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Accident Cost, Speed and Vehicle Mass Externalities, and Insurance

Author

Listed:
  • Lars Hultkrantz

    (Orebro University)

  • Gunnar Lindberg

    (Centre for Transport Studies)

Abstract

Traffic accidents are a human tragedy that kills 1.2 million people worldwide annually (World Health Organization, 2004). The cost of traffic accidents are huge and recent estimates for US alone suggest the cost to be USD 433 billion in year 2000 or 4.3 percentage of GDP (Parry et al, 2007). A reduction of this cost can be done in two ways, either by reducing the number of accidents or by mitigating the consequences of the existing accidents. Insurance systems can contribute to both.

Suggested Citation

  • Lars Hultkrantz & Gunnar Lindberg, 2011. "Accident Cost, Speed and Vehicle Mass Externalities, and Insurance," International Transport Forum Discussion Papers 2011/26, OECD Publishing.
    • Handle: RePEc:oec:itfaab:2011/26-en
    DOI: 10.1787/5kg29s2p5wlt-en
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    Cited by:

    1. Dementyeva, Maria & Verhoef, Erik T., 2016. "Miles, speed, and technology: Traffic safety under oligopolistic insurance," Transportation Research Part B: Methodological, Elsevier, vol. 86(C), pages 147-162.

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