Code 41 Cam sensor, Is this a serious issue?

1992 Buick Regal - 145,000 kms
My service engine soon light has been on for around 8 months. when I first got it scanned my mechanic said I could drive the car but in the long run it may have poor emissions or bad gas/mileage. I chose not to have it repaired as it was quite a big job. Only about a month ago I started to notice that I was getting less kilometers out of a tank of gas. Normally I would get approx. 460 kms per tank/2 weeks. Now I get around 340 per tank/1week. My mechanic is not being pushy at all so I have to make a decision here and he said if they were to do the job it would cost around $1000-$1500 after taxes (he will also replace the water pump, timing set etc...while they deep under the hood.

My question is: Is this something that should absolutely be fixed or can I drive it for another two years or so without doing any damage?

Please advise,
Thank you.

Sounds like a lot of money (US) this is a 6 hour job tops, plus parts. Also how is the overall condition of the car, lots of rusted under chassis up her in salt country, look it over first, it is only worth 1500 US.

What engine do you have? It is highly recommended to change the timing set when changing the camshaft position sensor, as your mechanic had planned. My Park Ave (non-supercharged 3800) got a code 41 about a year and a half ago at about 135,000 miles. I was getting awful mileage almost instantly after the code set and the car was constantly missing and began stalling at low RPM (this was after driving it 6 months w/ the light!) I had the timing set, cam sensor and oil changed for $550, so 1000-1500 sounds quite high to me. I would get more quotes for the work and have it done to be on the safe side!

1500 is a LOT to put into a 14 year old vehicle, expecially if you plan on selling it soon. I'd cut my losses on it, and try to sell it for what I could, and drop 4000 on a nice 97 or newer Buick. (IE- Regal or PA)

If it's a 3.8, the cam sensor is in the timing cover, at about 10 o'clock referenced to the harmonic balancer. It is held on by one bolt, and costs less than $30. The magnet in the cam gear that passes by the camsensor itself can be a pain to get to, but if it's ok, your mechanic is looking at a new boat or something if he's charging you that much. If that magnet needs replacing, it can necessitate timing cover removal, which IS a major job on a 3.8.