Assessing whether there is a cancer premium for the value of a statistical life

Health Econ. 2014 Apr;23(4):384-96. doi: 10.1002/hec.2919. Epub 2013 Mar 21.

Abstract

This article estimates whether there is a cancer risk premium for the value of a statistical life using stated preference valuations of cancer risks for a large, nationally representative US sample. The present value of an expected cancer case that occurs after a one decade latency period is $10.85m, consistent with a cancer premium that is 21% greater than the median value of a statistical life estimates for acute fatalities. This cancer premium is smaller than the premium proposed for policy analyses in the UK and the USA. There is also a greater premium for policies that reduce cancer risks to zero and for risk reductions affecting those who perceive themselves to have a greater than average probability of having cancer.

Keywords: cancer; risk; stated preference; value of a statistical life (VSL).

Publication types

  • Research Support, U.S. Gov't, Non-P.H.S.

MeSH terms

  • Female
  • Humans
  • Male
  • Middle Aged
  • Neoplasms / economics*
  • Neoplasms / epidemiology
  • Probability
  • Risk Factors
  • Risk Reduction Behavior
  • United Kingdom / epidemiology
  • United States / epidemiology
  • Value of Life / economics*