How damage works — evidence first
Damage charges need a policy reason, condition evidence, and an itemised repair basis — capped by the cover you chose.
How our fair-damage process works
360° video at pickup
Timestamped walkaround filmed before you drive — copy sent to you immediately.
Your trip
Drive with confidence knowing pre-existing damage is already on record.
360° video at return
Same walkaround filmed when you bring the car back.
New damage checked against evidence
Return video compared to pickup video. Pre-existing damage documented at pickup is not charged to you.
The pickup and return videos are our record for exterior damage — evidence before exterior-damage charges. Other fees (fuel, cleaning, fines) are backed by their own invoice or notice.
1. Your maximum exposure is one capped excess — and you choose the cap
Every rental includes Collision Damage Waiver (CDW). CDW caps your personal liability for accidental exterior damage to the vehicle. You can buy that cap down — all the way to zero — before you confirm your booking.
| Cover level | Your excess (own-risk) | Day rate |
|---|---|---|
| Essential (CDW) — included as standard | ISK 350,000 | Included in every rental |
| Plus (Super CDW) | ISK 120,000–150,000 | ISK 2,750–3,850/day |
| Zero Excess | ISK 0 | ISK 4,950–5,950/day |
Your exact excess and day rate are confirmed at booking before you pay.
| Add-on protection | Covers | Protection excess | Day rate |
|---|---|---|---|
| Gravel & Glass Protection (GP) | Windscreen & bodywork stone-chips | ISK 25,000 | ISK 1,350/day |
| Sand & Ash Protection (SAAP) | Wind-blown sand & volcanic ash damage | ISK 90,000 | ISK 1,850/day |
| Tyre Protection | Tyre damage (excl. from standard CDW) | Covered with TP | ISK 1,200/day |
All day rates and protection excesses are confirmed at booking. No desk up-sell — every rate is shown online before you confirm.
2. Fair on damage — we both watch the same video
Our 360° handover-video rule — written down and yours to keep
Before you drive away and again when you return the car, we record a timestamped walkaround video covering the entire exterior. You receive a copy — a link or a shared file — at the moment of pickup.
- 1
At pickup
Timestamped 360° walkaround video — you get a copy on the spot.
- 2
On your trip
If anything happens, photograph it and call us first.
- 3
At return
A quick 360° video, compared frame-by-frame against pickup.
- 4
If there's a claim
We show you the exact frame and the itemised invoice before any charge.
- 5
Settled fairly
Covered damage is capped at your chosen excess; disputes go to a named board.
Our fair-damage promise — in writing:
We only bill for damage that appears in the return inspection and was not in the pickup inspection — and we show you the frame that proves it. You get the handover video at pickup, so pre-existing damage documented there is not charged to you.
If we identify damage on return, we contact you with a written assessment — and the specific video frame — before any damage charge is processed.
If you return the car after hours, record a clear 360° walkaround with your own phone before leaving the vehicle. Send it to us — this documents the car's condition at the moment of handback and gives both sides the same evidence standard.
Evidence before damage charges
For staffed returns we go through the car with you and settle anything there and then — not weeks later. For after-hours key-box returns, we inspect against your pickup video and charge only for damage the evidence clearly shows, with that evidence shared with you before any charge is processed.
Fair wear and tear
We don't bill for tiny stone chips, normal tyre or brake wear, or the small marks any car picks up on Icelandic roads — only genuine new damage beyond normal use. Iceland is a hard environment; we factor that in.
What we have to prove before we charge you
A signed agreement on its own isn't enough. Under Icelandic consumer rules we only charge for damage when we can show all of:
- new — present in the return video and not in the pickup video;
- your responsibility, not fair wear and tear (the damage is genuinely yours);
- exclusion — any exclusion we rely on was shown to you before you paid;
- real, documented cost — an actual repair invoice, not a one-sided estimate;
- not already reimbursed — that we have not already been reimbursed for it by our own insurer.
If we can't show all five, we don't charge.
3. A card pre-authorisation hold — not a cash deposit
We do not hold your money. At pickup, we place a pre-authorisation hold on your credit or debit card equal to your chosen excess amount. This is a temporary block, not a payment — the amount does not leave your account.
- The hold amount is shown on your booking page before you confirm.
- On a clean return, the hold is released — typically within a few working days, depending on your card provider.
- If covered (CDW-class) damage is found, only the documented repair cost — capped at your chosen excess — is charged. Damage from an excluded use (river crossings, off-road, a 2WD on an F-road, wrong fuel) is your full liability and is not capped.
If you have bought Zero Excess, the covered-damage excess is ISK 0. Exact card authorisation rules are confirmed at booking.
4. Named exclusions — even with full cover
Some damage types remain excluded under Ring Road Cars cover rules regardless of what you buy. We tell you this upfront:
- Gravel and windscreen chips — unless you have added Gravel & Glass Protection.
- Sand and volcanic ash — unless you have added Sand & Ash Protection (SAAP).
- Water damage and river crossings — not permitted under any circumstances; not covered under any protection level.
- Underbody, suspension, and wheel arch — damage beneath the vehicle is excluded from CDW.
- Tyres — unless covered by your chosen protection.
- F-roads and off-road driving — F-roads require a suitable 4x4 in summer; driving off marked roads can void cover and is illegal in Iceland.
- Wrong fuel — misfuelling is entirely the renter's liability.
- Interior damage — burns, stains, tears, and contamination inside the vehicle are not covered by any damage waiver.
- Negligent, intoxicated, or intentional damage — any damage caused while impaired, or through recklessness or deliberate action, can void cover.
5. A published damage price guide + actual-cost billing
We do not invent repair costs. If damage is found, we bill the documented actual repair cost only, capped at your chosen excess, and we send you the invoice together with the return-video frame that shows the damage.
Below is a per-item cost guide — actual repair cost billed, capped at your chosen excess:
| Item | Cost range (ISK) |
|---|---|
| Small body panel repair (dent/scratch) | ISK 40,000–120,000 |
| Windscreen replacement | ISK 80,000–200,000 |
| Mirror replacement | ISK 30,000–80,000 |
| Tyre replacement (per tyre) | ISK 20,000–60,000 |
Actual charge = documented repair cost, capped at your chosen excess.
6. If you disagree with a charge
Disputes are rare when both parties have the same evidence. Here is the calm, step-by-step path if one arises.
- 1
Talk to us — we share the evidence
Email or call us. We share the pickup and return videos plus the itemised repair invoice. If the damage was pre-existing, we correct the charge immediately. Most disagreements end here.
- 2
Request an independent repair estimate
You may ask for an independent estimate from a workshop of your choice. If the independent quote differs materially from ours, we will take it into account.
- 3
Escalate to a regulatory or consumer body
If the dispute is still unresolved, you can escalate to any of these — free of charge:
Samgöngustofa (Icelandic Transport Authority)
Transport and vehicle-rental regulatory oversight in Iceland. samgongustofa.is
Neytendastofa / Neytendasamtökin (Consumer Agency / Consumer Association)
Icelandic consumer protection. Handles complaints about goods and services, including vehicle rentals. neytendastofa.is
European Consumer Centre (ECC) — for EU/EEA visitors
Free cross-border dispute assistance for EU and EEA residents dealing with businesses in Iceland. ECC-Net
Chargeback via your card provider
Your card issuer has a formal dispute process for charges you believe are incorrect. We will cooperate fully with any chargeback enquiry.
Your home-country consumer rights are unaffected. Nothing in these terms reduces the statutory rights you hold under your own national consumer protection law.
Governed by Icelandic law; Reykjavík venue.
Quick answers
Will I be charged for old scratches?
No. We record a timestamped 360° walkaround video at pickup and share it with you. Pre-existing damage documented in that video is not charged to you on return — the return video is compared against the pickup video, and we only bill for new damage, with the evidence shared before any charge.
What is the deposit — and how much will be held on my card?
There is no traditional cash deposit. Instead, we place a pre-authorisation hold on your credit or debit card equal to your chosen excess amount. This is not a charge — it is a temporary hold that is released on a clean return, usually within a few working days. The exact hold amount is shown on your booking page before you confirm.
What if I disagree with a damage charge?
Contact us first. We will send you the itemised repair invoice and the specific frame from your return video that shows the damage. If we cannot resolve it together, you can escalate to the Icelandic consumer complaints board (Kærunefnd vöru- og þjónustukaupa), ECC-Net (if you are an EU resident), or initiate a chargeback with your card provider. Your home-country statutory consumer rights are unaffected by these terms.
Can I buy my excess down to zero?
Yes. Zero Excess brings your covered-damage excess to ISK 0 and already includes Gravel & Glass, Tyre, and Sand & Ash Protection. We confirm the day rate and cover level before you commit — no desk hard-sell.
What happens if I return the car after hours?
After-hours key-box drop-off at our Keflavík base is available by arrangement. Before you leave the vehicle, record a clear 360° return video yourself using your phone and send it to us. This freezes your liability at the moment of handback — the pre-authorisation hold is released once we inspect and confirm a clean return.