Abstract
An incentive structure is introduced to improve traffic safety. Drivers are awarded cash bonuses when they follow designated safe routes. The effects of this incentive structure are studied in this paper, with emphasis ondrivers route choice behavior and performance of the traffic network. Sufficient conditions are identified for a win-win situation where both individual drivers and the traffic system benefit from the incentive structure. The results of this study have implications for communities aiming at traffic safety enhancement. Implementation of the incentive structure can beeasily made with currently available navigation systems and communicationtechnologies.