Damaged vehicles and repair process

Definition of a damaged vehicle

A damaged vehicle is a vehicle that has suffered damage that can affect its driving characteristics and driving safety. If such damage occurred to a vehicle, it shall be defined and labelled as a damaged vehicle and its use shall be prohibited. Such a vehicle may not be put into traffic again unless it is repaired by an approved repair workshop.

• Please note that the labelling of the damaged vehicle covers all categories of vehicles, whether they are a car, motorcycle, trailer, traction machinery or off-road vehicle.

In general, if a vehicle is suddenly hit by a collision or roll-over, causing a structural damage or damage to the wheels, axles or suspension, it should be labelled as a damaged vehicle. The same applies if its safety equipment is activated during a collision or from other reasons, such as a safety pad in the steering wheel.

Notification and labelling of the damaged vehicle

Damaged vehicles are reported to the Icelandic Transport Authority (see also labelling of damaged vehicles on import).

• The police reports damaged vehicles when they are called on scene. The vehicle owner (operator) may request a re-evaluation in those cases.

• The tax authorities (customs office) shall notify a damaged vehicle in cases where import data or other information indicates that an imported vehicle may be damaged. The owner (operator) may request a re-evaluation.

• Insurance companies report damaged vehicles that are involved in their insurance cases. The registration of damage vehicles in those cases is final (no re-evaluation can be requested).

• The owner of a vehicle is also entitled to report it as a damaged vehicle. The Icelandic Transport Authority assesses the validity of such notifications.

The labelling of damaged vehicles in the vehicle register will therefore be twofold;

• "Damaged Vehicle I" (tjónaökutæki I) in cases where the owner (keeper) is authorised to request a re-evaluation; and

• "Damaged Vehicle II" (tjónaökutæki II) in cases where no re-evaluation may be requested.

Re-evaluation of the damaged vehicle

If the owner of a vehicle that has been labelled as "Damaged Vehicle I" disagrees with the police or the tax authorities (the customs office) the vehicle may be re-evaluated at an inspection station within 20 working days from the labelling of the vehicle as a damaged vehicle.

• Only vehicles labelled as "Damaged Vehicle I" may be re-evaluated.

Re-evaluation may result in the cancellation of the damage labelling or the vehicle being labelled as "Damaged Vehicle II". See more information here.

Repair of a vehicle

If a vehicle has been labelled as "Damaged Vehicle II" it must first be repaired at an approved workshop and then put into traffic again.

After the repair is completed, the repair shop informs the Icelandic Transport Authority that the repair is completed. The labelling of "Damaged Vehicle II" is then annulled but it is still always visible in the vehicle's registration data. You can get information from the Icelandic Transport Authority which workshop performed the repair.

Entry into service after repair

After the repair of a damaged vehicle, carried out by an approved repair shop, it must be inspected at an inspection station. The result of the inspection must be "Without remarks" or "Minor remarks" in order to allow the vehicle to be put into traffic again.

Cost

• The fee that an approved workshop must pay to the Icelandic Transportation Authority for the labelling of "Damaged Vehicle II" to be annulled is 1.071 ISK.

• You must pay the inspection station for the inspection it performs.

• If re-evaluation is requested at an inspection station, you must pay for that at the inspection station.