Large Bags 3
Seats 5
Drive 4×4

*Photos shown are representative of this vehicle class. Actual boot shape and capacity may vary slightly by “or similar” model.

Why Rent a Mid-Size Car in Iceland?

Most travellers land in this category because it solves a specific problem: compact cars feel cramped for a week-plus road trip, but a full-size SUV is more space and cost than a couple or small family actually needs. A mid size car rental gives you the room to actually enjoy long driving days — real legroom, enough boot space for 3–4 large bags — while staying easy to drive and park in both Reykjavík traffic and out on the open road.

It’s also the category with the widest internal range: efficient 2WD sedans and wagons for summer paved-road trips, 4×4 crossovers for shoulder-season confidence, and electric options for the lowest running cost per kilometre. Whatever your priority — efficiency, all-weather capability, or minimising your energy cost — there’s a mid-size option built around it.

Mid-Size Car Availability and Roads in Iceland

Availability for mid-size cars follows the same pattern as the rest of our fleet: demand climbs through spring and peaks hard in summer. If your trip falls in June, July, or August, book as early as you can — popular models in this category, particularly the 4×4 crossovers, are frequently sold out weeks before the travel date once summer season gets underway.

On road access: if any part of your summer itinerary includes F-roads, Icelandic law requires a 4×4 vehicle — no exceptions. Within our mid-size range, that means choosing from the KIA Sportage or Hyundai Tucson Plug-in Hybrid, both F-road certified. A 2WD sedan or wagon, and even our electric 4×4 models, are not legally permitted on marked Highland tracks regardless of how capable they feel on paved roads.

Mid-Size vs. Full-Size: Which Should You Choose?

In Iceland, the choice between mid-size and full-size is rarely about which car “can” handle the roads — both handle the paved network without issue. It’s really a question of budget, comfort, and how much luggage you’re carrying. Here’s a fast way to decide.

Mid-Size (Intermediate)

Pros
  • Lower daily rental cost than full-size
  • Better fuel efficiency, reducing total trip cost
  • Easier to drive and park in Reykjavík and tighter areas
Cons
  • Less luggage space — four people with large suitcases can feel cramped
  • Less legroom on long multi-day drives
  • Not ideal for bulky gear, camera equipment, or oversized bags
Best for: solo travellers, couples, or up to 4 people with light luggage, mainly on paved routes like the Golden Circle and South Coast.

Full-Size SUV

Pros
  • More legroom and luggage space for longer itineraries
  • More comfortable for families or groups over several days
  • Smoother, more stable ride when fully loaded
Cons
  • Higher daily rate and higher fuel consumption
  • Slightly less convenient in narrow city streets and parking
  • Extra size may be unnecessary if travelling light on main roads
Best for: groups of 4–5 with real luggage, longer road trips, or anyone prioritising comfort over cost — and generally the safer base for winter or Highland-adjacent travel.
The Simple Rule Asking “can we save money without making the ride miserable?” → choose mid-size. Asking “will this still feel comfortable after several long driving days?” → choose full-size.

Charging & Fuelling Made Easy With Your Hertz Mid-Size Rental

Because our mid-size range spans petrol, plug-in hybrid, and fully electric models, how you fuel or charge your rental depends on which vehicle you choose — not on the mid-size category itself. Here’s what to expect for each.

⛽ Fast Fact: The Network by the Numbers
Iceland is served by four main fuel providers — N1, Orkan, ÓB/Olís, and Atlantsolía — with N1 running the largest network nationwide, alongside over 450 public fast-charging ports for EVs and PHEVs. Stations of both kinds are spaced closely enough along the Ring Road that you’re rarely far from a top-up.

Petrol models (Toyota Corolla Sedan & Wagon, Mazda CX-30, Skoda Octavia, KIA Sportage) refuel exactly like any conventional car — self-service pumps found in every town and along all main routes, accepting international cards directly at the pump.

Plug-in hybrid models (Renault Captur PHEV, Hyundai Tucson PHEV) give you the flexibility of both worlds: charge via Type 2 cable at public charging points or your accommodation overnight for electric-only driving through towns, then rely on the petrol engine for open-highway stretches — no range anxiety, no compromise.

Fully electric models (Tesla Model Y, VW ID.4) charge at any of Iceland’s public fast-charging points via the N1, ON Power, or Ísorka apps, with overnight charging available at most hotels along the Ring Road corridor. Download your preferred app and link a payment card before your trip for the smoothest experience.

Money-saving tip: every Hertz Iceland rental — including every mid-size model — comes with an ÓB/Olís discount keychain on the key. Scan it at the pump sensor at any ÓB or Olís station for a small saving on every petrol or diesel refill. For full details on pricing, station locations, and charging networks, see our complete guide to gas stations and fuel prices in Iceland.

Buy Food And Drink In Some Big Iceland Gas Stations
N1 gas station in Iceland
Orkan Gas station in Iceland
Orkan Gas station in Iceland

Why Choose Hertz Mid-Size Rental

  • Widest range in this category

    Sedans, wagons, 4×4 crossovers, and electric — all sized mid-size, so you pick the drivetrain that fits your trip.

  • Prime location inside KEF Airport

    Collect your mid-size rental directly inside the Keflavík Airport arrivals hall — no shuttle buses, no waiting outside.

  • Transparent pricing

    No hidden surprises. The 2026 kilometre tax and every included item are disclosed upfront before you book.

  • Newer, reliable fleet

    Our mid-size fleet is kept under 2.5 years old, so you drive a modern, well-maintained car regardless of which model you choose.

  • Iceland expertise since 1971

    Locally operated, with a team that knows exactly which mid-size option fits your season and route.

  • 24/7 nationwide assistance

    Breakdown assistance and emergency support available around the clock, anywhere on the island.

Tips on Renting a Mid-Size Car in Iceland

  • Keep your group to 4 adults for comfort. Mid-size cars are rated for 5, but a week-long trip with 5 adults and full luggage gets tight — for 5 people, our full-size SUV category is the better fit.
  • Match drivetrain to season. 2WD sedans and wagons are ideal for summer paved-road trips; choose a 4×4 crossover for shoulder-season travel, gravel roads, or F-roads.
  • Consider electric for long Ring Road circuits. With the 2026 kilometre tax applying to every vehicle, the lower energy cost of the Tesla Model Y or VW ID.4 adds up over a multi-day trip.
  • Check F-road status by model, not by category. The KIA Sportage and Hyundai Tucson PHEV are F-road certified. Our electric 4×4s — the Tesla Model Y and VW ID.4 — are not, despite their 4×4 drivetrains.
  • Wagons offer meaningfully more boot space than sedans. If luggage is tight, the Corolla Wagon or Skoda Octavia carry noticeably more than their sedan equivalents.

Types Of Mid-Size Cars: Choosing Your Rental

Mid-size splits into three practical groups. Here’s how to choose based on your season and route.

  • Sedans & Wagons (2WD)

    Summer Comfort & Efficiency

    Easiest to drive, lowest running cost

    Fuel-efficient sedans and wagons built for the paved Ring Road and Golden Circle in summer — smooth, quiet, and the easiest of the three groups to park in Reykjavík.

    Best for: Couples or small families, May–September paved-road trips.
  • 4×4 Crossovers

    Year-Round & Shoulder Season

    All-weather traction without full-size cost

    Mid-size 4×4s add real traction for gravel roads and shoulder-season driving — a meaningful upgrade in confidence over 2WD without the price or size of a full-size SUV.

    Best for: Shoulder-season travel (Sept–May), gravel routes, higher driving position.
  • Electric 4×4

    Lowest Running Cost

    Cheap Icelandic electricity, instant torque

    Iceland’s electricity is cheap and 100% renewable — for long-distance travellers minimising total trip cost under the 2026 kilometre tax, electric is the clear winner on running cost.

    Best for: Eco-conscious travellers, long Ring Road circuits, lowest per-km cost.

The Real Cost: 2026 Road Usage Charge

As of January 1, 2026, the Icelandic government replaced older fuel taxes with a kilometre-based Road Usage Charge, applying to every vehicle — including all mid-size rentals.

Important: New Iceland Road Tax (2026)

As of January 1, 2026, the Icelandic government requires a mandatory Kilometer Tax on this vehicle type. This replaces traditional fuel taxes with a usage-based fee.

Transparent Pay-Per-Km Pricing

  • Government Road Tax: 6.95 ISK / km
  • Hertz Service Fee: 1.40 ISK / km (+ VAT)

*Approx. 0.056 USD/km (Gov) + 0.011 USD/km (Service). Charged based on actual distance driven at the end of your rental.

Questions? For inquiries regarding the Icelandic Road Tax or billing specifics, please contact our dedicated support team at: roadtax@hertz.is

Quick Comparison: Which Mid-Size Car Suits You?

CategoryTypical ModelLuggageBest SeasonWhy Choose This?
Compact VW Golf 2–3 Bags Year-round Best for 1–2 people wanting the smallest footprint.
Mid-Size (Intermediate) Toyota Corolla / Tesla Model Y 3–4 Bags Year-round The Ring Road “sweet spot” — real comfort without full-size cost.
Full-Size SUV Toyota Land Cruiser 5 Bags Year-round, Highlands Large families and any Highland/F-road itinerary.

Top Road Trip Ideas for Your Mid-Size Rental

The Golden Circle

ReykjavíkÞingvellirGeysirGullfossReykjavík

A compact loop that’s ideal for a 2WD sedan or wagon — smooth, easy driving to Þingvellir National Park, the Geysir hot spring, and Gullfoss waterfall, all comfortably covered in a single day.

Best Time: Year-round; a half-day is enough for the core stops.

The Ring Road

ReykjavíkVíkHöfnEgilsstaðirAkureyriReykjavík

At 1,332 km, this is where a mid-size 4×4 crossover earns its keep — enough boot space for a multi-day trip, with the added traction of the KIA Sportage or Hyundai Tucson PHEV on gravel stretches and shoulder-season conditions.

Best Time: Year-round with winter tyres; June–August for the easiest conditions.

Snæfellsnes Peninsula

ReykjavíkBorgarnesSnæfellsjökullReykjavík

Often called “Iceland in miniature,” this compact peninsula loop mixes paved roads with the occasional gravel stretch — a great match for the Skoda Octavia, comfortable and capable enough for the mix.

Best Time: Year-round; 2–3 days at a relaxed pace.

Mid-Size Rental Requirements in Iceland

  • CDW and TPL insurance are included as standard on every mid-size rental.
  • No mid-size vehicle, including the electric 4×4 models, is permitted on F-roads. A dedicated 4×4 rental is required for Highland driving.
  • Winter tyres are fitted automatically from November through April at no extra cost.
  • Valid driver’s licence held for a minimum of 1 year is required for all models.
  • For groups of 5 adults with full luggage, we recommend our full-size SUV category instead for comfort on multi-day trips.

Pick Up Locations for Your Mid-Size Car

For the fastest start to your trip, pick up directly at Keflavík International Airport — our counter is inside the Arrivals Hall, so you can collect your mid-size rental immediately after landing with no shuttle wait. If you’re spending time in Reykjavík first, our downtown office is the more convenient option before your day trips begin.

Our Iceland Rental Locations

Keflavík International Airport (KEF)

The most convenient pick-up point for international arrivals.

Summer (1 May – 30 Nov): 24/7
Winter (1 Dec – 30 Apr): Mon-Sun: 05:30–02:00

Reykjavík Downtown

📍 Flugvallarvegi 5
Mon–Fri: 08:00–17:00 | Weekends: 08:00–15:00
Self-service pick-up outside staffed hours

Reykjavík Domestic Airport (RKV)

Mon–Fri: 08:00–17:00
Weekends: 09:00–15:00

Keflavik Downtown

Mon–Fri: 08:00–16:00

Akureyri Airport (AEY)

Mon–Fri: 08:00–16:00
Key box pick-up during terminal hours

Egilsstaðir Airport (EGS)

Mon–Fri: 08:00–16:00
Key box pick-up available

Ísafjörður Airport (IFJ)

Mon–Fri: 08:00–16:00
Key box pick-up available

Höfn Airport (HFN)

Please contact the Hertz Iceland Service Centre for current operating hours.

Hafnarfjörður Selhella (HQ)

Mon–Fri: 08:00–17:00
Weekends: CLOSED

Bíldudalur Airport (BIU)

Operates only upon receipt of confirmed bookings. Must book in advance.
Contact to confirm:

Skagaströnd Support Station

Operates only upon receipt of confirmed bookings. Must book in advance.
Contact to confirm:

Mid-Size Car Rental Iceland: Frequently Asked Questions

  • What is a midsize car rental?

    A mid-size (or “intermediate”) car rental sits between compact and full-size — more legroom and boot space than compact, without the size or cost of a full-size SUV. Typically fits 4 adults comfortably with 3–4 large bags.

  • What is an intermediate rental car?

    “Intermediate” and “mid-size” describe the exact same category — intermediate is simply the technical term rental companies use, while mid-size is the everyday name.

  • Can an intermediate car fit 5 adults?

    Yes, but we recommend a maximum of 4. These cars are rated for 5 passengers, but carrying 5 adults plus luggage for a week-long trip can be tight. For 5 adults with full luggage, our full-size SUV category is a better fit.

  • Is a mid-size car safe for winter driving in Iceland?

    Yes, especially our 4×4 crossover models. All Hertz Iceland rentals include seasonal winter tyres from November to April. For winter Ring Road trips, a mid-size 4×4 like the KIA Sportage or Tesla Model Y offers better traction than a 2WD sedan.

  • Are Teslas or electric mid-size cars allowed on F-roads?

    No. Despite having 4×4 drivetrains, the Tesla Model Y and VW ID.4 are not permitted on Highland F-roads due to battery ground clearance. For Highland driving, choose a dedicated 4×4 SUV instead.

  • What’s the difference between an intermediate SUV and a full-size SUV?

    Our intermediate (mid-size) SUVs and crossovers are more compact, easier to park, and lower cost than full-size SUVs, but carry less luggage and are not F-road certified — full-size SUVs

Our Intermediate Cars at a Glance

2025 Corolla Sedan car rental Iceland

Toyota Corolla Sedan or similar | Automatic | 2WD

IDAR | Group: N (IDAR)

  • 5 Seats
  • Automatic
  • Airconditioning
  • 4 Doors
  • Petrol or Diesel
  • 20+ only
  • 3 Large Luggage

This vehicle is NOT allowed in the highlands F-roads. You must be 20 years of age to drive this vehicle.

Additional Features

  • 152 C02 g/km
  • Adjustable Steering
  • Cruise Control
  • Electronic Stability Control
  • ABS
  • USB
  • Power Steering
  • Power Windows
  • Remote Locking
  • Airbags
Toyota Corolla Wagon rental in Iceland

Toyota Corolla Wagon or similar | Automatic | 2WD

IWAR | Group: R (IWAR)

  • 5 Seats
  • Automatic
  • Airconditioning
  • 5 Doors
  • Petrol or Diesel
  • 20+ only
  • 4 Large Luggage

This vehicle is NOT allowed in the highlands F-roads. You must be 20 years of age to drive this vehicle.

Additional Features

  • 154 C02 g/km
  • Adjustable Steering
  • Cruise Control
  • Electronic Stability Control
  • ABS
  • USB
  • Power Steering
  • Power Windows
  • Remote Locking
  • Airbags
Skoda Octavia rental car in Iceland

Skoda Octavia Wagon or similar | Automatic | 4×4

IWAN | Group: P (IWAN)

  • 5 Seats
  • Automatic
  • Airconditioning
  • 5 Doors
  • Petrol or Diesel
  • 20+ only
  • 4 Large Luggage

This vehicle is NOT allowed in the highlands F-roads. But It is permitted on roads no.35 and 550.

Additional Features

  • 4 Wheel Drive
  • 153 C02 g/km
  • Adjustable Steering
  • Cruise Control
  • Electronic Stability Control
  • ABS
  • Bluetooth
  • USB
  • Power Steering
  • Power Windows
  • Remote Locking
  • Airbags
KIA Sportage or similar| automatic | 4x4

KIA Sportage or similar| Manual | 4×4

IFMN | Group: F (IFMN)

  • 5 Seats
  • Manual
  • Airconditioning
  • 5 Doors
  • Petrol or Diesel
  • 23+ only
  • 3 Large Luggage

Suitable for the highlands. Please read Terms & Conditions. You must be 23 years of age to drive this vehicle.

Additional Features

  • 4 Wheel Drive
  • 150 C02 g/km
  • Adjustable Steering
  • Cruise Control
  • Electronic Stability Control
  • ABS
  • Bluetooth
  • USB
  • Power Steering
  • Power Windows
  • Remote Locking
  • Airbags
KIA Sportage or similar| automatic | 4x4

KIA Sportage or similar | Automatic | 4×4

IFAR | Group: O (IFAR)

  • 5 Seats
  • Automatic
  • Airconditioning
  • 5 Doors
  • Petrol or Diesel
  • 23+ only
  • 3 Large Luggage

Suitable for the highlands. Please read Terms & Conditions. You must be 23 years of age to drive this vehicle.

Additional Features

  • 4 Wheel Drive
  • 156 C02 g/km
  • Adjustable Steering
  • Cruise Control
  • Electronic Stability Control
  • ABS
  • Bluetooth
  • USB
  • Power Steering
  • Power Windows
  • Remote Locking
  • Airbags
rent a tesla model Y in Iceland

Tesla Model Y or similar | Automatic | 4×4

UGDC | Group: V1 (UGDC)

  • 5 Seats
  • Automatic
  • Airconditioning
  • 5 Doors
  • Electric
  • 23+ only
  • 4 Large Luggage

This vehicle is NOT allowed in the highlands F-roads. You must be 23 years of age to drive this vehicle.

Additional Features

  • 4 Wheel Drive
  • Adjustable Steering
  • Cruise Control
  • Traction Control
  • ABS
  • Bluetooth
  • USB
  • Power Steering
  • Power Windows
  • Remote Locking
Rent a Mazda CX 30 in Iceland

Mazda CX-30 or similar | Automatic | 2WD

JGAR | Group: C6 (JGAR)

  • 5 Seats
  • Automatic
  • Airconditioning
  • 5 Doors
  • Petrol or Diesel
  • 20+ only
  • 3 Large Luggage

This vehicle is NOT allowed in the highlands F-roads. You must be 20 years of age to drive this vehicle.

Additional Features

  • 144 C02 g/km
  • Adjustable Steering
  • Cruise Control
  • Electronic Stability Control
  • ABS
  • Bluetooth
  • USB
  • Power Steering
  • Power Windows
  • Remote Locking
Rent a cheap SUV Renault Captur in Iceland

Renault Captur Plug-in Hybrid or similar | Automatic | 2WD

CGAI | Group:P6 (CGAI)

  • 5 Seats
  • Automatic
  • Airconditioning
  • 5 Doors
  • Hybrid
  • 20+ only
  • 3 Large Luggage

This vehicle is NOT allowed in the highlands F-roads. You must be 20 years of age to drive this vehicle.

Additional Features

  • 38 C02 g/km
  • Adjustable Steering
  • Traction Control
  • ABS
  • Bluetooth
  • Power Steering
  • Power Windows
  • Remote Locking
  • Airbags
rent a hyundai Tucson in Iceland

Hyundai Tucson Plug-in Hybrid or similar | Automatic | 4×4

IFAI | Group: N3 (IFAI)

  • 5 Seats
  • Automatic
  • Airconditioning
  • 5 Doors
  • Hybrid
  • 23+ only
  • 3 Large Luggage

Suitable for the highlands. Please read Terms & Conditions. You must be 23 years of age to drive this vehicle.

Additional Features

  • 4 Wheel Drive
  • 46 C02 g/km
  • Adjustable Steering
  • Cruise Control
  • Electronic Stability Control
  • ABS
  • Bluetooth
  • USB
  • Power Steering
  • Power Windows
  • Remote Locking
  • Airbags
new 4x4 electric car iceland car rental

VW ID.4 EV AWD Electric or similar | Long Range | Automatic | 4×4

JGDC | Group: N1 (JGDC)

  • 5 Seats
  • Automatic
  • Airconditioning
  • 5 Doors
  • Electric
  • 20+ only
  • 1 Small Bag
  • 2 Large Bags

This vehicle is NOT allowed in the highlands F-roads. You must be 20 years of age to drive this vehicle.

Additional Features

  • 2 Large Luggage, 1 Small luggage
  • All Wheel Drive
  • Adjustable Steering
  • Cruise Control
  • Electronic Stability Control
  • ABS
  • USB
  • Power Steering
  • Power Windows
  • Remote Locking
  • Airbags
  • Fog Lamps