Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search


Injury Prevention & Rehabilitation Bill Q&A

Injury Prevention & Rehabilitation Bill Questions And Answers

Why is this Bill needed?

IPR Bill is the second phase of the Government's commitment to building a first class, fair and sustainable scheme for reducing personal injury which upholds the unique principles of no-fault, 24 hour cover.

What are the main differences to the current AI Act 1998?

Improved emphasis on injury prevention, improved management of injury-related information, improved emphasis on rehabilitation, lump sum compensation for permanent impairment, more flexibility in assessing weekly compensation for loss of earnings, more flexible products for self-employed, a Code of ACC claimants' rights.

What happens to me if I was injured before this Bill becomes law?

You will continue to be covered by the current law. The Bill maintains entitlements currently available and it contains transitional provisions to make sure that people who received entitlements under previous Acts, and remain eligible, continue to receive such entitlements.

Will the Work Capacity Testing be changed?

The work capacity assessment procedure will be used as it was originally intended - a rehabilitation tool rather than a means of removing a claimant's entitlement to cover. Injured workers must first go through comprehensive, monitored vocational rehabilitation before they are even considered for work capacity testing.
Who will be eligible for lump sum compensation?

People who suffer permanent impairment as a result of an injury. The intent of this change is to provide fairer compensation for those who, through impairment, suffer non-economic loss. This includes both physical impairment and mental injury (caused by a physical injury or sexual abuse).

Lump sums will be available to claimants who sustain injuries after the Act’s implementation date, and the assessment of impairment will be based only on injuries that take place after the Act’s implementation date.

How will people be assessed for lump sum compensation?

Assessment will be made using American Medical Association (AMA) guides and/or other guides as may be specified in regulations and is based on what is called "whole person impairment".

There will be a minimum payment of $2,500 and a maximum of $100,000.

The assessments will be calibrated so that more seriously injured claimants receive proportionately more than less seriously injured claimants and the assessment will take place when the claimant’s condition has stabilised, or after 2 years, whichever occurs first.

Examples of indicative whole person impairment calculations:

Loss of ring finger 5% whole person impairment
Loss of index finger 11%
Loss of thumb – 22%
Loss of leg (above knee) 32%– 40%
Loss of arm 57% – 60%
Loss of hearing 35%
Loss of vision in one eye 24%
Loss of vision in both eyes 85%

How much will lump sums cost?

Estimates from Treasury and the Department of Labour put the cost of lump sum payments at around $60 million dollars fully funded costs per accident year, across all accounts. This figure represents around 7 percent of the amount spent on compensation during 1998/1999.
Can I get a lump sum payment and weekly compensation?
Will ACC costs and premiums go up when the new Bill becomes law?

The cost of lump sums will be partially off set by the cessation of the Independence Allowance and the cost will also be absorbed by more effective rehabilitation. The Bill will not impact on the new lower ACC levies announced this week and set to come into force next April.

When is the Bill expected to become law?

The Bill will probably take 6 months to move through the House after its introduction. Then it will be another 6 months before it comes into effect because of the many regulations etc that will need to be changed.

Which Select Committee is likely to consider the Bill?

The Minister's intention is that it will be referred to the Transport and Industrial Relations Select Committee

How do I make a submission?

You can contact the Select Committee Office to get them to send you a booklet on making a submission- phone 04 471 9520 or fax 04 499 0486. Or you can go to Parliament's website –
Long address:

shorter address: Then go to Publications and Information, and select 'Making a Submission to a Parliamentary Select Committee'

How do I find out more information about the Bill

Further information is available on the following websites:

© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

PM's Speech: NZ Moves To Red

Nine COVID-19 cases reported yesterday in the Nelson/Marlborough region have now been confirmed as the Omicron variant, and a further case from the same household was confirmed late yesterday....


Gordon Campbell: On Responding To The Need In Tonga

The power of the Tonga eruption (and the size of the aid response being mounted) have been sobering indications of the scale of this disaster. The financial impact is certain to exceed the damage done by Cyclone Harold two years ago, which was estimated at the time to cost $US111 million via its effects on crops, housing and tourism facilities. This time, the tsunami damage, volcanic ash, sulphur dioxide contamination and villager relocation expenses are likely to cost considerably more to meet...


Science Media Centre: Omicron Outbreak Would Move The Country To Red - Expert Reaction

The Prime Minister has announced if Omicron cases spread into the community, the country will move to the traffic light system's Red setting within 48 hours. Jacinda Ardern also mentioned there will be changes to the country's testing regime, with more use of Rapid Antigen Tests... More>>

Government: New Zealand Prepared To Send Support To Tonga

New Zealand is ready to assist Tonga in its recovery from Saturday night’s undersea eruption and tsunami, Foreign Affairs Minister Nanaia Mahuta and Defence Minister Peeni Henare said today... More>>

Ministry of Health: COVID-19 Immunisation Starts For 5 To 11-year-old Tāmariki

More than 120,000 doses of the child (paediatric) Pfizer vaccine have been delivered to over 500 vaccination sites around New Zealand as health providers prepare to start immunising 5 to 11-year-olds tamariki from today, 17 January... More>>

Statistics: Departures Lift Border Crossing Numbers

The number of people crossing New Zealand’s border went up in November 2021, mostly due to an increase in departures, Stats NZ said today. There were 28,700 border crossings in November 2021, made up of 12,300 arrivals and 16,400 departures... More>>

Financial Services Federation: Open Letter To Government From Non-bank Lenders: The Path Forward On CCCFA Changes
Responsible lenders are not interested in telling the Government “I told you so” when it comes to unintended consequences of changes to lending laws that are now causing grief for everyday Kiwis seeking finance... More>>

CTU: Too Many Kiwi Workers Financially Vulnerable As Omicron Looms
With New Zealand on the precipice of an Omicron outbreak and the economic upheaval that comes with it, the CTU’s annual Mood of the Workforce Survey shows the vast majority of kiwi workers do not have the financial resources to survive a period of unemployment... More>>




InfoPages News Channels