Bad news: Fuel prices skyrocket Good news: Cost of repairs down - Ford Forums

GMACK24 · 03-30-2005, 21:49

Bad news: Fuel prices skyrocket Good news: Cost of repairs down
PVT

Although gas prices have soared in the past month, there is good news out there for motorists, according to AAA Nevada's annual report on the cost of driving a vehicle.

Despite higher gas prices, a drop in other automotive-related expenses means the average cost of driving a vehicle in the U.S. is nearly unchanged from one year ago.

AAA Nevada estimates this year it will cost an average of 56.1 cents per mile, or $8,410 per year to own and operate a new passenger vehicle, compared to 56.2 cents or $8,431 in 2004.

Offsetting higher gas costs are overall reductions in the annual average cost of insurance, licensing, registration, taxes, tires and maintenance. The cost of gas this year is estimated at $1,285 per year, versus $975 in 2004, the report stated.

AAA calculates the average costs of all expenses associated with owning and operating a vehicle more than five years and 75,000 miles of driving using a compact, mid-size and large vehicle. Covered expenses include vehicle depreciation, insurance, fuel, tires, license, registration and taxes, vehicle funding, routine maintenance and repair.

Vehicle depreciation, insurance and routine maintenance are at the top of the list as most expensive costs to driving a vehicle. AAA estimates the average new car will depreciate $3,879 per year of ownership, compared to $3,782 in 2004. The second largest expense is full insurance coverage at an average of $1,288 per year, compared to $1,603 last year.

Routine maintenance, such as the manufacturer's recommended operations and tire expense, is estimated at 5.9 cents per mile, compared to 6.1 cents per mile last year.

To conduct its study, AAA used three domestically built 2005 cars: a subcompact Chevrolet Cavalier LS, a mid-size Ford Taurus SEL and a full-size Mercury Grand Marquis LS. Each vehicle includes air conditions, automatic transmission, power steering, AM/FM stereo, dual air bags, antilock brakes, cruise control, tilt steering wheel, tinted glass and a rear-window defogger.