Two women from the UK were vacationing in Iceland in November 2012 when they found the rental car they were driving was badly damaged by blowing sand in Djúpivogur, in the East of Iceland.
According to a report from the European Consumer Centre (ECC) when the two women went to return their rental car in Keflavík they were charged 800,000 ISK for the estimated repair costs for the windshield and body of the car. The women claim they were never offered insurance covering them against sand damage, an extra option offered by most, if not all rental car companies in the country. If they had purchased such insurance for 10,000 ISK they would have had to pay only a deductible of 170,000 ISK for the damages.
After lodging a written complaint with the rental company the women were offered a refund of the difference, however according to RÚV, they have yet to receive the money.
So if you’re renting a car in Iceland, maybe think about springing for that extra insurance.