Costs of Owning a Hybrid Vehicle

Watching the news, commercials and hearing the general buzz about hybrids, all you hear about are the money-saving benefits of owning one of these new and miraculous eco-friendly cars. But what you don’t hear is what it’s going to cost you to actually own a hybrid vehicle. Let’s review some things you need to know, both the good and the bad, about owning a hybrid car:

Initial cost, taxes, financing and other additional costs- Hybrid cars are traditionally more expensive than their conventional counterparts by $6,000 or more dollars. In addition to the added upfront costs of purchasing a hybrid vehicle you must also be ready for the additional cost of the taxes for your purchase and the cost of premium packages, car mats and paint protectant. After all is said and done, you still have to get a loan and you’ll be responsible for paying at least 7% in finance charges on your purchase over the life of your loan.

Insurance costs-Purchasing a new vehicle means a review of your current insurance rate. Fortunately for most hybrid owners this review will actually result in a reduction of your rate, even though you are purchasing a brand new vehicle.

Maintenance- Hybrids are one of the “either or” vehicles on the market. You will either have very few maintenance costs or large maintenance bills that kill your pocket book. Regular maintenance occurs less often for hybrid vehicles because they use less gasoline which puts less stress on the fuel injectors and filters. However, the parts used in the construction of hybrid vehicles, while cheaper and lighter, are much harder to come by. Additionally, if the battery on your hybrid car fails, you’re looking at costs in the neighborhood of $4,000 or more. And if you can’t find a mechanic in your area qualified to work on hybrid vehicles you may find yourself in an even more expensive situation.

The battery pack- What’s little known to most consumers researching the possible purchase of a hybrid is the fact that the battery pack should be replaced between 80,000 and 100,000 miles, although some models boast a battery pack life of up to 150,000 miles. The entire battery pack can be replaced for $4,000+ or each individual cell can be replaced for around $180 each plus labor.

Getting a warranty- The warranties on hybrid cars are more expensive than warranties on their conventional counterparts, and of course the cost varies from hybrid to hybrid. The good thing about these more expensive hybrid warranties is that they cover the vehicle past the typical life of the battery pack in most cases. The hybrid-components on all hybrid vehicles on the current market are covered by warranty for 8 years or 100,000 miles or 10 years or 150,000 miles depending on the state you live in.

Remember, hybrid vehicles have many benefits and cash savings, but with those benefits come costs for purchase and for maintenance over the life of your hybrid.