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.
Heaton, Paul and Eric Helland, No-Fault Insurance and Automobile Accidents. Santa Monica, CA: RAND Corporation, 2009. https://www.rand.org/pubs/working_papers/WR551.html.
Heaton, Paul and Eric Helland, No-Fault Insurance and Automobile Accidents, RAND Corporation, WR-551-ICJ, 2009. As of February 15, 2024: https://www.rand.org/pubs/working_papers/WR551.html