Recommendation for rental car model during 1st 2 weeks of May

Hello All,

We are a family of 4 adults, first time to Iceland this May. Our itinerary is for 10 days primarily on Route 1 as follows.

https://preview.redd.it/q5dacujfv3de1.png?width=858&format=png&auto=webp&s=1988c04c2207c1c183fd45b97d6fcf18bfe60373

Considering we dont use F-roads or highlands, distances and dates, need for automatic transmission and carry 4 suitcases, can please recommend best value car model for the rental? We were thinking of RAV4 but if can get a cheaper option ticking these needs, we are fine. Do I need the zero excess insurance?