I have a Fluke at work, but if I'm spending my own money I'm not laying out Fluke kind of money. Fluke is quality, but for residential use it isn't a value IMHO.
That being said, the Centech ones I have are pretty much garbage and I've seen them fail. Good for leaving in the car, but not something you want to rely on. It has nothing to do with accuracy, it is more a matter of durability. (A broken multimeter isn't very accurate if it can't turn on).
As much as I dislike anything Craftsman that has a motor or is electrical, my DVM ($30-50) has held up well for several years. I notice Klein has midrange multimeters as well at Lowes/HD. I have no idea who makes the Craftsman or the Klein. I'm more inclined to trust something with the Klein name on it, however, I don't have any personal experience with it.
I guess the point being, for home use I would avoid both extremes (Fluke on the high end and Centech on the low) and get something in the middle for under $50. I'll probably try the Klein for my next DVM purchase since I don't want to push my luck with another Craftsman electronic tool.
Yes, the thing that HF meters do lack is protection. If you overload it in any way, or have it on the wrong setting or something, they pretty much blow for good. No one should ever rely on one as their main meter. But for free-$4, it's worth it to have.
I know that Extech makes a lot of meters for Craftsman.
I'd venture to say a lot of DIY'er automotive guys who tout the cheaper meters are probably not doing much more testing than checking the battery and simple "beep testing"?
Sensors can be a whole separate topic where a few 10ths of a volt is the difference between go and no-go. You probably aren't going to do diode ripple testing of an alternator with a cheap non-rms meter either. Recall trying 3 of them, reading 32volts AC on battery. Same goes for resistance testing of many temp sensors. What about those quick tps glitches I missed? Or chipped reluctor teeth?
My $20 meter does pretty much everything I need it to do, except for true-RMS readings, which is really the only thing I want to get in my next meter. You're right though, I tried it to try and test for AC current coming from my alternator as a diode test, and it was going crazy, and was pretty much useless.
I've never had a problem testing TPS's, however, I'm not a pro or anything. My meter reads down to 2 decimal places, which is actually the same level my car's computer reports TPS voltage readings to my OBD II software. I also use the ohm scale for TPS testing.
My Haynes manual is full of proper ohm ranges for various sensors in the car.
Extech makes some good meters that have true-RMS for around $50-$100. That's actually the brand I'll be looking at for my next meter.