I'm in the same boat, the Volvo remote alarm system does not last as long as the car does so I would go for an aftermarket unit. They are fairly easy to fit if you know where the alarm connector is (behind the glove box), but you will have to join wires tothe new system and identify them. Mainly you are looking for power and the locking wire. The starter motor immobiliser will be bridged so this is also easy to identify too if you want to integrate it. Then difficulty depends on how many other sensors and systems you want to have.
If you are not that confident with the electrics it should not be too hard to find someone to fit it.
If you have 96MY you already have a seperate RFID immobiliser in the key.
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