Iceland Roads

Bridges and tunnels in Iceland: what costs money

By Stefán · Iceland Roads · Written by a local who drives these roads

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The two toll points in 2026

Iceland has exactly two tolled sections on Route 1. The first is Vaðlaheiðargöng, a 7.4 km tunnel north of Akureyri that opened in 2018 and cuts the old mountain pass off the route. The second is the new Hornafjörður Ring Road section near Höfn in the southeast, which opened to traffic on June 24, 2026 and has been tolled since September 1, 2026. Both charge 1,500 ISK per one-way trip for vehicles under 3.5 tonnes with a volume discount and a monthly cap of 18,750 ISK; at Hornafjörður the tiers are 950 ISK per trip for your 2nd to 5th trip in a calendar month and 750 ISK from the 6th to the 22nd. Heavier vehicles pay more: 2,100 ISK for 3.5 to 7.5 tonnes (cap 26,250 ISK), 4,500 ISK for over 7.5 tonnes with no cap. The two are collected differently. Vaðlaheiðargöng is paid through veggjald.is or the Veggjald app, with self-service kiosks since July 2026. Hornafjörður has no pay point at all: cameras at each end read the plate, and the registered owner gets a monthly bill from the operator, Spölur ehf. (spolur.is). For a rental that owner is the rental company, which passes the toll on to you with its admin fee, so budget for it even though you never see a barrier. The section is nearly 19 km of new road with four bridges (Djúpá, Hornafjarðarfljót, Hoffellsá and Bergá, 468 m in total) and shortens the Ring Road by 12 km, the drive to Höfn by about 14.6 km.

Vaðlaheiðargöng (Route 1, north of Akureyri)

7.4 km tunnel opened 2018. 1,500 ISK per trip for cars under 3.5 t. Volume discounts: 950 ISK (2–5 trips/month), 750 ISK (6–15 trips/month), monthly cap 18,750 ISK. Self-service kiosks added July 2026. Pay on veggjald.is or Veggjald app.

Hornafjörður Ring Road (Route 1, near Höfn)

Nearly 19 km of new road with four bridges (Hornafjarðarfljót, Hoffellsá, Djúpá, Bergá), 12 km shorter than the old alignment. Opened June 24, 2026; tolled since September 1, 2026 at 1,500 ISK per trip for cars under 3.5 t (950 ISK for trips 2 to 5 in a month, 750 ISK for trips 6 to 22, cap 18,750 ISK). No pay point: plate cameras, monthly bill to the registered owner via Spölur (spolur.is).

The free tunnel

Hvalfjörður tunnel on Route 1 in West Iceland has been toll-free since late 2018. It used to cost 1,000 ISK per trip. The tunnel saves roughly 45 minutes compared to the old fjord road around Hvalfjörður. Any guide, blog, or rental company document saying Hvalfjörður costs money is outdated; do not budget for it.

Rental insurance and tolls: the trap

This is the single most expensive misunderstanding for visitors. Every standard and premium rental insurance product in Iceland, including CDW, SCDW, Liability Waiver, and even the most expensive full-coverage add-ons, excludes tunnel and road tolls. The driver is legally responsible for payment regardless of insurance. If you pass a toll point without paying within 24 hours, the rental company receives the invoice, adds an admin fee (typically 3,000 to 5,000 ISK), and charges your credit card. Blue Car Rental’s Liability Waiver excludes toll fees explicitly, and so does every other Icelandic fleet’s standard cover we have read; check your specific agreement, but assume you are on the hook.

Two safe options exist.

Pre-register the rental plate

Register the rental car's licence plate on veggjald.is at least 24 hours before your first toll; the system will auto-charge your card.

Pay manually within 24 hours

Pay on veggjald.is or the Veggjald app within 24 hours of passing the toll point. The 24-hour window is strict; do not wait until you return the car.

Ferries (function like tunnels for planning)

Two ferry routes matter for Ring Road travellers. The Landeyjahöfn to Vestmannaeyjar crossing (operated by Herjólfur) runs year-round, takes 35 minutes, and costs roughly 12,000 to 18,000 ISK for a car with passengers depending on season; book ahead in summer. The Seyðisfjörður route connects to Denmark and the Faroe Islands via Smyril Line; it is an international ferry, not a Ring Road substitute, and costs significantly more. Neither ferry uses the veggjald.is system; they have their own booking and payment.

Quick reference

Do I need cash?

No. Vaðlaheiðargöng is paid via veggjald.is or the Veggjald app; Hornafjörður is camera-billed to the registered owner.

What if I miss payment?

Rental company charges the toll plus an admin fee (typically 3,000–5,000 ISK) to your card.

Is Hvalfjörður tunnel free?

Yes, since late 2018.

When did the Höfn toll start?

September 1, 2026. The road opened June 24, 2026 and ran toll-free for its first summer.

Can I avoid the Akureyri tunnel?

Yes; the old mountain pass Víkurskarð is free but slower, weather-dependent, and not recommended in winter.

Common questions

Is there a toll on the Ring Road?

Only two sections charge a toll: Vaðlaheiðargöng tunnel north of Akureyri and the new Hornafjörður section near Höfn in southeast Iceland, where toll collection started on September 1, 2026.

How much is the Vaðlaheiðargöng tunnel?

1,500 ISK per one-way trip for cars under 3.5 tonnes. Volume discounts apply: 950 ISK for 2 to 5 trips per month, 750 ISK for 6 to 15 trips per month, capped at 18,750 ISK per month.

Is the Hvalfjörður tunnel free?

Yes. The toll was removed in late 2018. Any guide saying otherwise is outdated.

What happens if I don't pay a tunnel toll?

The rental company receives the invoice, adds an admin fee (typically 3,000 to 5,000 ISK), and charges your credit card.

Can I pre-pay tolls?

Yes. Register the rental car's licence plate on veggjald.is at least 24 hours before travel.

Does rental car insurance cover tunnel tolls?

No. CDW, SCDW, and Liability Waiver typically exclude toll fees. The driver is legally responsible for payment.

When did the Höfn toll start?

The new Hornafjörður Ring Road section opened on June 24, 2026, and toll collection started on September 1, 2026. Cameras read your plate and the registered owner is billed monthly; there is nothing to do at the roadside.

Can I avoid the Vaðlaheiðargöng tunnel?

Yes. The old mountain pass (Víkurskarð) is free but slower, weather-dependent, and not recommended in winter.

Last updated: September 2, 2026. Toll rates and rules change; always check veggjald.is (Vaðlaheiðargöng) and spolur.is (Hornafjörður) before your trip.

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