Administrative and scheme delivery changes

Business customers

In response to feedback from levy consultations in 2018, self-employed invoices have been changed to arrears, based on actual earnings. Historically, the Accident Compensation Corporation (ACC) invoiced in advance based on the previous year’s earnings. ACC has also launched a digital platform, MyACC, which allows business customers to pay levies on-line.

Navigation Service

In September 2019, ACC introduced a free and independent Navigation Service, run by external providers, to help clients navigate ACC’s processes or to better understand its decisions about claims or entitlements.

Introduction of Next Generation Case Management System

In September 2020, ACC completed the rollout of a new case management system (Next Generation Case Management, or NGCM). NGCM is designed to help clients recover and return to work sooner through tailoring support to each client’s specific needs. Case handlers can work more closely with those who require the most support, spending more time on high-quality conversations and decision-making with clients and less time on administrative tasks.

NGCM includes an automated claims lodgement system, an upgraded claims management system, a new payments system, and a digital self-service tool that allows clients to book and access some ACC services from their mobile devices. Results to date have seen substantial improvements in customer satisfaction and return to work outcomes compared with previous processes.

Policy and Legislative Developments

Funding policy changes

In 2019, changes to ACC’s Funding Policy were agreed by Cabinet. For the levied accounts (Earners’, Work, Motor Vehicle), the risk margin included within the valuation of the liability of each account has been removed when calculating the sufficiency of assets to cover the Outstanding Claims Liability (a valuation of how much money ACC needs today to cover the lifetime costs of all existing injuries). Forecast adjustments, with a 7.5% year-on-year cap, have been introduced for the taxpayer-funded Non-Earners’ account to maintain the funding ratio. Cabinet also decided to move from a two-yearly levy cycle to a three-yearly cycle from 2021/22.

COVID-19 response

Temporary policy changes made by the ACC to limit the financial impact of COVID-19 on customers included:

• A hold placed on vocational independence (i.e. when a claimant is considered to be rehabilitated and given notice of the end of their entitlement to compensation and rehabilitation assistance) decisions while COVID-19 restrictions were in place.
• Weekly compensation calculations changed so payments were based on earnings prior to COVID-19 restrictions.
• Telehealth services enabled for 29 provider types (e.g. GPs, physiotherapists), where clinically appropriate.
• Healthcare providers able to remotely lodge claims (i.e. without seeing clients in person).
• Increased initial length of time people could be certified by providers as unfit to work.
• ‘Did-not-attend’ allowance increased to assist provider sustainability.
• Provider compliance requirements suspended to reduce administrative burden.
• Collection of all debts put on hold.
• Annual levy invoicing deferred for 3 months.

ACC confirmed COVID-19 cover was possible for healthcare workers who meet the criteria for a work-related gradual process, disease or infection under section 30 of the Accident Compensation Act 2001. Assessment of coverage includes consideration of the extent to which a person’s work environment and tasks could have led to exposure to the virus, as well as looking at the virus’ prevalence in the community at that time, and other possible sources for exposure (e.g. family or friends).

Legislative Amendments

In 2019, the Accident Compensation Amendment Act was passed to ensure that the Accident Compensation Act 2001 (the Act) is effective and efficient, and accords with best regulatory practice.

The changes in the Bill addressed some issues in ACC coverage and corrected regulatory duplication, errors, and inconsistencies, with the aim of keeping the regulatory system up to date, fair, and relevant.