Think tank Jordanian Strategy Forum has recommended linking vehicle insurance premiums to the age of a driver and driving history.
In a policy paper titled Investing in Traffic Safety to Unleash Economic Potential, released in conjunction with the United Nations’ celebration of Global Road Safety Week, the think tank said that insurers should change the basis of pricing motor third-party liability insurance policies for those who cause repeated accidents.
Stakeholders study the impact of compulsory insurance on traffic accidents and the financial performance of insurance companies, according to local media reports. If the financial impact is negative, then there is a strong argument not only for increasing the motor insurance premium but also for hiking it for individuals who cause frequent traffic accidents.
The think tank was formed in 2012 to enable the private sector to engage in constructive dialogue on economic issues, reviews the most important findings about traffic accidents in Jordan and other countries, pointing out that the number of registered vehicles in Jordan increased significantly in the past 50 years. The individual vehicle ownership ratio was one vehicle for every 68.6 people in 1970, and has grown to one vehicle for every 6.2 people in 2021.
The report said that as a result of the huge growth in the number of vehicles registered in Jordan over the years, a significant increase in vehicle accidents and human injuries is expected, as cases of injury increased from 8,439 cases in 1981 to more than 17,000 cases in 2021.
The think tank said that the cost of traffic accidents amounted to about JOD320m ($451m) in the year 2021.
The Jordanian Strategy Forum said there was a need to develop programmes to correct drivers’ behaviour through the implementation road safety campaigns and the importance of adhering to safety measures such as seat belts, helmets and observing speed limits.
In addition, the authorities must improve the road infrastructure by designing it according to public safety standards, allocating safe passage for pedestrians, placing the necessary traffic signs and signals.
The think tank said the country needs tighter law enforcement and increased monitoring of traffic violations, with strict penalties for violators. It added that the authorities should develop the public transport system and encourage the use of alternative and sustainable means of transport such as cycling and the shared use of cars, which can help reduce the number of vehicles on the roads and thus reduce the risk of accidents. M