No sand/ash insurance? Then this would be a good time to turn back. PIC David Whelan

No sand/ash insurance? Then this would be a good time to turn back. PIC David Whelan

Ever since local car rental agencies started offering sand/ash damage insurance right after the Eyjafjallajokull volcano blew its top there is much discussion among tourists as to if the extra insurance is worth it or in fact needed.

As team Total Iceland has covered before such insurance will make you more comfortable if your way leads you to the South of the country and possibly also in parts of the highland of Iceland. Elsewhere, sandstorms are extremely rare.

But in some cases such insurance is not available and there have been instances of tourists taking a heavy hit financially after being bombarded while driving somewhere. You may well know prices generally in Iceland are quite high and this includes all kinds of repair work. For any serious repair one should expect the bill to be between 4000-6000$ / 3000-5000€. Most rental agencies expect this fee immediately upon returning the car.[blockquote type=”blockquote_line” align=”right”]there is one way to possibly lower any damage claims[/blockquote]

In case people are unfortunate enough to suffer damage to their rental car without said insurance there is one way to possibly lower any damage claims and considerably too. When the bill is presented people should ask a refund of the value-added tax most often included in bills from repair shops. This amount could be 25% of the total bill.

The reason this request should be accepted is that this tax is not something the car rental agency will need to fork out for. Such refunds have been granted in some cases we know about but it is also easy to forget to ask in which case the car rental agency will pocket the dough. At the very least ask.

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