Societal Costs of Traffic Crashes and Crime in Michigan: 2017 Update

Abstract

Michigan-specific monetary and nonmonetary quality-of-life costs for victims of index crimes (murder, rape, robbery, aggravated assault, burglary, larceny, and motor vehicle theft) and traffic crashes were estimated by experts in the field of economics of traffic crashes and crimes. Monetary costs include costs of medical care, future earnings/lost wages, public services, adjudication and sanctioning, and property damage and loss. Quality-of-life costs are based on the current U.S Department of Transportation value of statistical life, which increased substantially compared to previous editions of this study. The unit costs for crimes and crashes were computed in a comparable manner. These unit costs were applied to 2015 Michigan traffic crash and index crime incidence data to estimate dollar losses from traffic crashes and index crimes to the state and for each county within the state. Crash costs associated with alcohol-involved traffic crashes, crashes with unrestrained occupants of passenger cars, teen-driver-involved crashes, motorcycle crashes, and large truck crashes were also calculated. Findings indicate that Michigan index crimes in 2015 resulted in $2.0 billion in monetary costs and $8.0 billion in total (monetary and nonmonetary quality-of-life) costs. Overall traffic crashes in Michigan in 2015 resulted in $4.6 billion in monetary costs and $19.3 billion in total costs. Of these costs, alcohol-involved crashes accounted for $793 million in monetary costs and $3.9 billion in total costs. Injury-crash involved unrestrained occupants accounted for $506 million in monetary costs and $2.6 billion in total costs. Crashes involving teen drivers accounted for almost $748 million in monetary costs and $3.2 billion in total costs. Motorcycle-involved crashes accounted for $330 million in monetary costs and $1.8 billion in total costs. Crashes involving large trucks accounted for $364 million in monetary costs and $1.3 billion in total costs. Based on dollar losses