Terms And Conditions


"Lessor" means the owner or whoever lists a car on CarRenters

"Lessee" means the party that rents a vehicle through CarRenters

"Rental period" means the time when the lessee is fully responsible for the vehicle according to the Car Rental Agreement.

"SCDW" Super Coalition Damage Weaver, reduces lessees self-risk

1. General terms

1.1) In case of a collision or other damages to the vehicle during the rental period CarRenters are permitted, upon request of the car owner, to charge a fee equivalent of the lessees self-risk directly after the incident. CarRenters will hold the amount until disputes are resolved regarding responsibilities of the coalition or damages.

1.2) By registering with CarRenters and/or using our website, you agree to be legally bound by the Terms and Conditions set out below.

1.3) By signing the Car Rental Agreement, lessee and lessor also agree to be legally bound by our Terms and Conditions. If the Car Rental Agreement appears to contradict these Terms and Conditions, the Car Rental Agreement takes precedence.

1.4) A person who lists a car on CarRenters must not reveal contact information before a booking has been made. If the owner is a car rental company, the name of the car rental company cannot appear on the listing nor be communicated in messages until after a booking is made.

1.5) All payments will be conducted in Icelandic Kronas (ISK).

1.6) If for any reason the parties need to evaluate damages of the vehicle they agree to consult with a verified auto repair shop for evaluation of insurance claims.

1.7) Messages between parties at carrenters.is should not be considered private message in any legal understanding. They can be interpreted as a part of an agreement between parties. Employees of carrenters.is do have access to these messages and are entitled to look through them at any time. This can be done when handling disputes between parties and/or investigation do to suspicion of any misconduct such as breaking any of these terms.

2. Driving license

2.1) Lessee needs to have a valid driving license according to Icelandic law. Visitors, who don't have an EU/EEA driving license or a driving license written in the Roman alphabet, need to have an international driving license issued or a notarized english translation of theirs.

3. Method of payment, refunds & cancellation policy

3.1) Full payment for the rental of vehicles takes place when a rental request has been approved online by the owner of the vehicle.

3.2) If the lessee cancels a booking, 78% of the total fee/price can be refunded if cancellation is done 5 days (120 hours) before the rental period begins. CarRenters will always withhold its 22% commission. Bookings cancelled with less than 5 days have a no refund cancelation policy.

3.3) If the lessor fails to deliver the vehicle according to a booking he has accepted at some point, because of cancellation or whatever reason the lessee must be repaid upon request. CarRenters reserves the right to charge the lessor for an amount equivalent of 22% of the rental fee and all additional fees, such as transaction fees.

3.4) If a total or partial vehicle breakdown occurs, resulting in a non-functioning vehicle, the lessee must be repaid upon request for the days left of the rental period, counting from the day after the breakdown.

3.5) CarRenters pays car owners after the rental period. CarRenters has two paydays unless that day fall on a weekend or holiday than the next working day becomes the payday:

a) Every 1st of the month payments are made to car owners for rentals that took place between 15th of the previous month and the 31st of the previous month

b) Every 15th of the month payments are made to car owners for rentals that took place between 1st of the current month and the 14th of the current month

3.6) When a booking is made, a credit card imprint will be taken for security reasons. This credit card imprint will only be accessible and stored through our Credit Card Service Company and will only be used for security reasons or to pay any extra charges, according to article 3.6. Note that according to the Car Returning Document the car owner is also permitted to charge the extra cost upon return of the vehicle if parties agree on the amount.

3.7) The lessee agrees to pay all extra charges, parking tickets, damages, tank refills or any other costs accrued during the rental period unless otherwise stated in this document or the Car Rental Agreement.

4. Lessee's obligations

4.1) The lessee agrees to return all accessories of the vehicle in the same condition as they were in at the beginning of the rental period, except for normal wear and tear from normal use. If something is missing in the end of the rental period the lessee agrees to pay cost (market) price of individual items.

4.2) Generally, there are no prescribed limits on the distance the lessee may drive the rented vehicle each day.

4.3) The lessee is liable for all additional charges, such as parking meter charges and other fines for breaking traffic laws, for the duration of the leasing period.

4.4) The lessee is not authorized to use the vehicle to transport passengers for payment, lend it to others, or sublease it.

4.5) The lessee agrees to return the vehicle at the agreed date and time, according to their lease, unless they have agreed otherwise with the lessor.

4.6) If the lessee does not return the vehicle at the time specified in the lease and does not arrange to extend the rental period, the lessor may try to repossess the vehicle or declare it missing to the police at the lessee's cost.

4.7) If the lessee returns the vehicle late, the following will apply:

a) If the lessee is 1/3 hour – 1 hours late, the lessee agrees to be charged an amount which is equivalent a half-day rental.

b) If the lessee is 1–6 hours late, the lessee agrees to be charged an amount which is equivalent a one day.

c) If the lessee is 6-12 hours late, the lessee agrees to be charged an amount which is equivalent two day's rental.

d) If the lessee is 12-24 hours late, the lessee agrees to be charged an amount which is equivalent to three day's rental.

e) For every additional day thereafter (whole or part), the lessor may charge the lessee double the original list price per day.

4.8) The lessee shall return the vehicle to the pick up location or to another predefined place agreed between the parties. If the vehicle is returned to another location, the lessee agrees to be charged for any costs incurred by the lessor while collecting the vehicle.

4.9) The lessee agrees to return the vehicle with a full fuel tank. If the vehicle is not returned with a full fuel tank, the lessor is authorized to charge the lessee for refueling the vehicle. However, this only applies if the fuel tank was full when delivered to the lessee. Otherwise, the vehicle should be returned with same amount of fuel as when the rental period began.

4.10) The lessee is responsible for all damage which violates these Terms and Conditions, the Car Rental Agreement, the car owner's insurance policy or national law. Whether there is damage to humans, animals, private properties or vehicle, including but not limited to loss caused by;

a) Off-road driving, for example on beaches or on paths and tracks. Driving on roads F-210 and F-249. F-210 and F-249 are marked roads only suitable specialized vehicles. Under no circumstances is it approved to drive on cars rented from carrenters.is on those.

b) Damage due to negligence or gross negligence.

c) Use of the vehicle that violates the Car Rental Agreement, these Terms and Conditions or national law.

4.11) The lessee agrees to drive the vehicle carefully.

4.12) The rented vehicle shall not be used to push, propel or tow another vehicle, trailer or any other thing without the written permission from the lessor.

4.13) The lessee must report any collisions to the lessor (and to the police, if necessary). Moreover the lessee must write a damage report. The lessee will be held responsible for any damage not reported in this way.

4.14) If the lessor must collect the rental vehicle due to a collision or another form of damage that the lessee agrees to be charged for the transport costs.

4.15) The lessee agrees to pay the lessor, upon request, any and all expenses incurred by the lessee. If the vehicle has been left somewhere without supervision, or without regard to the condition of the vehicle, the roads or the weather.

4.16) In case of any additional costs being charged to the lessee, such as costs due to damages to the car, parking fine, gas refill or speeding ticket. CarRenters charges additional 2.000 ISK service charge and 3% transaction fee to the lessee on top of the actual cost.

5. Obligations of the lessor

5.1) The lessor commits to deliver the vehicle according to the agreement.

5.2) If a total or partial vehicle breakdown occurs during the rental period, the lessor shall try to provide the lessee with a comparable vehicle. If the breakdown is minor, the lessor may arrange for the vehicle to be repaired at a workshop/garage, for which the lessor must pay. If the lessor choses not to repair the car within a day, the lessee can leave the car where it is. The lessor is not responsible or obligated to provide the lessee with another vehicle if, for whatever reason, the lessee can't use the vehicle during the term of the rental period. Refunds/repayment should be according to article 3.4.

5.3) The lessor shall inform the lessee about the rules that apply to off-road driving, as well as on which roads the lessee may drive the vehicle.

5.4) The lessor is not responsible for any property that the lessee or any other party leaves in, or transports with, the vehicle.

6. Mandatory Insurance

6.1) The lessor commits to have mandatory vehicle insurance and accidental insurance for the drivers of the vehicle, which is included in the rental price.

6.2) The lessee is liable for damages to the vehicle and other items that might be included in the rental for an amount up to 330.000 ISK, which will be charged to the lessee's credit card if such damages occur. Including items may include tents, caravans and shall be detailed on the car rental agreement.

6.3) If the vehicle is damaged by driving or acts that are in violation of these Terms and Conditions, the Car Rental Agreement, the car owner's insurance policy or national law, the self-risk is repealed and unlimited even if a SCDW has been bought. Unlimited self risk also applies to damages caused by any of the instances mentioned in article 7.3 a)-n)

6.4) No insurance covers damage to tires and under body, as well as all damages due to water. All related costs due to such damages are charged to the lessee.


7.1) The lessee can purchase separate accident (SCDW) Super Cost Damage Waiver. This policy will specify the amount deductible in each instance of loss. The SCDW includes limitation on the self risk of due to gravel, sand and ash damages.

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

7.3) This Super Collision Damage Waiver - SCDW does not cover:

a) Intentional damage or damage due to gross negligence on the part of the driver.

b) 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 safe manner.

c) Damage due to race or test driving.

d) Damage due to war, revolution, civil unrest, or riots.

e) Damage done by animals.

f) Holes burned into seats, carpets, or mats.

g) 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.

h) 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.

i) Damages resulting from driving in places where vehicle traffic is banned, such as paths, tracks, banks of snow, ice, un bridged rivers or streams, beaches, places only accessible at low tide, or other trackless areas.

j) Cost of fetching or towing the vehicle to the return location in the event of a collision or accident.

k) If the vehicle is transported by sea, no compensation will be paid for damage caused by sea spray/seawater.

l) Damage to vehicles caused by off road driving and driving on roads marked with an F in public maps as well as driving on Kjölur (Road 35) or Kaldidalur (road 550). (This does not extend to 4wd and all wheel drive cars accepted by owner to be driven on F-marked roads and displayed as allowed to be driven on F-roads on Car detail page at CarRenters.is).

m) Lessors loss because of the vehicle being stolen.

n) Water damage to the vehicle.

In other instances, reference is made to the owners general provisions for accident/all-risks insurance.

8. Taxes

8.1) If you are renting out your car with us, you are responsible both for determining whether any VAT is chargeable and for collecting that VAT. This means in general that you should include any VAT in the price you list with us for use of your car. We are only responsible for any VAT payable on the 22% commission we charge. We do not pay any taxes on behalf of the users of our service. Users are solely liable for any taxes resulting from use of our services or site. Whether you are a business entity or an individual, you agree that you are solely responsible to determine what taxes, if any, apply to you and to pay such taxes. We recommend that you seek advice from a tax professional.

9. Disclaimer

9.1) We are solely an intermediary between the parties (lessor and lessee). We will do everything we can to make sure that contracts are honored. However, we cannot be held responsible for anything concerning contracts between a lessor and a lessee. We will try to assist in collecting all payments (e.g. costs incurred by damage to a vehicle), but we cannot be held responsible if problems with payments occur.

The terms and conditions where updated 17th of November 2016. Bookings made prior to that might be subjected to different terms and conditions.