Estimating Cost of Road Traffic Injuries in Iran Using Willingness to Pay (WTP) Method

Abstract

We aimed to use the willingness to pay (WTP) method to calculate the cost of traffic injuries in Iran in 2013. We conducted a cross-sectional questionnaire-based study of 846 randomly selected road users. WTP data was collected for four scenarios for vehicle occupants, pedestrians, vehicle drivers, and motorcyclists. Final analysis was carried out using Weibull and maximum likelihood method. Mean WTP was 2,612,050 Iranian rials (IRR). Statistical value of life was estimated according to 20,408 fatalities 402,314,106,073,648 IRR (US$13,410,470,202 based on purchasing power parity at (February 27th, 2014). Injury cost was US$25,637,870,872 (based on 318,802 injured people in 2013, multiple daily traffic volume of 311, and multiple daily payment of 31,030 IRR for 250 working days). The total estimated cost of injury and death cases was 39,048,341,074$. Gross national income of Iran was, US$604,300,000,000 in 2013 and the costs of traffic injuries constituted 6·46% of gross national income. WTP was significantly associated with age, gender, monthly income, daily payment, more payment for time reduction, trip mileage, drivers and occupants from road users. The costs of traffic injuries in Iran in 2013 accounted for 6.64% of gross national income, much higher than the global average. Policymaking and resource allocation to reduce traffic-related death and injury rates have the potential to deliver a huge economic benefit.

Cost of Road Traffic Injuries in Iran: A mini-systematic review

“…In a study that was done by Ainy, E et al 2014, according to the WTP approach, the cost of RTIs was estimated at 6.64% of GDP [12]. Also, in another study that was done by Ainy, E et al 2015, the cost of 410 drivers of public vehicles, was used as a WTP, and the cost of RTIs was estimated at 1.2% of GDP [14].…”

Cost of Production Loss for Long-term Disability due to Road Crashes

“…However, production loss can be valued [27] with the HC method. The HC method is used for the production loss while the WTP method is used for the quality of life [28]; they are therefore, complementary [25]. Thus, the HC method is chosen in For this reason, the aim of this paper is to establish the procedure for standardising the cost of lost production for victims who have been incapacitated by traffic accidents.…”

Association of Road Traffic Noise Exposure and Driving Behaviors

“…Road traffic injuries are among the leading causes of incapacitation and mortality across the world [14]. Most of the hospitalizations in the emergency department are due to traffic injuries, which are associated with substantial financial burdens directly and indirectly, constituting a major portion of the annual budget in every country [15]. According to reports, two million people die in various regions of the world due to traffic accidents, and 50 million people are also injured [16].…”