Last week, the ACC Chairman said that ACC needs to increase levies that we pay. ACC means Accident Compensation Corporation. It provides insurance to pay for health care if we have an accident. This is a “No Fault” insurance because we cannot sue a person who causes an accident. Of course if the person who caused an accident was breaking the law like drinking and driving, then the police will take that person to court.
There are three kinds of payment to ACC. Employers pay a levy of about 1.3% of all earnings. This depends on the kind of business. Shop owners pay low levies while a more dangerous business pays a higher levy. Workers pay levies of about 1.7% of their salary. This is to pay for accidents outside work, like accidents in the home or when playing sport. Workers’ levies could increase to about 2.5% of their salaries. We also pay a levy as part of our car registration. This could increase by about $100.
Motor cyclists may pay much higher levies than at the moment. Owners of powerful motor bikes, more than 600cc, could pay about $750 a year instead of $250 a year for their registration. This is a very big increase and motor cyclists are very angry about this.
These increases are only suggestions at the moment. You can write to ACC telling them what you think. You must do this by November 10th.