Annual report 2025

This year, we have taken steps to improve rehabilitation, build financial resilience, and deliver better outcomes for our clients.  

The Scheme recorded a net deficit of $1.5 billion, a significant improvement from the 2023/24 deficit of $7.2 billion. 

ACC Chief Executive Megan Main says the results reflect the organisation’s refocus on its core purpose — helping people recover from injury and return to independence.  

“We know improving rehabilitation performance and financial sustainability isn’t a quick fix. The steps taken in 2024/25 have resulted in steady progress towards ensuring the Scheme is financially sustainable for future generations,” says Main.  

The report notes a $3.3 billion increase in the Outstanding Claims Liability to $63.6 billion, including a $1.5 billion increase driven by higher-than-expected future costs from accepted claims. ACC is managing the areas it can influence — improving rehabilitation outcomes, commissioning services more effectively, and supporting recovery at work, says Main. 

Improvements to rehabilitation outcomes   

This year, we supported 7,950 long-term clients return to work or independence after more than a year on weekly compensation. This contributed to a reduction in the growth rate of the long-term claims pool, which slowed to 8.7 percent, outperforming the target of 10.5 percent.  

ACC also achieved 88 percent of its Service Agreement targets, with improvements in key rehabilitation indicators. Improvements to rehabilitation performance reflect changes to our case management approach to provide more dedicated one to one support to our clients and an increased focus on supporting long-term claims pool clients to achieve a positive rehabilitation outcome.  

The Minister for ACC and the Government have set clear expectations to turnaround ACC’s trajectory, through improved organisational performance, delivering better rehabilitation outcomes and better managing the treatment and rehabilitation costs of the Scheme.   

“Our new case management approach and dedicated recovery teams are making a real difference, and we’re seeing the benefits in both client outcomes and financial performance,” says Main.  

Investment returns support financial resilience  

ACC has an Investment Fund of $51.1 billion (an increase from $48.9 billion last year), which returned 9.10 percent after costs, generating $4.5 billion in income and outperforming its agreed benchmark. The value of $100 invested in 1992 has grown to $1,848 as at 30 June 2025 (the 2024 value of $100 was $1,692). 

Board Chair Jan Dawson says the strong investment performance has helped offset the financial pressures that ACC has experienced. “Our investment strategy continues to deliver strong returns,” says Dawson. “This helps ensure levies remain fair and we can meet the future costs of supporting injured New Zealanders.”  

However, the increased time to rehabilitate injured New Zealanders, the growing cost of services, and the expansion by judicial decisions of Scheme boundaries in recent years has meant that the growth in the Outstanding Claims Liability has exceeded that of the Investment Fund.  

This is unsustainable and this year, we had independent reviews of our investment and insurance operations and organisational culture, says Dawson. The findings and recommendations from both reviews will support our concentration on continued improvement to organisational and Scheme performance, Dawson says.  

“The Board is working with the Executive to ensure strengthened claims management and creating a positive, inclusive, and safe workplace is reflected in our priorities for 2025/26.” 

The full Annual Report is available to download.