A thorough guide to Insurance Options in Iceland
Insurance options are often confusing, and the extra effort to understand your deductibles and insurance limitations is a bother. In the Icelandic market, there is an additional “fine print” in all (that we know of) rental contracts due to the harsh environment in which the vehicles operate (Iceland). Insurance companies have steadily added exceptions to the insurance contracts they offer the rental companies, which the rental companies have, in turn, added to your rental agreement as an insurance exception. To compensate, the rental companies sell additional insurance to customers to plug these gaps in the insurance company’s terms.
But that’s where we are tired of the status quo. The extra insurance, in most cases, (all that we know of) only affect the deductibles, and add a few items from the list of limitations as separate purchases. You have probably seen some of them- SAAP or SAAI (Sand and Ash Insurance) is a good example. It makes sense, in a way, but we don’t like it much. With such an approach, you are liable for a myriad of common damages that occur on Icelandic roads. Insurance in a rental environment has to be simpler than the average personal insurance “fine print.”
Included in the CDW Insurance
Things aren’t all bad; The CDW insurance does cover quite a few things well. For example, bodily injuries and third-party coverage are almost absolute—no hospital bills and no compensating damages that are done to other vehicles or property. And the terms do cover quite a few other things.
Included Vehicle Insurance
We purchase CDW insurance that covers damages to the camper van. We extend this insurance and the terms it adheres to, to you, for free.
Caps your self-risk/excess for damages done to your rental vehicle:
150.000 ISK Self-Risk/Excess
The insurance is extensive and provides you with decent coverage. We also throw in a Sand and Ash Insurance, and Theft Insurance, with 0 ISK Self-Risk, for free.
Below you’ll find a short summary of what’s included in your Insurance, and further down you’ll find what is not covered.
Included Mandatory Insurance
In Iceland, there is mandatory insurance that any owner must purchase in order to make a vehicle street legal. All passengers, and the driver, are insured to the degree listed below.
PAI – Personal Accident Insurance
Insurance provider: TM Insurance
Insures bodily harm if you or other passengers in the vehicle are injured.
0 ISK Self-Risk/Excess
TPL – Third-Party Liability
Insurance provider: TM Insurance
Full list of Terms 220*
Insures damages caused to another person’s property, vehicle, or person.
0 ISK Self-Risk/Excess
The Limitations to the standard CDW
Here we try and list out all the items you usually find excluded from coverage on the standard Icelandic rental agreement/insurance contract. When we say limitations, we mean that the insurance does not cover these damages at all; so there is no longer a 150.000 ISK ceiling on what you may have to pay. Many of these limitations no longer apply to you if you purchase any of our insurance options, or we offer a maximum deductible for these kinds of damages. We want to highlight the fact that these limitations are in no way bound only to our rental. You will be hard-pressed to find a car or camper rental in Iceland that doesn’t have these items listed, as limitations, on the backside of your rental agreement. We have not found one yet.
CampEasy Insurance Options
Finally, here we have the options you can purchase with CampEasy. The most challenging aspect of offering such comprehensive insurance packages is that we invite recklessness or even disregard. If you choose any of these insurance options, please treat our campers with care, even though you aren’t liable for much of the potential damages.
Options to reduce your CDW Deductible/Self-Risk and to reduce the risk from the CDW insurance exceptions.
0 ISK p. day
SCDW, Sand and Theft.
(2WD) 1.490 ISK p. day
(4WD) 1.990 ISK p. day
Reduces CDW self-risk and mitigates a lot of insurance limitations.
(2WD) 3.190 ISK p. day
(4WD) 3.990 ISK p. day
Find better on the market, we dare you.
1 These are standard Insurance Limitations in Iceland. CampEasy Terms apply unless specifically mentioned.
² Only applies to 4×4 vehicles. No other campers can legally cross rivers.
Limitations listed in the “CampEasy CDW Insurance Additions” are in every rental contract at car and camper rentals in Iceland or very similar ones. We prefer to list them out (and provide insurance options), rather than have them all in the fine print.
Book with confidence
0 ISK p. day
Cancellation Insurance is included with all rentals.
More than 24-hours to rental start: Full Refund.
Less than 24-hours to rental start: 30% Retained.
1.500 ISK p. day
If you get stuck, blow out a tire, drain the batteries, get lost, or need any assistance outside the service/rental agreement, this insurance covers the entire cost to come assist you.
Book with Confidence
0 ISK p. day*
Refunds on remaining days for early returns. If you are too late to cancel we fully refund. If a family member becomes ill with COVID-19, and you are too late to cancel, we fully refund.
*Void if you choose the discounted “non-refundable” option at checkout.
Look up what kind of insurance you already have, such as Travel Insurance, Credit Card Insurance, etc. It’s a good idea to do that beforehand.
Getting Premium insurance is a good minimum, primarily as it protects against Gravel Damage, which is the most “uncontrollable” factor when traveling around Iceland. Comparatively, damages on Icelandic roads are common.
Sheep! They are everywhere. Watch out.
Black Ice – Invisible ice sheet on roads during the winter months.
Highway: 90 kph
Tunnels: 70 kph
Gravel roads: 60 kph – Slow down considerably when meeting vehicles to avoid gravel damage.
Towns: 50 kph
Speed cameras have low tolerance, and fines are high.
Dealing with damages
The only times we’ve had bad reviews and bad experiences are when a camper comes in with damages. It’s never fun for anyone involved, so we’ve tried hard to safeguard all parties, and to provide the best insurance options we possibly can. We take high-resolution photos of every angle of the camper before it goes out. That way, we can refer to those images to never charge our customers for damages they did not cause. We recommend the customers do the same, although we provide full access to the photos we take. We increased the margin, going by a “size of a coin” minimum damage to justify damage charges, although cracked windows are an exception.
We now sign off each camper when customers return them and do a thorough inspection of the vehicle right away. That way, we can promise not to send bills after you have left. When you finish your return process and go home, you will not receive late or unexplained charges from us. The exception is when customers choose our 24/7 return service, where they agree to unattended inspections after they have left.