New analysis by OUTsurance Ireland has revealed that Irish motorists can expect to spend an average of €10,373 annually to keep an average petrol or diesel car on the road in 2025, highlighting the growing burden on car owners.
From maintenance and depreciation to fuel and parking, the cost of running a car now equates to €864 per month or approximately €28 per day.
Using Ireland’s most popular car – the Hyundai Tucson – as a benchmark, OUTsurance’s experts have compiled analysis to give the public a clear and comprehensive view of the real costs associated with motoring.
The key factors driving the cost of car ownership are:
1. Fuel (€1,560/year)
Fuel remains a significant outlay for most drivers, especially amid ongoing price fluctuations. Based on SEAI data, fuel costs €10.40 per 100km at a price of €1.76 per litre for petrol or €8.60 per 100km based on a cost of €1.68 per litre for diesel as of July 2025. For a 1.6L Hyundai Tucson travelling 15,000km annually, this translates to approximately €1,560 a year.
2. Insurance (€616/year)
According to the Central Bank’s 2024 National Claims Information Database, the average car insurance premium in Ireland sits at €616.
3. Depreciation (€6,274/year)
The steepest cost comes from depreciation. A 2024 Hyundai Tucson valued at €40,000 will have depreciated by approximately €6,274 over the course of this year, based on standard valuation tools.
4. Motor tax (€435/year)
Tax costs depend on vehicle emissions. With a range of 141–187 g/km for the Hyundai Tucson, motor tax is estimated at €435 annually.
5. NCT testing (€60/year)
Routine testing is a legal requirement. At €60 per test, most cars under 10 years old are tested every two years, averaging €30 per annum. Retests incur a €40 fee if needed.
6. Maintenance and servicing (€736/year) Annual upkeep, from regular servicing (€249) to unforeseen costs such as replacing tyres and general maintenance like car washes, totals €736 per year on average. OUTsurance’s experts have highlighted how regular upkeep and careful driving on the roads can save motorists money in this regard.
7. Tolls (€208/year)
Frequent motorway users will spend approximately €208 annually on tolls, assuming 80 trips at an average cost of €2.60 each.
With toll costs ranging from €1.70 to €3.50 depending on when a driver is travelling and which toll road they use, motorists could pay at least €208 annually on average. Careful route planning can help to avoid tolls in some instances.
8. Parking (€484/year)
Across Ireland, parking costs range from €1.20 to €5 per hour, depending on the location. As a result, the average motorist can pay for parking for around 156 hours in a year, equating to €484 annually.
Commenting on the analysis, OUTsurance CMO Ian Kennedy said: “The unforeseen costs of car ownership often catch people off guard. While most motorists factor in fuel and insurance, many overlook the expenses that can significantly add up like a new set of tires and tolls. Costs that haven’t been budgeted for can be tricky to deal with considering the impact of inflation on people’s purchasing power.
“There are many practical ways to keep these costs in check like using fuel price comparison websites and shopping around for car insurance. Many customers that switched to us have saved €97 on average. Careful driver behaviour also goes a long way as it helps reduce costs down the line. For example, regular harsh braking is only going to mean forking out for a new set of tires faster or clever route planning can also reduce unexpected out-of-pocket expenses.”
Based in New York, Stephen Freeman is a Senior Editor at Trending Insurance News. Previously he has worked for Forbes and The Huffington Post. Steven is a graduate of Risk Management at the University of New York.