An analysis of official road crash cost estimates in European countries

Abstract

This paper gives an overview of official monetary valuations of the prevention of road crashes, road fatalities and injuries in 31 European countries. The values have been made comparable by converting them to Euro in 2015-values, adjusted by purchasing power parities. The monetary valuation of preventing a fatality varies from 0.7 to 3.0 million Euro. The valuation of preventing a serious injury ranges from 2.5% to 34.0% of the value per fatality and the valuation of preventing a slight injury from 0.03% to 4.2% of the value of a fatality. Total costs of road crashes are equivalent to 0.4–4.1% of GDP. The method used for obtaining valuations has a major impact on values. Most countries rely on the willingness-to-pay (WTP) approach, which gives higher valuations than other methods. Additional explanations for variations in valuations are differences in the cost components included, different definitions of serious and slight injuries and different levels of underreporting. Harmonization of valuation practices is needed for making sound international comparisons of road crash costs and for cost-benefit analysis at supranational level.