It is compulsory to purchase liability and accident insurance for all vehicles from an insurance company.

  • Liability insurance covers damages suffered by others as a result of a collision for which you are at fault.
  • Accident insurance pays compensation to the driver of a vehicle if they are injured and to the owner of the vehicle if they are a passenger in their own vehicle.
  • You are free to purchase other types of insurance, such as windscreen insurance and collision damage waiver insurance. Collision damage waiver insurance covers damage to your own vehicle even if you are at fault.

Insurance companies:

Sjóvá-Almennar tryggingar

Vátryggingafélag Íslands

https://www.tm.is/

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