AA reveal staggering cost of running a car in 2015

TrendingBy Morgan Flanagan Creagh
AA reveal staggering cost of running a car in 2015

The rising price of insurance has driven the average annual cost of running a car to a whopping €10,600.

The new study conducted by AA Ireland shows that insurance premiums have shot up by 20 per cent in 2015.

AA Ireland director of consumer affairs Conor Faughnan said: "This is the biggest one-year rise in insurance prices in well over a decade."

“It marks a big change in the market with insurers nervous about rising claims and bout improving their reserves.”

While the total cost of running a car is down on last year the AA says costs are still very high and blame insurance hikes.

"All prices are rising, but if you have had no claims or points in the year and have done nothing wrong, it feels unfair,” said Mr Faughnan.

"Unfortunately, the trend is set to continue for the rest of the year and into 2016 in the AA's view.”

The AA said the average price of petrol, which is currently 145.3 cent-per-litre, is just over seven per cent less than it was last year.

Motor fuel costs will work out at €1,761, with 60pc of this cost made up of State taxes.

The AA calculates that drivers spend €4,000 on the cost of parking, or a garage, and other motoring expenses.

The average price calculations are based on a driver without any no-claims bonus.

The cost of depreciation for a band B car was €1,684 for this year and the average motor tax is €270.

The AA calculates average prices for each of the respective tax bands and illustrates the cost of running an average family car annually.