Skip NavigationDepartment of Transportation Logo  U.S. Department of Transportation Keyword Links | Contact Us | Español

Federal Motor Carrier Safety Administration
Home Rules & Regulations Registration & Licensing Forms Safety & Security Facts & Research About FMCSA
  Home > Facts & Research > Webinars > Accident Cost Table
Overview
Statistics & Facts
Safety Progress Report
Publications & Reports
Events Calendar
Webinars
Future Webinars
Past Webinars
Safety Technologies
Product Guides
Roadside Technology Corridor
CVISN
PRISM
About ART
Analysis Division
Research Division
Technology Division
Contact ART
 
  

Accident Cost Table
  Print this page Print    

REVENUE NECESSARY TO PAY FOR ACCIDENT LOSSES

THIS TABLE SHOWS THE DOLLARS OF REVENUE REQUIRED TO PAY FOR DIFFERENT AMOUNTS OF COSTS FOR ACCIDENTS

It is necessary for a motor carrier to generate an additional $1,250,000 revenue to pay the cost of a $25,000 accident, assuming an average profit of 2%. The amount of revenue required to pay for losses will vary with the profit margin.
YEARLY ACCIDENT COSTS PROFIT MARGIN
1% 2% 3% 4% 5%
$1,000
5,000
10,000
25,000
50,000
100,000
150,000
200,000 		100,000
500,000
1,000,000
2,500,000
5,000,000
10,000,000
15,000,000
20,000,000 		50,000
250,000
500,000
1,250,000
2,500,000
5,000,000
7,500,000
10,000,000 		33,000
167,000
333,000
833,000
1,667,000
3,333,000
5,000,000
6,666,000 		25,000
125,000
250,000
625,000
1,250,000
2,500,000
3,750,000
5,000,000 		20,000
100,000
200,000
500,000
1,000,000
2,000,000
3,000,000
4,000,000
REVENUE REQUIRED TO COVER LOSSES

Accident costs (direct + indirect) consist of any or all of the following:

Direct Costs:

  • Cargo Damage
  • Vehicle Damage
  • Injury(s) Costs
  • Medical Costs
  • Loss of Revenue
  • Administrative Costs
  • Police Report
  • Possible Effect on Cost of Insurance
  • Possible Effect on Cost of Workmen's Compensation Insurance
  • Towing Costs
  • Storage of Damaged Vehicle

Indirect (Hidden) Costs:

  • Lost Clients/Customers
  • Lost Sales
  • Meetings Missed
  • Salaries Paid to Employees in Accident
  • Lost Time at Work
  • Cost to Hire/Train Replacement Employees
  • Supervisor's Time
  • Loss of Personal Property
  • Replacement Vehicle Rental
  • Damaged Equipment Downtime
  • Accelerated Depreciation of Equipment
  • Accident Reporting
  • Medical Costs Paid by Company
  • Poor Public Relations/Publicity
  • Increased Public Relations Costs
  • Government Agency Costs

Go To Top of Page