Levies are paid by businesses, motor vehicle owners and employees for injury cover that is funded by the ACC Scheme. Levies are reviewed and set each year. We also collect residual levies to pay for the ongoing costs of work injuries suffered before 1July1999 and non-work injuries to earners suffered before 1July1992.
How we’re funded
The Accident Compensation Scheme is divided into five parts called Accounts. Each Account covers specific groups of injuries. Funding comes from levies based on liable earnings, levies from motor vehicle ownership and usage, and the Government Budget.
Residual pre-1999 claim levies
In 1999 ACC moved to a system of fully funding the lifetime costs of an injury claim. Prior to this, levies covered only the current costs of a claim. Residual levies are required to pay for ongoing costs of earlier injuries, up until 2019 when the ACC Scheme will be fully funded. There is a residual portion in each of the Work, Earners’ and Motor Vehicle Accounts.
What levies cover
We provide a range of injury cover for New Zealanders, and visitors to New Zealand, including motor vehicle, non-work and work-related injuries. Employers can seek discounted levies in return for taking responsibility for workplace health and safety.
Levy risk groups
We use classification units to group together business activities with a similar risk of work-related injury. These levy risk groups are then used to estimate the cost and frequency of future injury claims. You can download information about each levy risk group that was part of the 2012/2013 levy consultation process.
Levy rates for 2012/2013
On 12 October 2011 the Minister for ACC announced the final levy rates for 2012/2013 (PDF459K).
The new rates for the Work Account and Earners’ Account come into effect on 1 April 2012, followed by the Motor Vehicle rates, which come into effect on 1 July 2012.
Published: 30 March 2012