Gas is not alone

Drivers are paying more at the pump as the Iran war pushes fuel prices higher. But fuel is only one piece of a much bigger car bill.

Ownership costs jumped

Navy Federal Credit Union found that car ownership costs have risen 50% since 2020, making vehicles a major source of household inflation pain.

“The rising cost of car ownership has been the big shocker of the inflation crisis”

Repairs hit hardest

Repair costs have surged 70% in five years. AAA says repairs average about $1,750 for a new car during the first five years of ownership.

“Repair costs can be hundreds of dollars, if not thousands of dollars”

Insurance adds pressure

Insurance and routine maintenance are also driving the burden higher. In 2026, full coverage averages $2,124 a year, while minimum coverage averages $816.

Older cars cost more

Americans are keeping cars longer, which often means bigger service bills. The average U.S. passenger car was 14.5 years old in 2025.

Mechanics have pricing power

Modern cars rely on more electronics and sensors, which cost more to fix. A mechanic shortage is also giving shops room to charge more.

“Good mechanics can really write their own price these days”