How risky are uninsured drivers?

Publisher's full text

Obtaining insurance is expected to have disincentive effects on driver behavior, and as such on accident probabilities due to the adverse selection and/or moral hazard effects, though empirical studies provide mixed evidence. The risks of an accident incurred by uninsured drivers are, however, indeterminate as well, because of the unavailability of individual level data on uninsured drivers. Therefore, the purpose of this article is to empirically analyze whether insured or uninsured drivers pose greater accident risks. It uses unique individual level data on privately owned insured and uninsured passenger vehicles in Sweden for the period 2006 to 2010. The results show that the accident probability of uninsured drivers is 34 percentage points higher than for insured drivers, with uninsured drivers age 25 to 34 years posing the highest risk of an accident. This implies that uninsured drivers are a high-risk group and a significant threat to traffic safety. Possible solutions and policy implications are discussed at the end of the article.



Vision Zero for Sustainable Road Safety in the Baltic Sea Region

The conference Vision Zero for Sustainable Road Safety in the Baltic Sea Region is held i Vilnius, Lithuania. VTI is part of the organisation committé and also one of the speakers.

ICTTP 2020

ICTTP, International Conference on Traffic and Transport Psychology, is held in Gothenburg, Sweden.



Report regarding government commission on the costs of traffic to society has been submitted

Since 2013, the Swedish National Road and Transport Research Institute (VTI) has had several government commissions to produce documentation on the costs to society caused by traffic. On 1 November 2018, the agency reported its latest commission, Samkost 3....


International standardisation efforts have many advantages

VTI participates in several international standardisation committees. The work is important because it helps to ensure that standards can be adapted to Swedish conditions and it also provides access to valuable contacts and networks.


China wants to work with the best

Through the CTS cooperation, VTI is gaining valuable research contacts with China. The country is facing major challenges in the field of road safety but also has enormous potential.


VTI participated in conference on electric roads

Systems with electrified roads are a relatively new concept and many projects have been launched in recent years. To stimulate the transfer of knowledge and collaboration, the Research and Innovation Platform for Electric Roads arranged its second...


ADAS&ME is tackling the interaction between people and technology

ADAS&ME is a major EU project focused on automation, the human condition and the human environment. The budget is EUR 9.6 million and VTI is the coordinator.


Users contribute to the development of train simulators

Apart from advanced driving simulators, VTI has developed several variations of train simulators which are used for training, education and research. In recent years, interest has increased drastically among major actors in the railway sector, and VTI has...