The social costSocial Cost of road crashesRoad Crashes and injuries 2016Injuries 2015 update has now been published.was released in March 2016.
ItThe report finds that the total social cost of motor vehicle injury crashes in 20152014 is $3.79estimated at approximately $3.47 billion (up by 7.4 per cent5.8 percent from $3.53$3.28 billion in 2014)2013), at June 20162015 prices. This estimate covers all injuries recorded by NZ Police, hospitals and ACC.Accident Compensation Corporation.
This reflectsThe increase in social cost was largely attributable to a 9 per cent16 percent increase in the total number of fatalities (293(from 253 in 20142013 to 319294 in 2015),2014) and a 3 per cent4.6 percent increase in the estimated total number of serious injuries (3,668(from 3,504 in 20142013 to 3,7913,667 in 2015) and2014). Over the same period, there was a 10 per cent increase6.4 percent reduction in the estimated total number of minor injuries (30,443(from 32,007 in 20142013 to 33,49729,968 in 2015).2014).
Read an overview of the 20162015 report
Read the questions and answers on the report
Download the full 2016 report Read the Associate Minister of Transport Hon Craig Foss’ media release announcing the updates
Download reports from previous years:
- Social Cost of Road Crashes and Injuries June 2015 update
- Social Cost of Road Crashes and Injuries June 2014 update
- Social Cost of Road Crashes and Injuries June 2013 update
- Social Cost of Road Crashes and Injuries June 2012 update
- Social Cost of Road Crashes and Injuries June 2011 update
- Social Cost of Road Crashes and Injuries June 2010 update
- Social Cost of Road Crashes and Injuries June 2009 update
- Social Cost of Road Crashes and Injuries June 2008 update
- Social Cost of Road Crashes and Injuries June 2007 update
- Social Cost of Road Crashes and Injuries June 2006 update
About the report
The social cost of a road crash and the associated injuries include a number of different elements:
- loss of life and life quality
- loss of output due to temporary incapacitation
- medical costs
- legal costs
- property damage costs
Injury costs are classified into fatal, serious and minor injuries as reported by crash investigators.
The average value of a loss of life is estimated by the amount of money that the members of the New Zealand population would be willing to pay for a safety improvement that results in the expected avoidance of one premature death 1 . It is a measure of the pain, suffering and loss of life component of the social cost.
The value of statistical life (VOSL) was established at $2 million in 1991, following a willingness to pay (WTP) survey carried out during 1989/1990. It is indexed to average hourly earnings (ordinary time) to express the value in current prices. The same VOSL has been used in all safety evaluations across all three transport modes (road, maritime and aviation).
Medical costs can be further broken down into emergency costs, medical/hospital treatment costs and follow-on costs. Legal costs include crash investigation, imprisonment and court costs.
The social cost of road crashes and injuries is updated annually. Please contact info@transport.govt.nz for copies of earlier reports.
[1] This is the willingness to pay based value of statistical life.