A car costs a lot more than just the sticker price. You also have to factor in depreciation, keeping the tank gassed up, interest on a loan, insurance premiums, and repair costs. What you may not realize is that the longer you intend to keep a car, the larger percentage of that overall ownership cost will end up being spent on repairs. According to Consumer Reports, it could be as much as 8% of your total cost of ownership.
No one can argue with the fact that auto repair costs are continuing to rise. This is usually blamed on the fact that cars are becoming more complicated as technology enters into every part of the vehicle. Modern mechanics need to be electricians and computer repairmen just as much as they need to be mechanically inclined. As a result, labor costs are often in the $80-125 per hour range.
Of course, repair costs also seem to vary wildly from state to state. According to CBS News, Connecticut is the most expensive state to have repair work done in, and Michigan is the cheapest. The information came from a study that looked at more 11.5 million auto repairs in the US.
Reducing the Lifetime Cost of Vehicle Ownership
One way to reduce the lifetime cost of vehicle ownership, regardless of the state you live in or the hourly rate of your local garage, is to purchase a service contract that protects you against major repair bills. Vehicle Service Center is proud to offer the best third-party warranty options to our customers. To learn more, speak to one of our vehicle service specialists by calling 1-800-280-6708.
