A drop in injuries from road accidents since 2000 has saved Israelis NIS 12 billion in required insurance, the capital markets, insurance and savings division of the Finance Ministry announced Monday.
According to a study by Ron Actuarial Intelligence LTD. using data from all the insurance companies in Israel, the probability of accidents fell 28% from 2000 until 2011.
Alongside an increase in competition, fewer accidents brought insurance rates down 39%, from an average of NIS 2,648 in 2000 to NIS 1,618 in 2011. In 2011 alone, the reduction amounted to a NIS 2b. in savings throughout the country.
The study attributed the savings to improved safety systems on the roads and in vehicles.
Oded Sarig, the director of the capital markets, insurance and savings division, said the report "proves that the division's operations are increasing competition in the mandatory insurance market and bolstering careful driving."
Ron Moskovitz, who heads the National Road Safety Authority, said the numbers proved that investments in infrastructure, education and safety advocacy yielded concrete financial savings. "Beyond saving human life, which is beyond all monetary value, There is an enormous economic saving for the public and Israeli economy as a result of increased road safety," he said.