Analysis and Estimation of the Social Cost of Motor Vehicle Collisions in Ontario (2007 Report)

August 2007
TP14800 E



BACKGROUND

Part of Transport Canada's mandate is to promote road safety and evaluate national safety standards. This is why the department joined the Ontario Ministry of Transportation (MTO), the Ontario Workplace Safety Insurance Board and the Ontario Ministry of Health Promotion in funding this update to a 1994 MTO study on the social cost of motor vehicle crashes.

While the 1994 MTO report focused only on Ontario, the new report – based on 2004 collision data – includes estimates for all 13 Canadian jurisdictions, as well as a national estimate.

The study measured the economic and social costs of collisions, to help governments make better decisions about road safety policies and programs.

REPORT HIGHLIGHTS

  • The study estimates that collisions cost Canada $62.7 billion each year.
    This estimate represents about 4.9 per cent of Canada's 2004 Gross Domestic Product (GDP).
     
  • The cost estimate for Ontario is $17.9 billion or 3.5 per cent of Ontario's 2004 GDP.

    The estimate of the social cost of motor vehicle collisions includes direct and indirect costs:
     
    • Direct costs relate to property damage, emergency response, hospital care, other medical care and insurance administration, out-of-pocket expenses by victims of motor vehicle collisions and traffic delays (lost time, extra fuel use, environmental pollution).
       
    • Indirect costs relate to human consequences of collisions, such as partial and total disability of victims, activity and workdays lost – as well as the pain and suffering of victims and their families.
       
  • The full report can be viewed at:

    Analysis and Estimation of the Social Cost of Motor Vehicle Collisions in Ontario - Final Report - (PDF format - 856 KB)