If you are permanently impaired as a result of an injury that occurred after 1 April 2002, you may be eligible for a lump sum payment. This payment is in addition to any other support you may receive from ACC.
What help can I get?
If you are permanently impaired as a result of an injury that occurred after 1 April 2002, you may be eligible for a lump sum payment. This payment is in addition to any other support you may receive from ACC.
Assessments for lump sum payments are fully funded by ACC and will begin two years after your injury, or when your condition has stabilised. The amount will depend on the level of impairment you have sustained.
If you have a gradual process injury, you may be able to choose between a lump sum payment or an independence allowance. Contact ACC Claims for more information.
What if I am injured before 1 April 2002?
If you are permanently impaired as a result of an injury that occurred before April 2002, see Independence allowance. If your injury falls under sensitive claims, gradual process, or treatment injury, different time-limits relating to the 2002 cut-off period will apply. See Contact ACC Claims for more information.
What do I need to do to get help?
Applications for lump sum compensation are usually made after treatment and rehabilitation for your injury is complete. To apply:
- Call ACC’s Claimant Inquiry Centre on 0800 101 996 for a copy of the application pack. This contains an application form, and all other material you will need to make your claim. You will also receive instructions from ACC about how to complete the application form with your doctor.
- Complete the application form with your doctor. Your doctor must confirm that your injury is stable and that permanent impairment is likely.
- Return the completed form and medical certificates to ACC, along with a copy of all relevant medical records.
How am I eligible?
You may be eligible if you have an impairment that is likely to be permanent. ACC will check that:
- your claim has been accepted for cover by ACC
- your injury occurred on or after 1 April 2002.
ACC will assess your entitlement after we have received a certificate from your doctor indicating that you have been permanently impaired from an injury, and it is either:
- two years or more since the date of your injury
- your condition is stable.
If you are eligible to continue with your claim we’ll refer you to a non-ACC assessor who will:
- contact you to arrange an appointment
- determine your level of impairment using the American Medical Association’s Guide to the Evaluation of Permanent Impairment fourth edition, in conjunction with the ACC User Handbook to AMA4 (PDF 3.8M)
- send the results to ACC. We will let you know the results of the assessment in writing.
Your level of impairment must be 10% or more to be eligible for a lump sum. Examples of impairment levels:
- 0 - 5% impairment – eg common lower back injury – lifting/bending, would not be eligible for an entitlement
- 10% impairment – eg severe damage to the ligaments of the knee, would provide an entitlement
- 32% impairment – eg amputation of a leg below the knee, would provide an entitlement
- 80% or more impairment – eg paraplegia, would provide the maximum entitlement
Note:
- If you sustain more than one injury you cannot receive the maximum lump sum payment for each injury. They will be combined for assessment.
- You cannot receive a lump sum payment and independence allowance for the same injury.
Important:
The help you will get depends on your individual circumstances. Please contact us to confirm if you are eligible, or to identify other ways in which we can help. See Contact ACC Claims for our contact information.
How long might ACC take to determine if I am eligible?
It usually takes four months to complete the assessment process. Please contact us if you have not heard from us within a reasonable period of time. See Contact ACC Claims for our contact information.
What happens next?
Once ACC has determined if you are eligible we will send you a letter informing you of our decision.
- If you are eligible for the payment it will be paid into your bank account. The lump sum payment is not taxed. You may need an assessment at a later date. If your impairment changes, your payments may change as well.
- If we decline your claim, we will let you know why. If you disagree with our decision, you can ask for it to be reviewed. See What if I have problems with a claim? You can apply for a reassessment if your condition changes after 12 months, unless a health professional decides that your injury has become stable before this period.
Related legislation
Accident Compensation Act 2001
- Section 380: Lump Sum Compensation under former Acts (external link)
- Schedule 1, Clauses 54 to 62 (external link)
Published: 20 June 2008