I have a Canon PowerShot A95 that has provided very good service for four years. But recently, the color and images are very distorted in some photos - faded purple in color with the image blurred or melted, sometimes icicle-like or stalactite-like in appearance. This occurs in both outdoor and indoor shots. These distortions do not occur in every shot, but have increased in frequency. This is the only problem I have ever had with this camera.

Its common issue of ccd imager chip defect with Canon A95 camera and Canon offers free of cost ccd imager chip replacement.
Click Canon ccd image advisory for details.
Thanks.

If the menus and icons look normal, but images are distorted or discolored, you may have an image sensor (CCD) problem. See Canon's service notice regarding this issue here. Canon will repair your camera at no cost regardless of warranty. Contact them at your regional Canon service agency.

If you can see the menu icons on the LCD, and can view earlier photos from your memory card, you probably have an image sensor (CCD) failure. See this link for details. If Canon determines that this is the problem, they will repair your camera at no cost, regardless of warranty status.

When downloaded to your computer, are the photos also distorted? If so, this sounds like it might be a defective CCD imager. Canon should fix this for you for free, including free shipping both ways. This is regardless of your camera's warranty status. Please check this link for more info.
Applicable cameras include:
A40, A60, A70, A75, A80, A85, A95, A300, A310, S1 IS, S60, S200, S230, S330, S400, S410, S500, SD100, SD110, IXUS V2/300/400/430/500, IXY Digital 30/30a/200a/300a/D320/400/ 450/500

I don't blame you for wanting to keep it, the A95 was and still is a great camera. This problem sounds like it might be a defective CCD imager. If so, Canon should fix this for you for free, including free shipping both ways. This is regardless of your camera's warranty status. Please check this link for more info.
Applicable cameras include:
A40, A60, A70, A75, A80, A85, A95, A300, A310, S1 IS, S60, S200, S230, S330, S400, S410, S500, SD100, SD110, IXUS V2/300/400/430/500, IXY Digital 200a/300a/400/450/500

No this definitely sounds like symptoms of a defective CCD imager. If so, Canon should fix this for you for free, including free shipping both ways. This is regardless of your camera's warranty status. Please check the following two links for more info:
　
http://camerarepair.blogspot.com/2007/11/canon-digital-cameras-showing-black.html
　
http://www.usa.canon.com/consumer/controller?act=PgComSmModDisplayAct&fcategoryid=225&modelid=13390&keycode=2112&id=29819
　
Applicable cameras include:
A40, A60, A70, A75, A80, A85, A95, A300, A310, S1 IS, S60, S200, S230, S330, S400, S410, S500, SD100, SD110, IXUS V2/300/400/430/500, IXY Digital 200a/300a/400/450/500

And even if it's determined not to be a CCD sensor problem, just tell them to send it back unrepaired. The A85 is a nice camera, but my goodness you can almost get a good new camera these days for $80.

It is the manufacturer defect. Sensor failure, it will be rpaired freely if take it to canon service center.

Defective ccd imager!! company will replace this ccd imager free of charge. Year 2002 up to 2005 released unit has a factory defect ccd imager. the company recalled those units and replaced with a stronger version of ccd imager ( they are still doing it). check it out.

This is a switch problem how old is it - will it go back under warranty? Get onto the Canon Technical Support

This sounds like a budding CCD problem that Canon is aware of. Canon is replacing the defective CCD at no charge. Go here for the link and more details on getting a free mailing label: http://www.usa.canon.com/consumer/controller?act=PgComSmModDisplayAct&fcategoryid=223&modelid=8044&keycode=2112&id=29819