In this paper, the potential of using an exponential hidden Markov model to model an indicator of pavement condition as a hidden pavement deterioration process, i.e. one that is not directly measurable, is investigated. It is assumed that the evolution of the values of the pavement condition indices can be adequately described using discrete condition states and modelled as a Markov process. It is also assumed that the values of the indices can be measured over time and represented continuously using exponential distributions. The potential advantage of using such a model is illustrated using a real-world example.