No-Fault Insurance and Automobile Accidents

by Paul Heaton, Eric Helland

Download eBook for Free

FormatFile SizeNotes
PDF file 0.2 MB

Use Adobe Acrobat Reader version 7.0 or higher for the best experience.

Abstract

Removing accident liability through a no-fault system may only have minor effects on driver care, yet existing studies assessing whether no-fault auto insurance requirements increase accidents use fatal accidents as the primary outcome. In this paper the authors estimate the effect of no-fault on overall accident rates using detailed data from police accident reports in New Jersey, North Carolina, and Utah. They focus on accidents involving out-of-state drivers and account for differences in driving prevalence using accidents beyond the control of the driver. Controlling for a wide variety of accident, driver, and vehicle characteristics, they find little evidence that drivers under no-fault cause more accidents. Results on accident severity are mixed.

The research in this report was conducted by the RAND Institute for Civil Justice.

This report is part of the RAND Corporation working paper series. RAND working papers are intended to share researchers' latest findings and to solicit informal peer review. They have been approved for circulation by RAND but may not have been formally edited or peer reviewed.

Permission is given to duplicate this electronic document for personal use only, as long as it is unaltered and complete. Copies may not be duplicated for commercial purposes. Unauthorized posting of RAND PDFs to a non-RAND Web site is prohibited. RAND PDFs are protected under copyright law. For information on reprint and linking permissions, please visit the RAND Permissions page.

The RAND Corporation is a nonprofit institution that helps improve policy and decisionmaking through research and analysis. RAND's publications do not necessarily reflect the opinions of its research clients and sponsors.