Korean Chemical Engineering Research

The Korean Institute of Chemical Engineers (한국화학공학회)
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A Study on the Importance of Uninsured (Indirect) Cost Item of Workplace Accidents

  • Jung, Cecil (Department of Safety Engineering, Korea National University of Transportation) ;
  • Baek, Jong-Bae (Department of Safety Engineering, Korea National University of Transportation)
  • Received : 2016.12.01
  • Accepted : 2017.03.31
  • Published : 2017.08.01
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Abstract

Estimation of accident cost is a sound and great safety indicator on determining accurate occupational safety and health prevention. Just like in Korea, Heinrich ratio analysis of (1:4) between direct and indirect costs has been become widely used in safety management because of its simplicity. In this study four major categories of uninsured (indirect) cost items and 18 sub-categories of uninsured (indirect) cost items were identified. To determine and validate the importance and necessity of the results of a literature review an expert or professional surveyed had been analyses using the SPSS 18.0, where in the participants whose expertize is in the field of compensation and safety. Based on the results of survey all participants all uninsured (indirect) cost items classified was important and necessary when accidents occurred. Despite recognition of expert on the classification of uninsured (indirect) cost items, it is quite difficult to make generalization for all kind of costs in occupational accident case due to different nature of business for each industry.

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