NCCI: Car crashes 70% more costly than average lost-time claim

September 22, 2025

Motor vehicle accidents account for about 5% of lost-time claims but 10% of their costs, according to an analysis by the National Council on Compensation Insurance.

Motor vehicle accidents are about 70% more expensive than the average lost-time claim, in part because car crashes are more than twice as likely to result in injuries to multiple body parts, according to the analysis.

Motor vehicle accidents account for about 20% of the money spent on claims with total costs exceeding $1 million, and they cause about 40% of work-related fatalities, and the frequency of car crash claims has not declined along with the overall trend of declining claim frequency.

The analysis, however, found that the trucking industry has experienced several consecutive declines in accident frequency, likely the result of implementing technology such as dash cameras, addressing driver fatigue and an enhanced focus on overall safety.