Updating the economic cost of large-scale industrial accidents - Application to the historical analysis of accidents

This paper analyses the feasibility of applying different update rates of i ndustrial prices to the economic assessments of accidents with special emph asis on those related to the chemical process industry. The advantages and disadvantages of applying this technique to the historical analysis of acci dents are analysed and compared with the results obtained with the five mos t widely used indexes. The results of a general analysis of the historical evolution of the cost of accidents recorded in two prestigious databases ar e also presented. Valid data are obtained for decision-making with regard t o insurance premiums, revaluation of assets and risk management (administra tion, safety management of large chemical complexes). (C) 1999 Elsevier Sci ence Ltd. All rights reserved.