ACC premiums on the way down - again
Hon Dr Michael Cullen
Minister Responsible for Accident
Insurance
November 27 2000
For Immediate
Release Media Statement
ACC premiums on the way down - again
ACC premiums are on the way down again, almost a year after the Government introduced legislation to remove private insurers from work place accident insurance.
Accident Insurance Minister Dr Michael Cullen announced his plans today to lower the average risk weighted premiums.
Dr Cullen says an improvement in ACC’s injury prevention programmes and a commitment to getting people back to work earlier is behind the drop in premiums.
He says while ACC has recommended slightly lower premiums in most instances, as Minister he is obliged to ensure a prudential margin in the premium rates.
Residual claims
levy
Currently 40 cents per $100 earnings
New
Rate 35 cents per $100 earning
A reduction
of 12.5%
Employers Premiums
Currently $1.16 per
$100 earnings
New Rate .90 cents per $100 earning
A
reduction of 22.4%
Private scheme rate $1.21 per
$100 earnings
Reduction between new and private scheme
rate 25.6%
Self Employed Premiums
Currently $1.64
per $100 earnings
New Rate $1.35 per $100
earnings
A reduction of 17%
Earners
Premiums
Currently $1.30 per $100 earnings
New
Rate $1.10 per $100 earnings
A reduction
of 15%
Motor Vehicle Account
Currently ACC receives
$132.20 from the registration of most wheel vehicles
New
Rate $128.45
A reduction of 3%
The .2 cents per litre petrol levy will remain.
Dr Cullen says the
changes will come into effect on 1 April 2001 (with the
exception of the motor vehicle premium which comes into
force on July 1 2001).
The second ACC legislation, the
Injury Prevention and Rehabilitation Bill is expected to
become law later next
year.
ENDS