MALAYSIAN VALUE OF STATISTICAL LIFE FOR FATAL INJURY IN ROAD ACCIDENT: A CONJOINT ANALYSIS APPROACH

Road accident is currently one of the major causes of death in Malaysia. The effort to ensurebetter road safety requires large allocation of resources which further signifies the importance ofeconomic valuation in every possible area inflicted by road accident. This task is achievable byassociating cost to the potential consequence of fatal risk due to road accident using the willingness topay approach. Several earlier studies in Malaysia have been conducted using Lost Output, HumanCapital and Contingent Valuation Method (CV). This report described and analyzed our latestnationwide valuation study using Conjoint Analysis (CA) undertaken in 2008. In comparing betweenboth Stated Preference approaches our findings suggest minimal difference in the final estimation ofthe Value of Statistical Life (VOSL). The VOSL estimates for fatal injury in CV study range from RM1.2 million to RM 1.4 million whilst CA gives a range of RM 1.15 million to RM 1.45 million.