Questions about transport in Iceland are probably the ones that land in my inbox the most.
And after 10+ years living here and helping so many people plan their trips, I still think this:
How you choose to travel is one of the most important decisions you’ll make when planning.
Get it right, and Iceland opens right up – making it easier to see more, move at your own pace, and fully take in the experience.
I’ve tried almost every option on this list, and renting a car is still my favorite way to explore.
But this guide covers all the options so you can decide what works best for your trip.
If you’ve been wondering how to get around Iceland, here’s an honest breakdown.
Let’s get into it.
Before we get into the 10 options, let me address two questions I get asked all the time.
Is There Uber in Iceland?
No. There’s no Uber in Iceland.
There’s no Lyft here either.
The closest thing to a rideshare service here is called Hopp Taxi, which also offers scooter rentals and car-sharing options. To book it works very similar to Uber where you book and manage your ride via an app.
So, while you won’t find an Uber here, there are still some similar local alternatives if you need them.
Is There Public Transport in Iceland?
Yes, technically, there is public transport in Iceland. But it is very limited. Unlike other countries in Europe, there’s no train system or metro.
In Reykjavík, though, the public bus system called Strætó works quite well and is a reliable way to get around the city and nearby suburbs.
But, once you leave the capital region, public transportation becomes A LOT more limited.
There are some long-distance buses that connect bigger towns and popular tourist routes at certain times of the year, but the schedules are not ideal if you want flexibility.
Overall, it’s not a great way to get around Iceland, and definitely not something to rely on for your whole trip. That’s one of the main reasons most travelers choose to rent a car when exploring Iceland.
10 Transport Options in Iceland
Here are 10 ways you can navigate this beautiful country!
1. Hire a Taxi in Iceland
Taxis fares in Iceland are VERY expensive.
I wouldn’t recommend taking one outside the city, and yes, that includes the airport. You’re much better off using a bus transfer like FlyBus from Reykjavík airport to the city center.
If you’re in a pickle and need to take a taxi in Reykjavík, try to only use one when you absolutely have to… and ideally for short distances!
Cost: The base taxi fare is 695–730 ISK ($5.70 – $6 USD) and 280–351 ISK per km ($2.29 – $2.90), but this can add up quickly.
If you’re taking a Reykjavík airport transfer, expect to pay around 22,500–35,000 ISK ( $184 – $286). Yikes!
How to book: Hreyfill is one of the main taxi companies in the Reykjavík or the Rekjanes area. It’s a good idea to download the Taxi Hreyfill app ahead of time. Even though this isn’t the ideal way to travel in Iceland, you never know when you might need it!
Pros
- Quick and convenient, especially for short trips in the city and if you need a ride late at night.
Cons
- Very expensive, especially for longer distances or airport transfers.
2. Ride the Bus in Iceland
We’re moving on from one of the most expensive to one of the cheapest ways to get around Iceland.
Buses in Iceland might be a good option if you’re on a tighter budget and love the idea of getting around without having to drive yourself.
The three main companies that operate bus tours around the whole country are Reykjavík Excursions, Sterna, and Stræto.
They actively operate routes throughout the Ring Road, through the Westfjords, and even venture into the Highlands during the summer months.
How to book: When you travel with Strætó, you can download their Klappið app. Here you can buy tickets and plan your route. There’s a nifty little map where you can check where their buses are at any given moment.
Other than the app, you can pay on the bus using contactless payment via Apple or Google Pay. Or use a reusable plastic Klappið bus card that you can top up online, or a disposable paper card that allows 24/72-hour travel or up to 10 uses.
Cost: For bus rides in Reykjavík, it’s 690 ISK ($5.60)for adults and 345 ISK ($2.80) for those 12-17 and over 67.
And if you’re looking for more flexibility when it comes to Icelandic transportation, you could even take advantage of the Iceland hop-on, hop-off bus. It’s such a great option for travelers who aren’t tied to a rigid schedule and want to spend more time in an area.
Pros
- It’s cost-effective.
- You don’t have to worry about driving yourself.
- You can still enjoy the scenery of a self-drive experience.
- A great way to get around Reykjavík.
Cons
- Limited routes. A lot of Iceland’s best routes and hidden gems aren’t accessible by bus.
- No F-Road access: You need a 4WD to access the F-Roads.
- Rigid schedules: If you miss the bus, you might be waiting a long time to catch the next one.
- Not ideal if you want to see multiple attractions in a day.
- Bus travel takes longer.
Looking for budget-friendly tips for your trip? Take a look:
➡️ READ: How to Travel Iceland on a Budget: 25 Tips to Save Money on Your Trip
3. Book Iceland Tours
A popular way to explore Iceland is through guided tours.
Once you start looking, it can feel like a buffet of choices! You’ll find companies that offer something for just about every experience.
You can join tours that cover the major routes like the Golden Circle, South Iceland, or Snæfellsnes.
Or you can choose an activity-based tour centering around things like whale watching, glacier hiking, or even volcano adventures!
They’re a great way to experience Iceland, and can range from just a few hours to multi-day trips depending on how you want to explore the country.
Cost: Tour prices can vary quite a bit depending on what you choose. Shorter group tours are generally more affordable, while private tours or specialised activities (like glacier hiking or helicopter tours) can get pricey. Multi-day tours will obviously cost more.
How to book: Booking is super straightforward. Most travelers book online in advance through tour company websites. It’s generally a good idea to book ahead so you don’t miss out.
If you’d like to browse Iceland tours, check out the options here. 👇
➡️ TAKE A TOUR: Browse Tours In Iceland
Pros
- Everything is planned out for you.
- You don’t have to drive. Having an experienced driver takes a lot of the pressure off.
Cons
- Not much flexibility. There’s a predetermined route that you need to stick to. If you’re anything like me and love to discover hidden gems, tours might not be your best option.
- You’ll be sharing the experience with a lot of other people, which means less wiggle-room to take things in at your own pace.
- It can get expensive. Depending on the tour, they also tend to be pricier, especially if this is your preferred transport in Iceland.
Of course you don’t have to ONLY do tours, I personally like a mix of both tours and self-driving.
4. Private Driving Tours
If you don’t want to take on the task of driving in Iceland, some companies offer private driving tours where a local driver-guide takes care of everything for you.
Cost: These options will definitely be on the pricier side!
How to book: You book the same way you would a regular tour, through the company websites.
Pros
- More flexible than group tours.
- Personalized experience with flexibility to stop where and when you like.
Cons
- These are super expensive, usually!
5. Rent A Car in Iceland
Iceland was made for road trips.
Now, I might be biased…but renting a car and driving yourself around the country is hands down the best way to experience Iceland as a tourist!
I love that you can pull over when you spot something incredible out the window, or stay a little longer at a place because you really want to take it all in.
You can choose anything from a small budget-friendly car to a larger SUV or 4X4, it really depends on your route, the season, and how adventurous you want to get.
If you want full freedom and flexibility, driving yourself is THE way to go.
Cost: Rental prices vary depending on the season and type of vehicle.
2WD cars in the summer are usually the most affordable option.
In winter, however, you’ll need a 4WD. Yes, they’re more expensive but necessary.
And if you’re going to the Highlands, a 4X4 is non-negotiable for driving the F-Roads.
Want to save money on your car rental?
I recommend booking through Blue Car Rental. They’re local and one of the most trusted companies in Iceland.
Their insurance is built in, and they offer 24/7 roadside assistance. If you’re driving in Iceland for the first time, you can rest easy knowing that there’s backup if something were to happen on the road!
Get 5% off your total rental price when you use this 👉 VIP link. NO CODE NEEDED.
How to book: You can book your vehicle and check-in online. Blue Car has a location at Keflavík Airport, so you can pick it up right away. There’s also a key box pick-up, so no waiting in long lines to get your key.
Pros
- The thing I love most about renting a car in Iceland is the freedom it gives you. You’re not tied to anyone’s schedule and can go where you want, when you want. (And take those awesome detours that usually end up being the best part of the trip!).
- Rather than having an itinerary that’s fixed firmly in place, you’re able to move on more quickly or extend your stay somewhere if you’re totally loving it!
- This option gives you a unique feel for the heart and soul of the country. The views, landscapes, and stretches of gorgeous scenery between stops are unmatched.
When you rent your own vehicle, all of Iceland is your oyster!
If you’re looking to learn more about this option, be sure to check out my ultimate guide to renting a car in Iceland!
Cons
- You’re not comfortable with driving in winter, this will feel like a challenge.
- Road signs in Iceland might be a little different from what you’re used to at home. While it’s not necessarily a con, it is something you’ll want to familiarize yourself with.
I recommend checking out these safety tips that’ll help you out when driving in Iceland. 👇
➡️ READ: Driving In Iceland: Stay Safe On The Roads With These 8 Tips
6. Hop on a Domestic Flight in Iceland
The main airlines that fly domestic in Iceland are Icelandair and Nolandair.
Icelandair flies year-round from the domestic airport in Reykjavík to Akureyri (North), Egilsstaðir (East), the Westman Islands (South), and Ísafjörður (Westfjords). While Norlandair flies out from Akureyri to Þórshöfn, Grímsey, and Vopnafjörður.
Cost: Domestic flights can be expensive in Iceland. Ticket prices depend on the time of year and where you’re going.
How to book: Book online or through a travel agent.
Pros
- The biggest benefit of taking a domestic flight within Iceland is the time you’ll save. While the driving distances in Iceland aren’t crazy long, if you’re trying to squeeze a lot in on a short trip, this could be helpful.
Cons
- It’s expensive. The convenience of flying to remote destinations comes with a hefty price tag.
- While you can book flights to major areas, you’ll need to pair this with other transportation, so it doesn’t really solve the overall question of transport in Iceland.
- Flying within Iceland forces you to pack light. These planes are on the smaller side, so there’s not a ton of room for luggage!
- You won’t have the road trip perk of going through all the beautiful landscapes, sightseeing, and coming across wonderful, unexpected places along the way.
Want a few tips on how you can save on flights to Iceland? I have a video on that below:
If you’re seriously considering this type of transportation in Iceland, this blog post will be super helpful. 👇
➡️ READ: Major Airports in Iceland: Your Arrival Roadmap for KEF, Top Tips & More
7. Rent A Campervan in Iceland
Another one of my favorite ways to travel around Iceland is via campervan.
There’s something so special about waking up somewhere completely different each day.
Sometimes you’re parked beside a mountain, other times a waterfall. You wake up to the sounds of water rushing, sip your coffee, and take in the views while everything is still quiet outside. Talk about magical!
When it comes to choosing a campervan company, I have personally used and highly recommend Happy Campers. They were the FIRST campervan company in Iceland, so trust me, they know what they’re doing. And their friendly service is second to none!
Cost: This will depend on what type of vehicle you’re renting, and Happy Campers has a wide range of camper vans. Use my code IWV10 when you book with Happy Campers for an exclusive 10% discount!
How to book: You can book your camper van online and either pay 100% or the standard deposit, which is 30% now and 70% when you get your vehicle.
Pros
- Transport and accommodation in one is convenient and a money-saver.
- You’re able to cook your own meals in the camper van, so you save on restaurant costs.
- A lot more comfortable than tent camping.
Cons
- You’ll need to stay at designated campgrounds.
- Not really possible in winter.
- Weather can be challenging, especially in the shoulder seasons.
8. Take the Ferry
Now, this option might not apply to you, but if you’re coming from Europe, you can bring your OWN car via the ferry that comes from Denmark!
It’s called the Smyril Line, and you sail from Denmark via the Faroe Islands and land right in Seydisfjordur (Seyðisfjörður) in East Iceland.
(This town is SO gorgeous and one of my personal favorites!)
There’s nothing like setting sail toward Iceland for your own do-it-yourself kind of road trip!
Cost: Again, there are many variables here, but if you’re taking your car it’ll cost around 690€ ($814) for one adult and one vehicle one way.
How to book: It’s very straightforward, and you can book on Smyril Line’s website.
Pros
- You get all the benefits of a self-drive road trip, but with your very own car.
- Starting in East Iceland is a region that’s incredibly underrated but so worth adding to your itinerary.
Cons
- It’ll take more time. The ferry from Hirtshals to Seyðisfjörður takes about two days to get to Iceland.
- Limited departure dates.
- Your car must be equipped for Icelandic roads, especially if you’re traveling in winter or on the F-Roads.
9. Cycling
If you’re itching for a super adventurous way to explore Iceland, have you ever considered cycling?
I’m dead serious, I see a lot of people doing this, and I also know they really enjoy it!
Just picture yourself cruising along, Walter Mitty style, surrounded by all the breathtaking beauty Iceland has to offer, it’s such a unique way to explore.
However, remember that our weather can be quite temperamental, which can definitely impact your experience.
So, be ready to embrace whatever Mother Nature throws at you, be it rain, wind, hail, or even all of them at once.
Make sure that your bike has thick tires, and carry a repair kit. When you’re out in the wilderness, you are your own best help! You’ll need a mountain bike, not a road bike.
Cost: You can bring your own bike or rent one in Reykjavík for around 5,900 ISK per day (approximately $48 USD). Many rental places also have add-ons like a repair kit or locks.
This Iceland transportation option may not be for the faint of heart, but it IS for those with a thirst for adventure and adrenaline!
How to book: Book online or in-store in Reykjavík.
Pros
- Unique way to explore the incredible scenery.
- Budget-friendly, especially if you have your own bike.
- A slower, immersive experience that few people experience.
Cons
- Let’s face it, you need to be fit!
- The weather is a challenge. Expect rain, hail and wind.
- Challenging terrain with gravel roads and steep hills.
- Not something you can do in the winter or colder months.
When you visit Iceland will have a big impact on whether cycling is a good option for you. Check out this post to decide which time will be best for your trip. 👇
➡️ READ: Best Time to Visit Iceland: How to Pick the Perfect Month & Season for Your Trip
10. Hitch Hike
If you were going to pick a country to hitchhike in, Iceland would probably be it! It’s REALLY safe and you’d be surprised at how many people travel this way.
We’ve actually picked up quite a few hitchhikers throughout the years since living here.
If you’re free-spirited and up for an adventure, I’d consider this as an option for transport in Iceland.
Cost: Free
How to get a ride: Asking for a ride at main attractions and sites that are more crowded will help increase your chances of getting a ride.
Pros
- It’s cheap.
- The chance to meet new people.
Cons
- Weather: The weather is super unpredictable, and even if you’re visiting in summer, there could still be downpours. Also, probably not the best option in winter!
- Safety: While Iceland is extremely safe, you can’t rule out the safety aspect completely.
- Unpredictable: You don’t know when you’ll get picked up, and if people will stop. Making it very difficult to plan out your day.
Thinking about a solo trip? You might enjoy reading this next. 👇
➡️ READ: Solo Travel in Iceland: Why it’s the Best Country in the World to Visit Alone
FAQs
Here are a few more questions you had about transport in Iceland:
Why Is There No Uber in Iceland?
There’s no Uber in Iceland, partly because of the small population, but there are also very strict taxi licensing laws.
Is There Lyft in Iceland?
Iceland doesn’t have Lyft either.
What is the Cheapest Way to Get Around Iceland?
The cheapest ways to get around Iceland would have to be to hitchhike or take a bus. But cost isn’t the only thing to factor in. You need to consider the practicality of how you choose to travel as well.
Do I Need a Car in Iceland?
I’m not going to lie, getting around Iceland without a car IS more challenging. You can’t just go wherever you want, whenever you want. It’s definitely more possible if you’re staying in Reykjavík, but a lot of the best sights are spread out around the country. Public transport is quite limited outside of Reykjavík, so you’ll need to plan a bit more carefully if you’re relying on buses or tours.
How to Get Around Iceland: What to Consider
There are so many things to consider when you’re trying to decide on the best way to see Iceland.
Here are a few questions you need to ask yourself:
Budget: Are you on a shoestring budget or do you have a little extra to splurge?
Flexibility: Do you prefer being on a strict schedule or do you prefer going with the flow and seeing where the day takes you, with spontaneous stops along the way?
If you need some help figuring out your travel style, this is really helpful. 👇
➡️ READ: How to Plan Your Iceland Trip Based on Your Travel Style
Easy-going or adventure-seeking: Would you prefer a safe, predictable trip or do you prefer one adventure after another, meeting new people and kind of going where the wind takes you?
Confidence on the road: Are you a nervous driver or are you comfortable behind the wheel.
The Best Way to Travel Around Iceland
After trying almost every option on this list, I always come back to the freedom, flexibility, and overall experience of driving yourself. The ability to explore and go to places that other transport doesn’t just can’t be beat!
If you’re leaning that way too, I highly recommend booking with Blue Car Rental.
They’re who I personally trust, and you can get 5% OFF your rental with my 👇 VIP link to make it even easier to get started.
Happy Planning!
