The Car and Truck Fleet and Leasing Management Magazine

Study Shows Detroit, Philadelphia, and Los Angeles Most Costly Cities to Operate a Mid-Size Car

September 18, 2006

ROCHESTER, WI – Detroit, Philadelphia, and Los Angeles are the most expensive places to own and operate a typical 2007 mid-size vehicle, with yearly costs exceeding $10,600, according to the latest analysis by Runzheimer International. Driving a typical mid-size car in the Detroit area costs $12,210 per year, with Philadelphia next at $11,081, and Los Angeles in third place at $10,604. Expenses include operating costs (fuel, oil, tires, and maintenance) and ownership costs (insurance, depreciation, and license and registration fees). In sharp contrast, driving this same vehicle in Sioux Falls, Bismarck, and Grand Forks costs the owner approximately $7,700, representing a difference of $4,581 between the most and least expensive locations. The three highest cost cities in Runzheimer’s analysis of more than 100 U.S. cities all share one common factor — high auto insurance rates. Detroit rates for liability, comprehensive, and collision insurance are $5,072 annually; Philadelphia rates are $3,779; and Los Angeles rates are $3,225. There is a wide variation in the cost of vehicle maintenance across the country. Assuming normal service, maintenance, and tires for a vehicle driven 60,000 miles over four years range from a high of nearly 8 cents-per-mile in San Francisco, to a low of 4.99 cents-per-mile in Bismarck, N.D. Click here to view vehicle cost chart
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