Important ACC levy information as of 01/10/2018. ACC's 2018 Levy Consultation begins today and is now open for feedback.
Should ACC change your work levy?
ACC’s 2018 Levy Consultation which covers the levy period 1 April 2019 to 31 March 2021 is now open for feedback. ACC are proposing a 6.9% decrease to the average Work levy rate used to calculate the levies for all businesses and self-employed people, from 1 April 2019.
There are a range of proposals that will impact New Zealand businesses.
Proposed changes to Experience Rating
For those businesses who pay more than $10,000 per annum in ACC Work Levies and whose levy is calculated using Experience Rating, ACC are proposing some enhancements to the Experience Rating programme.
To help simplify the way your levy is calculated and better reflect your own health and safety performance, ACC are suggesting removing the industry modifier and:
• simplifying the experience calculation,
• improving the responsiveness of the levy to individual performance, and
• strengthening the consequences for poor performance.
If these proposed changes take place, they would be effective from 1 April 2020.
No claims discount replacement
Some businesses are part of ACC’s No-Claims Discount (NCD) programme and receive a 10% discount or 10% loading based on the number of claims they’ve had in the last year. In the future, ACC are looking at replacing NCD. They’d like to hear your suggestions on how this could develop. Any change would not take place before 1 April 2021.
Self-employed levy changes
In addition to the proposed decrease to the average Work levy rate, ACC are also proposing to make things easier for self employed people, by calculating your levy based on your actual annual income, rather than a forecasted income. ACC has heard that the current way they calculate the self employed levy is hard to understand, and their proposed new approach aims to make things easier.
New products coming
Over the past year, ACC have been talking with businesses like yours to help identify better ways to keep people healthy and safe at work.
As part of this, they’re looking at how they can better support businesses in focused industries to make health and safety improvements. Later this year ACC will have some good news to share about new Injury Prevention Grants and Subsidies, and they’ll keep you posted about these.
ACC want to hear from you
ACC’s goal is to better support your business to look after your most important asset – you and your people. They encourage you to have a look at the proposals and share as much or as little feedback as you like on shapeyouracc.co.nz before 5pm, 25 October 2018.