July 31, 2025

Speeding Fines & Parking Tickets in Iceland

Driving in Iceland is one of the best ways to experience the country’s dramatic landscapes and remote destinations. However, driving in a foreign country can be challenging, and Iceland is no exception. From unfamiliar road signs and unpredictable weather conditions to strict speed enforcement and regulated parking zones, there are a few things that every visitor should know before hitting the road. 

Speeding fines in Iceland can be surprisingly high, and parking tickets are issued frequently in urban areas like Reykjavík. With speed cameras and police monitoring roads around the country and rental car companies passing fines (plus admin fees) onto drivers, a simple mistake can become a huge additional cost you hadn’t budgeted for. 

In this guide, we’ll explain how speed cameras, speeding fines, and parking tickets work in Iceland, tips to avoid breaking the law, and what to do if you end up with a traffic violation while driving a rental car.

Speeding Fines in Iceland - What Tourists Should Know

Speeding in Iceland is an offense that’s taken seriously. Limits are strict, fines are steep, and tourists can easily be caught off guard by unfamiliar rural roads and sudden changes in the speed limit. 

Speed Limits in Iceland

Speed limits in Iceland vary depending on the road type and can be specific to certain areas. Generally, you can expect the following limits:

  • Towns & cities: 50 km/h (30mph). 
  • Dirt/gravel roads: 80 km/h (50mph).
  • Paved highways: 90km/h (55mph).

Some residential areas have a speed limit as low as 30 km/h (19mph), so it’s important to always look for signs advising you about the speed limit for the road you are driving on. 

Speed limit sign showing 60km/h in Iceland.

Speeding Fines: How Much Will it Cost?

The cost of a speeding fine in Iceland will depend on how much you exceed the speed limit.

  • Driving 26 km/h or faster over the speed limit (30-35 km zones) - $195
  • Driving 36 km/h or faster over the speed limit (50-60 km zones) - $300-390
  • Driving 41 km/h or faster over the speed limit (70 km zone) - $460
  • Driving 41 km/h or faster over the speed limit  (80-90 km zones) - $615-690

20% will be added to this when:

  1. A bus exceeds the speed limit.
  2. A vehicle over 3,5000 kg exceeds the speed limit.

A car towing any type of trailer exceeds the speed limit.

Speed Cameras in Iceland 

Driving speed in Iceland is widely monitored by speed cameras, even in remote parts of the country. While some cameras are mounted on a pole on the side of the road, they can also be located in patrol vehicles. Warning signs are often positioned in advance of static speed cameras, but you won’t always be warned about mobile speed cameras.

If you are caught speeding by a camera, your license plate and speed will be captured, and a fine will automatically be issued and sent to your rental company. 

Other Driving Violations & Fines

Speeding isn’t the only way you could encounter fines in Iceland. Like all countries, there are other laws you can break on the road that don’t include going over the speed limit.

Fines for driving offenses in Iceland.

Parking Violations - What to Expect

At times, it can be difficult to determine where you are allowed or not allowed to park in Iceland. There are always clearly posted signs informing drivers of the rules and obligations surrounding parking.

Parking Tickets in Iceland - How Much Will it Cost?

There are a number of parking offenses in Iceland, and the cost of a ticket depends on which offense you commit, where you were parked, and how quickly you pay the fee. The fines below are what you can expect to pay for a parking ticket in Reykjavík:

  • Parking meter citation: This is the typical parking fine when a driver has not paid for the full parking period or has not paid at all to park in an ordinary parking space. The fee is 4,500 ISK (37 USD). If the fee is paid immediately upon receiving the notice, the price is 3,400 ISK (28 USD). If it’s unpaid after 14 days, the fee goes up to 6,750 ISK (55 USD). If the parking fee is still unpaid after 28 days, it goes up to 9,000 ISK (74 USD).
  • Parking violation: The second type of parking fine occurs when you are parked illegally in a spot where you’re simply not allowed to park at any time, like on a curb or on streets where parking is always fully prohibited. The fine for this type of offense is 10,000 ISK (82 USD), but it goes down to 8,900 ISK (73 USD) if paid immediately. If unpaid after 14 days, the fine goes up to 15,000 ISK (122 USD). If still unpaid after 28 days, it increases to 20,000 ISK (163 USD).

If someone parks in a parking space marked for handicapped individuals, the fine is 20,000 ISK (163 USD). This is discounted to 18,900 ISK (154 USD) if paid immediately. It goes up to 30,000 ISK (246 USD) if unpaid after 14 days, and after 28 days to 40,000 ISK (328 USD)

In Iceland, places like Reykjavík and Akureyri charge for parking by zones. The zone in which you choose to park will dictate how much you need to pay to park there. By ensuring you pay the correct parking fee, you will avoid receiving a parking fine.

The easiest way to arrange parking in Iceland is to use one of the reliable apps such as Parka or EasyPark.

Parking in Reykjavik

Speeding & Parking Fines Iceland FAQs

Still unsure what to expect when it comes to speeding fines and parking tickets in Iceland? Here are the answers to some of the most commonly asked questions. 

What do speed cameras look like in Iceland?

Mounted speed cameras in Iceland are small and discreet boxes, often grey in color. Mobile cameras are even more difficult to locate as they are placed within unmanned or manned vehicles. You might not even notice them until it is too late, which is why it is important to stick to the speed limit to avoid a fine. 

Where are speed cameras located in Iceland?

Speed cameras are used across the country, but are often placed strategically in places or areas where drivers are most likely to speed. Common locations include the Ring Road, near popular tourist areas, before and after tunnels, and on the outskirts of towns and cities. 

What happens if you are caught by a speed camera while renting a GO Iceland vehicle?

If one of our customers is caught speeding in one of our rental cars by a speed camera, the Icelandic police will trace it back to GO Iceland Car Rental. Our main office will receive an email with all the information about the offending car. This information will include details such as the time and place of the incident, and the number plate. A member of our team will then check who was renting the car at the time and is then, by law, required to send this information back to the police. The police will send the speeding ticket to the registered driver. GO Iceland’s office will then withdraw a handling fee of 5,000 ISK (40 USD) as stipulated in the car rental agreement.

It’s best and easiest for everyone if you pay close attention to speed limits in Iceland to avoid getting any tickets. In the name of safety, the law, finance, and convenience, sticking to the speed limit is always for the best. 

How much is a parking fine in Iceland?

Parking fines in Iceland can vary from 3,400 ISK (28 USD) if you pay immediately for a simple parking violation, to 20,000 ISK (163 USD) for parking in a handicapped space.

How do I pay for a parking fine in Iceland?

If you receive your fine in person, you will typically be able to pay the fee at a local bank or online. However, some fines are issued digitally. If this is the case, then details of your parking offense will be sent to the car rental company, which will alert you to the fine so that you can make payment. 

What happens if you receive a parking fine for a GO Iceland rental car?

Bílastæðasjóður, who oversees the parking system in Reykjavík, sends an email to the main office of GO Iceland Car Rental with all the details of the offense. The staff identifies who was renting the car and sends this information to the driver of the car. They can also go to the website of Bílastæðasjóður and see pictures of the car. The driver then has a chance to pay the fine. If that is not done, GO Iceland Car Rental pays the fine and withdraws that sum from the driver’s credit card, plus a 5,000 ISK (40 USD) handling fee as stipulated in the rental contract.

Drive safely!  #GoIceland

Disclaimer: The fines listed will change with the foreign exchange rate. These figures were valid at the time of writing (July 2025).

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Goiceland

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