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The '95 specifies 70,000mi belt changes, but it has been my experience that every belt change after the first should be done at 50% of the previous belt change. This means the first change is at 70K, the next at 105K, etc. UNLESS you also change all of the drive sprockets.
Many folks think it is only the belt that wears, but in reality the teeth on the sprockets, being made of aluminum, wear on their edges. This eventually will allow the belt to "corn cob" or wear the teeth off of the reinforced belt so the belt slips timing.
Two teeth of slip + $12,000+ if you take your car to the dealer after a valve/piston encounter. Volvo will not rebuild an engine thus damaged, and you're looking at a new engine. An independent mechanic will probably get you out the door under $6000, however.
These engines are wonderful pieces of machinery, but they really don't belong in a "family car," which is what Volvo eventually figured out by dropping the 960 Series. They are fairly rare, in fact, compared to other models. Dealers are not that familiar with their weak points and don't stock many parts for them. Parts are breathtakingly expensive for them (the engines) as well. They do use a somewhat similar engine in the FWD/AWD series cars, but they redesigned the valve lifter design to eliminate the "pump-up" that destroys engines in teh hydraulic lifter engines (like you have).
So...change your belt AND the sprockets (and water pump, oil pump bolt, tensioner and idler bearings), and DO run synthetic oils (or your valves will stick, hit the pistons, and "end-of-engine"), and NEVER start the car and drive it less than 5 miles (valve stems varnish and stick), and ALWAYS drive it hard (4000-5000 rpm for 5 minutes) every few weeks unless you regularly drive long distances on Interstate highways. You need this to get the valve stems clean and to rotate the valves for even wear. It's generally the city-driven cars that only make it to 70,000miles before the engines are shot.
PLEASE don't let me discourage you, however. While only one out of three 960s make it to 100,000 miles (and one in ten makes it to 150,000mi), they are capable of making over 200,000 miles IF every service procedure is strictly adhered to and no shortcuts are taken. Believe me, it's lots easier to pay $2500 per year to properly maintain your car than to get hit with a $12,000 engine repair bill. This car is definitely NOT a car you only change the oil on. It lives on proper maintenance. In fact, no one should even consider buying a 960 without full a maintenance history. Anyone who doesn't keep records probably doesn't do all he maintenance, either.
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