Car Rental Packages


The best way to discover Iceland and its beautiful nature is on your own in a rental car. We offer a unique package which includes a rental car and accommodation at hostels all around Iceland. We handle all the details of your booking free of charge. 

Please note that the car's driver must be at least 20 years old, must have had a valid driver's license for last least one year, and have a valid credit card.


Our car rental packages include:


  • Hostel overnight bookings (advanced bookings at hostels or open vouchers). As the hostels are very busy during the summer time we recommend advanced bookings, especially for families and groups. Hostels must be booked through the central booking office to be included in a car rental package. 

  • Rental car w. unlimited kilometers (fuel not included), VAT (24%), Collision Damage Waiver (CDW) and a 2nd driver

  • Road map of Iceland

  • Information brochure about Icelandic hostels



  • 3 ISK gas discount per litre of gas at N1 gas stations


  • Audio CD guide to many places of natural and historical interest en route



Please note that reservations are made by car category only. We cannot guarantee a specific car model.


Breakfast and bed linen is not included in car rental packages unless stated otherwise.



If you are ready to start the booking process, then please fill in the form below and send to us at info@hostel.isIf you are not ready to book, but would like to get a quote for your package, please send us an email with the information below: 


  • Preferred car type
  • Number of persons
  • Number of days with car
  • Number of nights at hostels
  • Preferred room type
  • If you are travelling with children under 13 years of age 

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Comments from our guests

The booking service saved me quite a lot of time, filling up the missing dates I hadn't been able to find via the internet myself. I was very thankful for that & the staff was very helpful and friendly

- Susanne Weigelt from Germany


The fact that the HI hostel exist in Iceland made it possible for us to come as a family. First time I stayed in hostel because of the price, this time I stayed because I loved the atmosphere the efficiency and the friendliness.

 - Yanina Zaslavsky Afek from Israel



It was an easy way to book our car and accommodations for the entire trip. Very convenient to just contact one person versus several hostels and a car rental company

- Melissa Mailloux from USA

 Main Office: HI Iceland | Borgartún 6 | 105 Reykjavík | Tel 575 6700 | Fax 553 0535 | | Copyright ©