Measurement of Accident Risk and a Case Study from Hungary

Abstract

For the cost-benefit analysis of road safety measures, it is essential to estimate the national value of statistical life. By calculating the updated values, it is possible to assess the aggregate national value of statistical life for road traffic crashes, thereby also characterizing the road safety situation in the country. It is important that the values set and the methods used are compatible with the practices of the European Member States. It must be stressed that updating the values is of major importance both for the cost-benefit analysis of the various road safety measures and for raising public and decision-makers' awareness of the huge losses. The full identification and use of loss figures is an important element of road safety. In this article we present possible methods for estimating the value of statistical life.