Which licenses are valid in Iceland, minimum age requirements for rentals, and key traffic rules tourists must know before driving.
Yes — Iceland recognises driving licenses from most countries in the world, and in most cases, tourists can drive in Iceland using their existing license from home. However, the specific rules depend on where your license was issued and whether you need any additional documentation. This guide explains exactly what is required.
If you hold a driving license issued by any EU or EEA member state (including all 27 EU countries plus Norway, Iceland itself, and Liechtenstein), your license is fully valid for driving in Iceland with no additional documentation. EU licenses meet the same standards as Icelandic licenses and are recognised directly under EU law.
UK licenses issued by the DVLA are fully valid for driving in Iceland. Following Brexit, a separate reciprocal recognition arrangement applies, but in practice UK license holders face no additional requirements for short-term visits. An International Driving Permit is not required.
Licenses from the United States, Canada, Australia, and New Zealand are accepted by Icelandic car rental companies and recognised under Icelandic law for tourists driving in Iceland. There is no legal requirement for an International Driving Permit for short-term visitors from these countries.
However, an International Driving Permit (IDP) is worth carrying if:
An IDP is not a standalone document — it must always be carried alongside the original license. They are cheap and quick to obtain from your national automobile association (AAA in the US, CAA in Canada, AA/RAC in the UK).
Iceland accepts driving licenses from most countries globally for short-term tourist driving, including Japan, South Korea, Brazil, South Africa, and most other nations. However, if your license is not in Roman script, an International Driving Permit is strongly recommended.
Some rental companies have their own policies that are stricter than the legal minimum — always check with your specific rental operator before booking if you have any doubts about your license.
Iceland uses the standard European license category system. A standard car license (Category B) covers all passenger vehicles including large SUVs up to 3,500 kg — which covers virtually all rental vehicles. If you plan to rent a motorhome or large campervan over 3,500 kg, you may need a Category C license.
Tourists driving in Iceland do not need to convert their license — their foreign license is valid for the duration of a tourist visit. Conversion is only relevant for residents who intend to remain in Iceland long-term. Residents from EU/EEA countries can convert their license at Samgöngustofa. Residents from outside the EU/EEA must pass an Icelandic driving theory test and practical test, regardless of their driving experience.
Regardless of which country your license is from, Icelandic traffic rules apply. The most important rules that surprise visitors:
Most visitors to Iceland can drive legally using their existing home country license with no additional documentation. For licenses not in Roman script, carry an IDP alongside your license. Confirm age and experience requirements with your rental company before booking. Once on the road, Iceland's traffic rules are clearly signposted and broadly similar to European standards — with a few important local specifics like the constant headlights rule and the single-lane bridge conventions worth memorising before you set off.
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