We've changed when eligible clients start to receive the minimum full-time weekly compensation rate. This change comes into effect from 6 September.
From 6 September, employees, shareholders, and previously ineligible self-employed clients will become eligible to receive the minimum full-time weekly compensation rate from the first week of our weekly compensation payment.
What does this mean for full-time earning clients receiving weekly compensation?
Previously, eligible clients received an uplift to the minimum full-time weekly compensation after the first four weeks of incapacity.
The change means, eligible clients will start their weekly compensation entitlement on the minimum full-time weekly compensation rate.
This change will be applied automatically. Eligible clients don’t need to do anything different when claiming for weekly compensation.
What is the minimum full-time weekly compensation rate?
The minimum rate of weekly compensation payable to a full-time earner will be $726.40. This is equal to 80% of the adult minimum wage of $908.00 for a forty-hour week.
These rates reflect the minimum liable income level that you pay ACC levies on. You only pay levies from, and up to, a certain amount. This means you can only get weekly compensation on the income that you pay levies on.
This change is legislative and was introduced in the Accident Compensation (Access Reporting and Other Matters) Amendment Act 2023.