Put Politics Aside, Give ACC Competition A Chance

1 July 1999
PR60/99

PUT POLITICS ASIDE, GIVE ACC COMPETITION A CHANCE

Federated Farmers today asked the NZ Labour Party to give the new
accident insurance regime a chance to work, before reverting to the
previous ACC monopoly.

"Winding back the new ACC regime would be a bad move for everyone.
Federated Farmers asks that politics be put aside and that the
competitive market for accident insurance be given a fair chance to
prove itself" said Vice President and ACC spokesperson Alistair Polson.

"The competitive environment has already spurred employers to take a
more positive attitude to health and safety in their workplaces."

"Is Labour prepared to throw away potential cost savings of $200m per
year?"

"The self-employed, who are the powerhouse of the New Zealand economy,
want the opportunities provided by private insurers. For the first time in
over 25 years they can get guaranteed income protection should they be
unable to work due to an accident. This is why a significant number of
self-employed have already moved to private insurers, even when they could
have stayed with ACC."

"The new legislation confirms that employees' rights and benefits have
not been eroded. In fact many employees have gained as their employers
have taken the opportunity provided by private insurers to purchase
increased benefits for their employees."

"A benefit of commercial insurance is that greater financial pressure
and more significant penalties will be placed on employers. The result
will be fewer accidents and injuries."

"Everyone involved has much to gain from the new regime, which will
reduce costs, increase benefits, and best of all, make our workplaces
safer."

ENDS

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