Hyundai, Buick and Toyota have low costs of service, but it seems that Honda takes the cake this year. With the lowest U.S. service and warranty costs of all non-premium car brands this year, Honda ranks number one for the lowest total cost of service. In fact, the total service and warranty costs are calculated within the first three months of operating a Honda.
Honda, according to We Predict, averaged just $21 in annual service and warranty costs in 2021. The comparative average of all non-premium car brands is $42, after the first three months on the road – double Honda’s average.
The service costs for electric vehicles (EVs) within the first 90 days is much more than Honda’s. In fact, battery-powered cars cost more than twice the amount of gasoline and hybrid vehicles in the first three months. We Predict puts the average cost for EVs in the first three months at $123 while gasoline cars are at $53. Most impressive though, are hybrid cars which are $46 on average. Electric vehicles also have a higher cost for parts of labor, repairs, and service. In addition, the cost for EVs within the first 90 days is of the utmost importance as it predicts how much the vehicle will cost in the future. The cost after 36 months is about 15 times the initial three-month costs, and after 60 months it’s 20 times the three-month cost.
Car brands with low initial service costs, like Honda, are expected to be the cheapest over time. Using data from the initial months of the purchase of a vehicle allows automotive companies to reduce warranty costs, identify problems earlier, and ensure customer satisfaction.