Funding
ACC is funded through a combination of levies and government contributions. Income collected from each source goes into predetermined account based on the source. Costs relating to an injury are paid from one of these accounts based on the type and cause of the injury.
The four main accounts are: Work, Earners, Non-Earners, and Motor Vehicle. There is also a fifth account, Treatment Injury (formerly Medical Misadventure) that draws on both the Earners and Non-Earners account.
| Account | Covers | Income sources |
|---|---|---|
| Work | Work-related injuries | Levies collected from employers, with the amount payable based on the size of the business's payroll and the risks associated with its industry. |
| Earners | Non-work injuries by income earners | Levies collected in conjunction with tax deductions on income. Paid via the Inland Revenue Department. As of April 2012, the earners levy is 1.70% of non-exempt taxable income up to $113,768 per annum |
| Non-earners | Non-work injuries by non-income earners (e.g. children, elderly, unemployed, visitors) |
Government contribution from the general taxation pool. |
| Motor Vehicle | Injuries relating to motor vehicles on public road | Levies included in the price of petrol, and through motor vehicle license fees. |
| Treatment Injury | Injuries as a result of medical treatment | Funded from the Earners and Non-Earners accounts, depending on the claimants' employment statuses. |
Read more about this topic: Accident Compensation Corporation