Terms and Conditions

MyCar Rental Agreement

Obligations of the renter 

  1. The renter agrees to the provisions of the lease and has received a copy of it.
  2. The renter and named drivers shall be 21 years of age and possess a valid driving licence for at least one year before the date of the rental. 
  3. The renter is responsible for the vehicle from the time of contract signing until the vehicle has been registered as returned in My Car's booking system. Only those named as drivers in the rental agreement are allowed to drive the vehicle. If the vehicle is driven by a person who is not registered in this rental agreement, all insurance becomes null and void, in which instance the Renter is fully liable for the vehicle, for damage it may sustain, damage it may cause others, items or vehicles, and obligates to pay such damage in full.
  4. The vehicle shall be driven carefully and always with road and weather conditions in mind and the driver shall at all times abide by the laws and regulations of Iceland. Any fines or penalties from the use of the vehicle will be charged to the renter's credit card provided at the beginning of the rental period.
  5. The renter is liable for any damage caused to the vehicle or from the use of the vehicle that does not fall under the terms of the insurance. Such damage will be charged to the renter's credit card provided at the beginning of the rental period.
  6. Insurance will not cover damage caused to the vehicle and/or injury to driver/ passengers due to the following: Driving where prohibited by law, i.e. off beaten tracks or marked roads, in unmarked paths or tracks, on beaches or other sandy areas, or any other trackless areas.
  • Driving in or across rivers or any kind of water course.
  • Driving in banks of snow and ice.
  • Intentional acts or gross negligence.
  • Use of intoxicants by the driver.The damage caused from the above mentioned actions will be charged to the renter's credit card provided at the beginning of the rental period. This also includes non-direct costs such as transportation costs, restoration to third party and anything else that might be connected to the above mentioned actions. 
  1. In the event of a collision and/or accident the renter is responsible for immediately contacting and notifying the Icelandic police and emergency services (Emergency phone number - 112) as well as MyCar rental +354 552 1700. The renter may not leave the scene of the collision and/or accident until the police has arrived or a formal accident report has been filled out and signed. Any damage caused which is not reported to MyCar rental within 12 hours of the event, will be the responsibility of the renter irrespective of the collision damage waivers (CDW and SCDW) that is attached to the rental agreement. 
  2. The renter may not drive the vehicle where it is prohibited by law. The renter may not drive the car in banks of snow, ice, on glaciers or frozen lakes. The renter may not drive the vehicle on mountain or highland roads and on roads marked with 'F' on formal Icelandic road maps (Unless in a 4x4 vehicle and the F road in question is formally open for traffic by the Icelandic Road Authorities). The renter will be responsible for a fine of up to 500 EUR in addition to any fines issued by the Icelandic police. Such cost will be charged to the renter's credit card provided at the beginning of the rental period.
  3. The renter may not operate the vehicle under the influence of any kind of intoxicants, including alcohol, drugs or any other substances.
  4. The renter may not smoke in the car. If there is evidence of smoking the renter shall be responsible for a cleaning fee of a minimum of 500 EUR. Such cost will be charged to the renter's credit card provided at the beginning of the rental period.
  5. The vehicle may never, under any circumstance, be taken out of Iceland.
  6. The renter is responsible for all objects transported or left in the vehicle and MyCar shall not be responsible for any theft of items that might occur. 
  7. The renter is not authorized to have any repairs done to the vehicle.
  8. The vehicle may not be loaned, subleased or be used for the transport of passengers or items against payment.
  9. The renter shall return the vehicle according to the conditions below:
  • With all attachments and extra equipment, including GPS navigation system, tires, maps, tools and anything else present in/on the vehicle at start of the rental, in the same condition except for wear and tear resulting from normal use. Should any items need replacing or repairing the renter agrees that any such cost will be charged to the renter's credit card provided at the beginning of the rental period.
  • At the time, date and location agreed upon at the beginning of the rental, unless other arrangements have been made with MyCar. If the car is not returned at the correct time or place, the renter agrees to pay any costs that might occur from reclaiming the vehicle and transporting it back to the MyCar office in Keflavik. Such cost will be charged to the renter's credit card provided at the beginning of the rental period. 
  • With a full tank of fuel. MyCar is authorized to charge the renter for any fuel that is missing according to MyCar's price list. Currently this charge is 40 EUR for each quarter of the tank that is missing, for normal passenger cars, and 50 EUR for each quarter of the tank that is missing, for 4x4 vehicles. 
  1. If the renter does not return the car at the predetermined time according to the rental agreement,MyCar reserves the right to reclaim the car by themselves or with the help of the police, at the renter's expense, along with a rent fee for every day begun after the contract expiry. Any extension to the time frame of the rental agreement is subject to the consent of MyCar. Such expenses will be charged to the renter's credit card provided at the beginning of the rental period. 

Obligations of MyCar Rental 

  1. MyCar agrees to the provisions of the lease and has received a copy of it. 
  2. MyCar will supply the vehicle at the correct time and date and in a good, clean condition and with a full tank of fuel. Should the fuel tank not be full, MyCar will point that out and make a comment in the rental agreement. 
  3. If the vehicle malfunctions for reasons not at fault of the renter,MyCar will replace the vehicle with a comparable vehicle or better, as soon as possible, unless repairs can be made quickly and without further interruptions to the renter. As MyCar will strive to resolve any such issues quickly, Any compensation for accommodation will be offered according to Icelandic Travel Law. 
  4. MyCar guarantees to have a valid liability insurance for its business operation.


  1. The lease sum/rental fee includes mandatory vehicle insurance, including collision damage waiver liability insurance and accident insurance for the driver and the owner. Current liability limit for CDW is 350.000 ISK.  
  2. Third-party liability insurance will consist of the amount stipulated by Icelandic law at any given time.
  3. Gravel protection (GP), Theft protection (TP), and Super collision damage waiver (SCDW) are all available for an extra price at MyCar rental. The current SCDW liability limit for damages is 120.000 ISK. Self-risk for broken windshield is 30.000 ISK. With Platinum Insurance (PLAT) the self-risk amount is reduced for any damage covered by CDW, SCWD, GP, TP and SAAP insurance to ZERO.
  4. This accident/all-risks insurance does not cover:

1. Intentional damage or damage due to gross negligence on the part of the driver.
2. Damage resulting from the driver being under the influence of alcohol, stimulants or sedatives, or in any other way incapable of driving the vehicle in a safe manner.
3. Damage due to race or test driving.
4. Damage due to natural forces, war, revolution, civil unrest or riots.
5. Damage done by animals.
6. Holes burned into seats, carpets or mats.
7. Damage affecting only wheels, tires, suspension, batteries, glass (other than windows), radios, or loss by theft of parts of the vehicle and damage resulting from this.
8. Damage caused by driving on rough roads to the vehicles transmission, drive, other parts that are in or attached to the chassis; damage to the chassis resulting from scraping the bottom on rough roads as a result of ridges being left by the road graders; stones lodged in the road surface or on the shoulder of the road. The same applies to damage occurring when stones are thrown up, striking the underside of the vehicle during driving.
9. Damages resulting from driving in places where vehicle traffic is banned, such as paths, tracks, banks of snow, ice, unabridged rivers or streams, beaches, places only accessible at low tide, or other trackless areas.
10. Damages caused by sand, gravel, ash, pumice, or other kinds of earth material being blown onto the vehicle.
11. If the vehicle is transported by sea, no compensation will be paid for damage caused by sea spray/seawater.
12. Damage to vehicles caused by driving on roads marked with an F in public maps as well as driving on Kjölur (Road 35) or Kaldidalur (road 550) (Unless in a 4x4 vehicle and the F road in question is formally open for traffic by the Icelandic Road Authorities).
13.Lessee loss because of the vehicle being stolen.
14. Water damage to the vehicle.
15. In other instances, reference is made to the general conditions for accident/all risks insurance.
16. Damages caused by wind blowing up the door while opening it.

  1. Sand and ash protection is available, buy purchasing SAAP the self- risk in case of damage from sand and ash is limited to 90.000 ISK. Damage to paint and plastic on the rented vehicle can happen due to sand and ash storm. They can happen anywhere in Iceland though the frequency is highest on route 1 on the south coast. The cost of repairing a car after such damage is from 420.000 ISK to 1.200.000 ISK the SCDW does not cover damage due to sand storms. 
  2. No insurance covers damage to the chassis of a vehicle or caused by driving in rivers or lakes. The own-risk fees (CDW and SCDW) do not cover such damage. The Renter is fully liable for such damage.

Payments - Reservations and Cancellations 

  1. At the time of booking the renter is required to enter a valid credit card number for reservation and validation purposes.
  2. The cancellation policy for bookings made directly with MyCar through the company’s website based on the payment method chosen upon booking. The cancellations policy is as follows:
  • PAY NOW - Free cancellation - Fully refundable: If you cancel your booking 48 hours or more before pick-up, you get a 100% refund of what you have paid. If you do not show up or cancel within 48 hours of the scheduled pick-up, the payment is non-refundable.
  • PAY AT PICKUP - 15% deposit - Non-refundable: The 15% deposit is always non-refundable. Balance payment made on the day of pick-up.
  1. A credit card imprint will be taken at the start of all rentals for security reasons, even when a voucher covers the cost of the rental. This credit card imprint may be used to pay all extra charges, including extra km, extra insurance, parking tickets, damages, tank refill or any cost due to the use of the rented vehicle.
  2. The Renter's signature to this rental agreement equal's the Renter's signature to credit-card withdrawals because of the payments that MyCar charges against the Renter's credit card and which MyCar should rightfully receive on grounds of the provisions of this rental agreement. 

General conditions

  1. The renter confirms with his or her signature to this rental agreement that he or she received the vehicle and attachments in sound condition and has pointed out any inconsistencies to a member of MyCar 
  2. This rental agreement shall always be in the vehicle while at the responsibility of the renter.
  3. Additions and amendments to the conditions and provisions of this rental agreement shall be made in writing.
  4. If the renter breaches this agreement then in no way shall MyCar become responsible for reimbursement of the rental fee, in part or full, or endure any related costs as a result of the breach. 
  5. Icelandic law applies to agreements made on the basis of terms stated above. This includes any claims for compensation that might be made. This applies both to the basis for and the calculation of compensation. The same applies to claims for damage based on liability outside this agreement. If legal disputes arise concerning the lease agreement, they will be heard before the renters legal venue. 
  6. Any disputes between the parties to the rental agreement can be submitted to the Arbitration committee of the Icelandic Consumer´s Association and the Icelandic Travel Industry Association.