Mazda Demio Expenses Sixth Year

In 2018 I purchased a 1300cc second hand ex-Japan Mazda Demio (manufactured in 2011). I have continued tracking the expenses, but been somewhat tardy this past year. This post is an overview of the expenses during the past six years and the changes to the assessed value of the car for insurance.

Assessed Car Value

The purchase price for the Mazda Demio in 2018 was KES 700,000 but the assessed value for comprehensive car insurance was KES 750,000. During the next three years, 2019 - 2021, the assessed value of the car dropped by about 12.6% each year. Then oddly in the last 4 years it has maintained its value at KES 500,000. 

It cannot be a coincidence that KES 500,000 is the lowest value for a car to be covered under comprehensive insurance, third party insurance for cars valued for KES 499,999 and less. Not altogether frustrated by this as I would rather have comprehensive car insurance even though I am paying much more as the annual premium doubled in 2023.

Last word on the value of the car, assuming that the shipping, taxes to the Kenya Revenue Authority and fee charged by the importer of the car in 2018 accounts for KES 400,000. Then the value of the car in Japan was approximately KES 300,000. If this is accurate then the car is artificially priced much higher in Kenya with little or none of that value attributable to ‘market forces’.   

Distance Driven

The total distance I have driven the Mazda Demio in the last six years is approximately 26,146 km. However between Sep 2023 and Aug 2024 I only drove 3,014 km, an average of 251 km a month. 

I no longer drive any of my daughters to school and live very close to the office. The car is parked at least 23 hours a day and the majority of the time only has one occupant. Very uneconomical but it is still the most efficient way to get to work each day. Just as well that I own a ‘cheap’ car.

Expenses

KES 812,662 spent in the last 6 years on vehicle running expenses, excluding the purchase, logbook and new number plate costs. This works out to approximately KES 11,286 a month, an increase from the five year expenses average of KES 10,720.

The spending by category is fuel (40.5%), car service (26.6%), insurance (20.5%), car wash (6.1%), parking (3.4%) and accessories (2.8%).

No major issues with the car this past year and the dash board warning light issue was resolved after I replaced the car battery in December 2023. I may however have an issue with the steering rack, it was thoroughly lubricated during the service done in July 2024. In the next few months it will be clearer whether the significantly more expensive option of replacing the steering rack is unavoidable.