Why Car Repairs Are Getting More Expensive – and How to Avoid Big Bills
Today’s vehicles are more intelligent, safer, and significantly more expensive to repair.
It wasn’t long ago that a determined vehicle owner could handle basic repairs at home. Replacing an alternator? Just grab a manual or search YouTube, pick up the part, and spend an afternoon in the garage.
But what happens when your vehicle’s infotainment screen goes black or your blind-spot monitor fails? Suddenly, you’re looking at complicated (and costly) vehicle repairs that can run into the thousands.
Let’s take a look at why vehicle repair costs are skyrocketing in 2025 and how you can protect yourself from the financial hit.
🔧 4 Reasons Car Repairs Are More Expensive Than Ever
Vehicles today are more complicated and specialized than ever before, and that trend isn’t going to slow down anytime soon. While these changes have made them more fun and luxurious, they have also made them more difficult and expensive to repair.
1. High-Tech Systems & Sensors
Modern vehicles feature Advanced Driver Assistance Systems (ADAS), which include radar, cameras, and infotainment modules. These parts aren’t plug-and-play—repairs often require:
- Specialized diagnostic equipment
- Expert technicians
- Calibration and sometimes full replacements
Here are some real-world repair examples from actual extended warranty claims:
- Running board motor: $1,200
- Front radar obstruction sensor: $1,600
- Instrument cluster: $3,650
- Navigation/infotainment system: $5,900
- Blindspot monitor: $2,200
- Rear electric door lock failure: $1,300
- Back-up camera: $850
- Side-view mirror cameras: $1,050
And these are just single-component vehicle repairs.
2. Complex Plastic Components
To improve fuel efficiency and reduce manufacturing costs, automakers are using more plastic components, especially inside the engine bay and dashboard. Unfortunately, these parts degrade faster and are often deeply integrated, which increases labour costs dramatically during disassembly and reinstallation.
3. Repair Times and Labour Shortages
Shortages of trained technicians result in longer wait times and higher labour costs. Even a “simple” repair may take hours, translating to significant bills.
4. Insurance and Total-Loss Thresholds
Thanks to expensive sensors and lightweight aluminum frames, even minor fender benders can push the cost of repairs above the vehicle’s value.
In the U.S., 27% of collision claims now result in total losses, and Canada is following a similar trend.
🚙Not All Vehicle Brands Are Created Equal
Some cars break down more often. Others are just more expensive to fix. Do some research with resources like Consumer Reports before committing to a make or model.
For example:
- A Ford F-150 (Canada’s best-selling vehicle) has widely available parts and aftermarket options.
- A Jaguar F-Pace, on the other hand, may require specialty components, imported parts, and longer wait times.
When considering your next vehicle, remember that the total cost of ownership includes more than just fuel and insurance—it also includes potential repair costs. According to the CAA Car Repair Estimator, repair costs in Canada can vary significantly by vehicle make, repair type, and location, making unexpected expenses even harder to predict.
🧰 5 Smart Ways to Keep Repair Costs Under Control
1. Stick to your maintenance schedule
Regular servicing prevents breakdowns. Think oil changes, fluid flushes, and belt inspections.
2. Choose brands with affordable repair profiles
Mainstream brands have lower parts and labour costs. Luxury or niche vehicles tend to cost more to fix.
3. Shop around for reputable mechanics
Always get a second opinion. Labour rates vary widely between dealerships and independent repair shops.
4. Consider aftermarket or remanufactured parts
They’re often cheaper and just as reliable. Just make sure they’re sourced from reputable suppliers.
5. Add extended warranty protection
Extended warranties like those from Obvi are based on real-world vehicle repair data. That means fair pricing and the peace of mind that you’re covered if something goes wrong.
Why Obvi’s Extended Warranty Makes Sense
Adding an extended warranty to your vehicle can save you a significant amount of money in the long run. Repair costs aren’t declining. Between sensor-laden systems, plastic components, and labour shortages, repairing even minor issues can be financially taxing.
Obvi offers extended vehicle warranties that are designed with real claims data, not guesswork. We keep premiums low by factoring in your make and model’s actual repair history, not inflated averages.
With Obvi:
- You buy online—no pressure, no hidden fees
- You avoid surprise repair bills
- You skip the high dealer markups
Want to protect your vehicle from surprise repairs? Get an instant online quote now.
It takes just a few minutes, and could save you thousands.