Intersections often experience severe rutting in the asphalt concrete layers due to slow moving, high loads, acceleration, deceleration and turning. This thesis aims to investigate the effectiveness of grouted macadam, open graded asphalt with its voids filled with cement grout, as a pavement material at intersections. This was done by investigating the properties of grouted macadam through a literature review and performing a life-cycle cost analysis comparing grouted macadam and asphalt concrete as pavement materials at an intersection. Grouted macadam is found to be similar to asphalt concrete concerning the relation between stiffness and temperature and frequency as well as fatigue behaviour. The main differences are that grouted macadam is stiffer, stronger and not prone to rutting. Thus it would be suitable to address rutting problems. The main drawbacks are that construction demands extra time and precision and that it is expensive compared to asphalt concrete. The life-cycle cost analysis showed that assuming that the grouted macadam has a service life of twenty years and rehabilitation of the asphalt concrete in the form of mill and refill takes place every fourth year the life-cycle costs are approximately the same. A sensitivity analysis was performed that showed that local variations can have large impact on the life-cycle costs. The main conclusion is that grouted macadam can be effective as a pavement material at intersections that experiences severe rutting and frequently reoccurring rehabilitations.