ACC want your opinion

Each year ACC prepare a proposal for changes to the levies it charges for the next financial year.  They encourage you to have your say and submit your thoughts and opinions through the email address levyconsultation@acc.co.nz

Proposed 2015/16 levy changes

• Cover for work injuries paid by self-employed* and employers (invoiced directly by ACC) drops 21% from $0.95 to $0.75 per $100
• Cover for non-work injuries paid by employees (through PAYE) and by self-employed people drops 5% from $1.26 to $1.20 per $100
• Cover for motor vehicle injuries paid by motorists (through licensing fees and petrol levy) drops 40% from $330.68 to $130.68

Notes to the proposed changes

Proposed Levy rates are GST exclusive. Self-employed and non-PAYE shareholders also pay the non-work claims levy. These are average rates. Individual rates for industry groups and motor vehicle classes may increase or decrease.

Other proposed changes ACC would like your feedback on include:

• Reducing the petrol levy by four cents per litre (from 9.90 cents to 5.90 cents)
• Introducing risk rating for cars and light vans designed to carry people
• Increasing the minimum and maximum liable earnings limits for Work and Earners' levies.

How to have your say

ACC is inviting you to let them know about the changing nature of your business, how the proposed changes might impact you, or any other aspect of the scheme.

It's easy to have your say.    Send your thoughts on the proposed changes with your name, address and contact number to:levyconsultation@acc.co.nz

Our thoughts

From a business point of view any reduction in levies obviously will result in an increase to your bottom line and that cannot be a bad thing.

However, food for thought……how will this reduction affect your cover?

• The 2014/15 year has received reductions, although small, it is still money in your back pocket and lets face it every little bit counts.  Continued reductions will have a flow on effect; to give with one hand usually requires taking from the other.

• Is this an indication that the ACC system is moving to higher ACC charges at the user's end?  We are thinking more of a user pays system…?

• Will the savings made by business be passed on to employees so that they can afford treatment covered by ACC if required? What effect will it have on your business if your employees cannot get treatment covered by ACC?

• Will accident insurance become part of an employee salary package?

As you can see, there are many unanswered questions we feel are worth raising with ACC.

What are your thoughts?   Do you agree with our questions?  How do you think these proposed changes will affect you in the short and long term?  Is it worth putting something in an email to ACC?