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COMPENSATING VICTIMS OF VIOLENT CRIME - POTENTIAL COSTS AND COVERAGE OF A NATIONAL PROGRAM - ANALYTIC REPORT

NCJ Number
43387
Author(s)
L P SUTTON; J GAROFALO; M J HINDELANG
Date Published
1977
Length
45 pages
Annotation
AN ATTEMPT TO DEVELOP PRELIMINARY ESTIMATES OF THE DOLLAR COSTS AND THE NUMBER OF CRIMES WHICH WOULD BE COVERED BY A STANDARDIZED NATIONAL PROGRAM TO COMPENSATE VICTIMS OF VIOLENT CRIME IS DESCRIBED.
Abstract
FIGURES ARE DEVELOPED ON THE ASSUMPTION THAT SUCH A NATIONAL VICTIM COMPENSATION PROGRAM WOULD BE SIMILAR TO THE ONES NOW EXISTING IN SEVERAL STATES. THE REPORT USES NATIONAL CRIME SURVEY (NCS) VICTIMIZATION DATA FROM 1974 TO ILLUSTRATE THE EFFECTS OF VARIOUS STATUTORY ELIGIBILITY CRITERIA ON THE NUMBER OF CRIME VICTIMS IN THE NATION WHO WOULD BE ELIGIBLE TO RECEIVE REIMBURSEMENT FOR MEDICAL EXPENSES AND FOR LOSS OF EARNINGS. THESE ELIGIBILITY CRITERIA ARE THEN VARIED TO DETERMINE NUMBER OF VICTIMS COVERED AND COSTS OF THE PROGRAM UNDER SEVERAL CONDITIONS. IN A FINAL ANALYSIS, ESTIMATED PROGRAM ADMINISTRATIVE COSTS AND THE COSTS OF PROVIDING BENEFITS TO SURVIVORS OF HOMICIDE VICTIMS ARE ADDED TO THE COST ESTIMATES DERIVED FROM THE NATIONAL CRIME SURVEY. ESTIMATES GENERATED SUFFER SOME LIMITATIONS: THE NCS EXCLUDES PERSONS UNDER 12 FROM THE SAMPLE, EARNINGS ACTUALLY LOST MUST BE INFERRED FROM TIME LOST FROM WORK AND FAMILY INCOME, AND HOMICIDE-RELATED CLAIMS MUST BE ESTIMATED FROM SEPARATE SOURCES. WHENEVER SUCH PROBLEMS HAVE BEEN ENCOUNTERED, ATTEMPTS HAVE BEEN MADE TO OVERESTIMATE RATHER THAN TO UNDERESTIMATE PROGRAM COSTS. THIS ANALYSIS PROJECTS MAXIMUM COSTS OF A NATIONAL COMPENSATION PROGRAM AS BETWEEN $145 MILLION AND $260 MILLION, DEPENDING ON ELIGIBILITY CRITERIA CHOSEN. IN 1974, NET MEDICAL EXPENSES FOR 76,696 VICTIMIZATIONS TOTALED $22.5 MILLION, BORNE LARGELY BY PUBLIC OR PRIVATE INSURANCE PLANS. INFORMATION WAS NOT AVAILABLE ON NET EARNINGS LOSSES DUE TO VICTIMIZATION BUT WAS ESTIMATED AT ABOUT $56 MILLION. WORKER'S COMPENSATION AND OTHER SOURCES WOULD PROBABLY PAY AN ADDITIONAL $56 MILLION. BENEFITS TO SURVIVORS OF HOMICIDE VICTIMS ARE ESTIMATED TO BE IN THE NEIGHBORHOOD OF $80 MILLION NATIONALLY. FOR BOTH NET MEDICAL EXPENSES AND LOSS OF EARNINGS, IT IS CLEAR THAT THE PREPONDERANCE OF DOLLAR LOSSES IS BORNE BY COMPARATIVELY FEW VICTIMS. THEREFORE, IT APPEARS THAT A MINIMUM LOSS REQUIREMENT WOULD BE EFFECTIVE IN WEEDING OUT THE MAJORITY OF POTENTIAL CLAIMS, A DISALLOWANCE GENERALLY JUSTIFIED IN TERMS OF THE DISPROPORTIONATE ADMINISTRATIVE EXPENSE SUCH SMALL CLAIMS WOULD ENTAIL. THE PHILOSOPHY OF VARIOUS CRITERIA AND COST FACTORS TO BE CONSIDERED ARE DISCUSSED. TABULAR DATA AND REFERENCES ARE PROVIDED.