Study shows economic impact of U.S. vehicle crashes reaches $230.6 billion - Public Information and Information Exchange - National Highway Traffic Safety Administration - Brief Article - Statistical Data Included

Public Roads, July-August, 2002

A comprehensive new study released on May 9, 2002, by DOT's National Highway Traffic Safety Administration (NHTSA) shows that the economic impact of motor vehicle crashes on America's roadways has reached $230.6 billion per year, or an average of $820 for every person living in the United States. The new report, based on calendar year 2000 data, calculates the U.S. economic costs of an average roadway fatality at $977,000 and estimates the economic costs associated with a critically injured crash survivor at $1.1 million.

"This new report offers further proof of the enormous toll America faces each year due to death and injury on our roadways," said Transportation Secretary Norman Y Mineta. "It underscores the compelling need for all of us--individuals as well as government--to strengthen our commitment to highway safety."

The NHTSA study highlights the vital importance of seat belts. The use of seat belts prevents an estimated 11,900 fatalities annually and 325,000 serious injuries, saving $50 billion in medical care, lost productivity, and other injury-related costs. Conversely, the failure of crash victims to wear seat belts leads to an estimated 9,200 unnecessary fatalities and 143,000 needless injuries, costing society $26 billion.

The report underscores the huge economic expenditures associated with alcohol-involved crashes, which resulted in an estimated 16,792 fatalities in 2000 and 513,000 in nonfatal injuries--amounting to $50.9 billion in economic costs. Alcohol-related crashes account for 22 percent of all crash costs. The impact of alcohol involvement increases with injury severity. Crashes linked to alcohol accounted for 46 percent of fatal injury crash costs, 21 percent of nonfatal crash costs, and 10 percent of the costs in crashes involving property damage only.

The study determined that excessive driving speed is associated annually with 12,350 fatalities and 690,000 nonfatal injuries, representing 30 percent of all fatalities and 13 percent of all nonfatal injuries. Crashes in which at least one driver was exceeding the legal speed limit or driving too fast for conditions totaled $40.4 billion in 2000, or $144 for every person living in the United States.

The NHTSA study, The Economic Impact of Motor Vehicle Crashes 2000, also estimates the annual economic cost of roadway crashes:

* $61 billion in lost workplace productivity

* $20.2 billion in lost household productivity

* $59 billion in property damage

* $32.6 billion in medical costs

* $25.6 billion in travel delay costs

All told, the cost of motor vehicle crashes in the United States has reached 2.3 percent of the U.S. gross domestic product.

The new study is available on NHTSA's Web site at www.nhtsa.dot.gov.