"Reykjavik and Keflavik are not the same airport — it's one of the most common points of confusion among visitors to Iceland. KEF is Iceland's international airport, 50 km from the city. Once you're oriented, it's a well-organised rental market: the split between in-terminal desks and off-airport shuttles is the one thing worth understanding before you land."
Your boarding pass probably says Reykjavík. The airport is Keflavik — KEF — on the Reykjanes Peninsula, 50 km southwest of the city. Reykjavík Domestic Airport handles internal Icelandic flights and sits in the city itself; if you're arriving internationally, you're landing at Keflavik regardless of what the departure board showed at home. Route 41 runs directly from the terminal into Reykjavík — a 45-minute dual carriageway drive — and for most visitors it's the first Icelandic road they drive.
The rental market at KEF is larger than most airports its size: 15-plus suppliers, ranging from the international brands to well-regarded local operators. They split into two distinct pickup tiers — desks inside the arrivals hall and off-airport offices a short shuttle ride away — and knowing which yours is before you land makes the difference between walking straight to your car and spending 20 minutes figuring out where to wait.
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Where to pick up your car at KEF
The arrivals hall has desks for a handful of international brands. Once you clear customs and exit into arrivals, the counters are visible on the left — a two-minute walk from the customs exit. You sign the agreement at the desk, then collect the car from the lot directly outside. No shuttle, no wait beyond the queue at the counter itself.
Confirmed in-terminal as of early 2026: Hertz, Avis, Budget, Sixt, and Europcar. If you've booked with one of these, you're at the desk in arrivals.
Most other suppliers — including Blue Car Rental, Go Car Rental, Enterprise, and the majority of Iceland's local operators — are based a short distance from the terminal. Blue Car Rental's office is a 3–4 minute walk across the P1 car park to Blikavöllur 3. Enterprise uses a free shuttle, about 500 metres from the terminal. Go Car Rental has a shuttle meeting point in the arrivals hall. The logistics vary by supplier — your confirmation has the specifics.
Off-airport suppliers typically offer lower base rates because they avoid the airport concession fee — a levy that adds roughly 10–20% to in-terminal pricing. The shuttle is the tradeoff, and for most arrivals it's a minor one: a few minutes, free of charge, running throughout the day. During peak summer arrivals — mid-morning after transatlantic flights — there can be a short wait. It's a normal airport dynamic, not a problem specific to Iceland. In practice, most travellers with an in-terminal booking are driving away within 20–40 minutes of clearing customs; off-airport pickups typically add 15–20 minutes on top of that.
What to expect at the counter
The counter conversation at KEF is the same one you'd have anywhere — confirmation, licence, payment card — with one Iceland-specific layer: insurance add-ons. Gravel protection, sand and ash cover, SCDW. These decisions land fast, often after a long-haul flight. Having worked through them before you arrive means you're not making a several-hundred-dollar choice under mild pressure in an arrivals hall.
The Iceland rental guide covers each add-on in full, including what credit cards typically do and don't cover for Iceland specifically. Read it before the counter, not after.
One practical note on hours: most in-terminal suppliers adjust staffing for flight arrivals, so late and early flights are generally covered — some run 24/7 through the summer season. Off-airport suppliers vary more. Some run meet-and-greet for all arrivals year-round; others ask for your flight details to confirm someone will be there outside standard hours. If you're arriving before 6am or after midnight, check with your supplier directly.
The drive from KEF to Reykjavík
Route 41 is the main road from the airport into the city — dual carriageway, well-signed, straightforward. In summer, it's an easy introduction to Icelandic driving: light traffic outside rush hour, familiar road markings, nothing technically demanding. In winter it deserves more attention. The Reykjanes Peninsula sits exposed to Atlantic weather, and the road between the airport and the capital can be icy in the early morning even when conditions look clear. Check road.is before you set out. Fuel stations are available near the airport on the way onto Route 41, which is worth knowing if you're arriving late and starting your trip early the next morning.
The verdict
If you haven't booked yet: Both pickup tiers work well. In-terminal means no shuttle and a slightly higher base rate. Off-airport means a short transfer and, usually, a lower price — the concession fee saving often outweighs the few minutes of inconvenience. The Iceland cost guide has seasonal pricing context if you're still working out your budget.
If you're already booked: Find your pickup address in the confirmation now. Know whether you're in-terminal or off-airport and what the specific instructions are. Work through the insurance add-ons before you land — the Iceland hub covers them. If you're arriving outside standard hours, confirm with your supplier that staffing will be there for your flight.
If you've returned the car and have a question about a charge: Start with your booking platform if you used one. If you booked direct, contact the supplier in writing with your rental agreement and photos from pickup and return. Give them a week before escalating to your card issuer.
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- Your boarding pass may say "Reykjavik" — you are landing at Keflavik (KEF), 50 km from the city. Reykjavik Domestic Airport handles internal flights only.
- Off-airport suppliers use different shuttle stops and meeting points. Check your confirmation for the exact instructions before you land.
- Smaller operators may ask for your flight number to confirm someone meets you for late or early arrivals. Provide it at booking.
- Peak summer arrivals — particularly mid-morning after transatlantic flights — can mean a short wait for off-airport shuttles. Normal at a busy airport; budget a few extra minutes.
- Some suppliers operate reduced hours in winter. If you are arriving before 6am or after midnight between December and April, confirm pickup arrangements with your supplier in advance.
Frequently asked questions
Is Reykjavik Airport the same as Keflavik Airport?
No. They are two separate airports, 45 minutes apart. Keflavik International Airport (KEF) is Iceland's main international airport, on the Reykjanes Peninsula 50 km from Reykjavik. Reykjavik Airport (RKV) is a small domestic airport in the city centre, handling internal Icelandic flights and a handful of routes to Greenland and the Faroe Islands. If you flew internationally, you landed at Keflavik — even if your boarding pass or departure board said Reykjavik.
Where exactly do I pick up my rental car at Keflavik Airport?
It depends on your supplier. Hertz, Avis, Budget, Sixt, and Europcar have desks inside the arrivals hall — you collect your keys there and find the car in the adjacent lot. Most other suppliers, including Blue Car Rental, Go Car Rental, and Enterprise, are based a short distance from the terminal and run free shuttles. Your booking confirmation will have the specific pickup address and instructions.
Is there a shuttle from Keflavik Airport to the rental car office?
For off-airport suppliers, yes — free shuttles run between the terminal and their nearby offices, typically a 3–10 minute ride. Look for a representative in the arrivals hall or a shared shuttle board. Some suppliers ask you to call on arrival. Your confirmation will say which applies.
Does it matter if I book in-terminal vs off-airport at KEF?
Mainly for convenience and price. In-terminal means no shuttle — you deal with the desk and walk to the car. Off-airport suppliers avoid the airport concession fee, which typically runs 10–20%, so their base rates are often lower. The shuttle adds a few minutes but the process is straightforward. Either works well; it comes down to whether you prioritise speed or price.
Is it cheaper to rent at KEF airport or in Reykjavik city?
Prices at KEF and in central Reykjavik are usually similar from the same supplier. Some travellers pick up in the city to avoid paying for days spent in Reykjavik before driving anywhere. If you return to a different location, a one-way fee typically applies. Full cost breakdown in our Iceland cost guide.
I already have a booking — what should I check before landing?
Find your supplier's pickup instructions in the confirmation email — specifically the address and whether you need to call on arrival. Screenshot it so you have it offline. Confirm what insurance is included and what you'll be offered at the counter. If you're arriving outside standard hours, check that your supplier's desk or shuttle will be staffed for your flight.
What is the drive from Keflavik Airport to Reykjavik like?
Route 41 runs directly from the airport into the city — about 50 km, typically 45 minutes in normal conditions. It's a dual carriageway for most of the route, well-signed, and straightforward. In winter, check road.is before setting out. The road can be icy early in the morning, and Icelandic weather moves fast between the Reykjanes Peninsula and the capital.
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