Does Localiza require an IDP in Iceland?
Localiza in Iceland: the policy in plain terms
Asks foreign renters to present a licence translation with their home licence at the counter across Brazil and Latin America. The largest car-rental company in Latin America.
An IDP is recommended for non-Latin-script licences when renting in Iceland.
In Iceland specifically, iceland lets visitors drive on a valid foreign licence, but Localiza still asks for a licence translation if your licence is not printed in the Roman alphabet — and it removes any doubt at the counter. F-road (highland) driving requires a 4x4 and specific insurance.
Localiza runs a south america network; at its Iceland desks, foreign renters are asked for an International Driving Permit in the 1949 Geneva and 1968 Vienna Convention format alongside the original licence. Iceland drives on the right, uses the ISK, and sets a minimum driving age of 17; an IDP is still the safest way to avoid a refused booking.
What to bring to the Localiza counter in Iceland
- Your original national driving licence (the IDP never replaces it).
- Your International Driving Permit in the 1949 Geneva and 1968 Vienna Convention format.
- Your passport and a payment card in the main driver's name.
- Local payment for the ISK deposit; Iceland drives on the right with a young-driver surcharge under 25.
Driving rules in Iceland Localiza renters should know
- Headlights on 24/7 by law.
- Off-road driving is illegal and heavily fined.
- 0.05% alcohol limit.
- Gravel and single-lane bridges common on Route 1.
Localiza's rental terms that affect your IDP booking
Localiza's minimum rental age is 18 (lowered from 21 across Brazil), but drivers under 21 must add the mandatory "Condutor Jovem" (Young Driver) surcharge at booking; the exact fee is set per rental/location and quoted at reservation rather than published as a flat amount.
A credit card (physical or contactless) in the reservation holder's or financial responsible party's name is required for a pre-authorization hold; debit cards are not accepted for the security guarantee. Customers without a credit card can instead pass a weekday business-hours credit evaluation, with daily rentals up to 28 days available for an approximately R$39.90 fee if approved.
Each additional driver must be registered on the contract and present a valid licence and ID at the counter; Localiza does not publish a flat additional-driver fee, charging it per rate plan and location at pickup. Localiza requires a valid full driver's licence but does not publish a fixed minimum holding period; instead the young-driver surcharge (under-21) is the gating control, so a valid current licence is the stated requirement.
Cross-border driving within Mercosur (Brazil, Argentina, Uruguay, Paraguay) requires the mandatory "Carta Verde"/Green Card insurance and advance authorization, typically requested at booking; one-way rentals returning in a different country incur a one-way fee that is usually higher than the cross-border fee, so both must be arranged in advance.
Foreign customers must present a valid licence from a country in Brazil's "Reciprocity Agreement" plus a passport, and may drive for up to 180 days from their date of entry (respecting the original licence validity); entry must be proven with a passport stamp, boarding pass, or immigration approval document. An International Driving Permit is referenced under the applicable legislation for non-reciprocity or non-Roman-alphabet licences.
Once you collect the keys in Iceland
The only toll is the Vadlaheidi tunnel near Akureyri (the older Hvalfjordur tunnel is now free); pay online within hours of passing via tunnel.is or the app. A nationwide distance-based road usage charge began phasing in from 2026.
Reykjavik uses paid zones P1 to P4 (P1 the central, priciest zone), payable by meter or the Parka/EasyPark app; the compact centre relies on strictly enforced paid street parking rather than congestion charging, and overstays are ticketed promptly.
Speeding cameras are widespread and fines are steep, starting around ISK 15,000 and rising fast; handheld phone use, no seatbelt and any off-road/off-track driving carry large fines. Police can fine on the spot and rental firms pass on camera and damage charges automatically from the card on file.
Call the single emergency number 112 for police, ambulance and fire; report injuries or significant damage. Do not move vehicles if anyone is hurt, photograph the scene, and complete the accident form provided with the rental, as the rental contract dictates damage reporting (gravel, sand and door-wind damage are common Icelandic claims).
Full driving guide for Iceland →