The author reviews evidence on the effects of incentives for road traffic and industrial safety performance, drawing attention to incentives for specific behaviour, such as seat belt usage, as well as for accident avoidance behaviour. From an examination of incentives available, it is concluded that discounted insurance premiums for accident-free driving is the most powerful accident countermeasure currently available. It is also considered that placing car insurance under public, rather than private, control is likely to benefit road safety.
Abstract