From our Network:
Start your engines! Driving.ca is Canada's leading destination for the latest automotive news, reviews, photos and video.
Find out more ›
This advertisement has not loaded yet, but your article continues below.

Honda is tops for lowest repair costs, while EV bills are double those of gas cars

How much a vehicle costs in its first three months can indicate how much you'll spend down the road

Honda has the lowest average costs for service and warranty on its new vehicles among non-premium brands, while its Acura brand is tied with Lexus for premium brands. Meanwhile, electric vehicles (EVs) average twice as much in repair costs as conventional vehicles, and nearly three times as much as hybrids.

Story continues below
This advertisement has not loaded yet, but your article continues below.
That’s from an inaugural report from analytics company We Predict, based in Michigan. The report, Deepview True Cost Report, looked at service records for model-year-2021 vehicles after three months from delivery.

The report looked at more than 801,000 vehicles across 306 models, covering 1.6 million service or repair orders. The visits included warranty, recalls, diagnostics, software updates, and maintenance, although since the vehicles were so new, maintenance accounted for only 8 per cent of the costs. The report looked strictly at repairs, and did not factor in fuel, insurance, or other costs.

Story continues below
This advertisement has not loaded yet, but your article continues below.

On average, non-premium vehicles averaged US$33 in repair costs during those three months, while premium vehicles were US$69. The average parts cost for EVs was US$65, compared to US$28 for gasoline vehicles, and US$24 for hybrids. Average labour cost for EV repairs was US$58, while gasoline vehicles came in at US$25, and hybrids at US$22.

The report focused on U.S. service records, but Renee Stephens, We Predict’s vice-president of North American operations, told  Driving.ca that “problems that manifest in the U.S. also manifest in Canada.” Some cold-weather problems have higher frequency rates in Canadian provinces, “but…outside of currency conversion rates, issues are similar.”

Honda averaged US$21 in average costs by vehicle, well below the industry average of US$42. It was followed by Hyundai at US$22; Buick at US$24; and Toyota at US$24. Other automakers with costs lower than the average, in order, were Subaru, Mazda, Nissan, Kia, Volkswagen, and Chrysler. Jeep was the first higher than the average, at US$43, followed in order by Ram, Dodge, Mini, Ford, Chevrolet, and, at the highest, GMC at US$132.

Story continues below
This advertisement has not loaded yet, but your article continues below.

Among premium brands, Acura and Lexus tied at US$30 per vehicle, below the industry average of US$84. Other brands below it, in order, were Infiniti, Volvo, Genesis, and Audi. Lincoln was higher than the average at US $91, followed in order by BMW, Mercedes-Benz, Land Rover, Cadillac, and finally by Porsche at US$167. (Tesla’s Model 3 was rated individually in its segment, but due to insufficient data, Tesla itself was not rated among brands.)

Among non-premium brands, the least-expensive cars to repair were the Honda Civic (compact), Chevrolet Spark (small), Honda Accord (midsize), and Chrysler 300 (full-size). For premium brands, they were the Acura ILX (compact), Lexus LC (compact sporty), Genesis G80 (midsize), and BMW 8 Series (midsize sporty).

Story continues below
This advertisement has not loaded yet, but your article continues below.

For non-premium SUVs and vans, the least-expensive were the Ford EcoSport (compact), Nissan Murano (midsize), Toyota Sequoia (large), and Kia Sedona (van). The least-expensive premium models were the Lexus UX (compact), Lexus GX (midsize), and Infiniti QX80 (large). For pickup trucks, the least-expensive were the Ford Ranger (midsize), Ram 1500 (large), and Ford F-250 (heavy-duty).

The least-expensive non-premium EV was the Chevrolet Bolt, followed by the Nissan Leaf and Kia Niro. For premium EVs, it was the Audi e-tron, then the Audi e-tron Sportback, and Tesla Model 3. Since there are relatively few EVs on the market compared with conventional vehicles, We Predict used data from 2020 and 2021 models.

Story continues below
This advertisement has not loaded yet, but your article continues below.
So why are EVs so much costlier to fix than gasoline vehicles, especially when they have fewer moving parts? Stephens told Driving.ca it’s due to several factors, including that “five of the top parts serviced were EV-specific parts, which are new and high-cost. Some are sealed and cannot be serviced, and are typically swapped out.”

She added that the cost of parts is only part of the story, as “labour costs were also double. Technicians spent a lot longer diagnosing and confirming repairs on electric vehicles, in many cases billing additional hours on top of standard time paid for by manufacturers [under warranty]. They called in to automakers’ headquarters to talk directly to engineers, conducted multiple test-drives, and documented that they were taking longer to fix these models, to ensure they (were) making the correct repairs. Another factor that added cost is that the technicians that work on these vehicles were highly certified, resulting in higher rates.”

Story continues below
This advertisement has not loaded yet, but your article continues below.

For the report overall, although it only covers a short period, We Predict said that its predictive analytics show that problems in the first three months of service often indicate what will happen in future — or, as CEO James Davies put it, “Vehicle quality doesn’t get better with age.”

Car mechanic inspecting an engine Photo by Shutter2U /Getty

Davies said that actual service costs per vehicle in the study ranged from US$4 to US$401, and noted that the “true cost at three months on the road are multiplied by 15 at 36 months, on average; and 20 times by five years in service.”

The report also noted that higher costs do not necessarily mean more problems, stating that a vehicle might have fewer issues than others in its segment, but its components may cost more, or be more challenging to repair, which drives up labour costs.

This Week in Flyers