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Keith Vodden Dr. Douglas Smith - Transports Canada

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Social Cost of Motor Vehicle Collisions in Ontario<br />

D. COMPARISON OF SOCIAL COSTS ESTIMATES FOR 2004 AND 1990<br />

Estimates of the social cost of motor vehicle collisions in Ontario for 2004 use a<br />

similar methodology to that employed by the estimates for 1990. We compare the results<br />

of the two studies in this section.<br />

The comparison we make uses the willingness to pay approach and low estimate<br />

scenario (this results in the same modelling approach to the value of human consequences<br />

in the two studies) and excludes cost items for court costs and traffic delays not estimated<br />

in the earlier study. This comparison allows us to focus on relative changes in the cost<br />

items between the two estimates.<br />

IV-4.<br />

The distribution of total costs by comparable cost component is noted in Exhibit<br />

Exhibit IV-4 Comparison of Social Cost Estimates for 2004 and 1990<br />

Social costs in:<br />

2004 1990<br />

Fatalities 62.1% 68.1%<br />

Injuries 13.1% 13.5%<br />

Property damage 18.4% 14.7%<br />

Hospital/Health care 1.3% 1.4%<br />

Police 0.9% 0.4%<br />

Fire 0.9% 0.1%<br />

Ambulance 0.3% 0.1%<br />

Tow trucks 1.0% 0.2%<br />

Out-of-pocket 2.1% 1.6%<br />

A review by cost components suggests:<br />

• The value of fatalities and injuries both declined in the overall estimates of social<br />

cost from 1990 to 2004. In terms of total social cost, fatalities declined from 68%<br />

to 62% and injuries declined from 13.5% to 13.1% of the estimated values. In the<br />

same period fatalities per collision declined by 33% while injuries declined by<br />

11%. (Please note that this comparison uses the low cost WTP estimates. A more<br />

complete discussion of the current model’s use of higher values for human<br />

consequences is presented below.)<br />

• Property damage and out-of-pocket costs have increased in value between 1990<br />

and 2004. We feel this may reflect the higher relative value of vehicles in the later<br />

period.<br />

TNS Canadian Facts, Social and Policy Research 51

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