The compensation accuracy of a forward image displacement compensation device in an area scan color CCD camera was analyzed, because it would influence the resolution of the camera directly. The characteristics of the mechanic compensation device were researched, and the allowable residual error of the velocity compensation corresponding exposure time was given. A mathematical model for the residual error of velocity compensation was established after analyzing main error sources of the device, then the error model was simulated by the Monte Carlo method. Finally, the compensation accuracy was verified by an imaging test with a dynamic target simulator. The test results show that the residual error of velocity compensation is 395.6 μm/s, which is coincident with the simulation data 400 μm/s. It is concluded that the method can estimate accurately the matching error accuracy.