ACC Changes

More (expensive) ACC changes for employers.

ACC are introducing a number of changes from 1 April that will impact all employers.

1. All Payment Plans: all payment plans will now incur interest. Historically, ACC provided a 6 month no fee payment plan. This was very popular however; ACC have recognised this is not aligned to standard commercial practice and have introduced interest charges on all payment plans. The rate is pegged to the floating mortgage rate and for the most part will be around 6%.

2. Penalties: ACC invoices typically have a 5-week payment period. Should you not meet this period, you will now be charged penalty interest set at 1% per month compounding immediately. ACC historically was more lenient to when this was applied.

3. 7.2% Levy Increase: this flat levy increase is for businesses in the Experience Rating scheme. ACC wants the scheme to be self-funding and currently it is being subsidised by those not in the scheme. In other words, the discounts are larger than the penalties applied. The 7.2% will be a standalone Experience Rating charge itemised on your 2026 / 27 invoice.

4. No Claims Bonus: applies to smaller businesses and self-employed where their work-related claims history determines whether they receive a discount or a loading on their work levy. ACC states their data has shown that health and safety outcomes have not improved as a result of the programme, so the No Claims Discount will end.

ACC’s Minister commissioned a review on ACC in 2025. The report makes for sobering reading with clear indications that firstly, ACC has been very poor at claim management; and secondly, due to poor decision making and several court cases not going ACC’s way, ACC will be $26.3 billion short by 2030.

ACC’s revenue for the most part comes from three ACC accounts that employers pay into.

Firstly, the earners account which employees pay through their taxes. Any increase in this account typically means an increase in wages. The second is the motor vehicle account through petrol and registrations. The third is the work levy that employers pay directly.

ACC has a public consultation round in 2027 where we will see more detail on the budget blowouts and what this means for you and I, the hard working Kiwis trying to make a buck.

Although none of this is positive for businesses especially when NZ is trying to get back on top after a couple of economically challenging years, there are ways we can help manage your ACC risk.  

After 15 years of ACC brokering and proactive claim management, we can share a lot of great insights and learnings that you can apply in your business.

Join us on our webinar where we will take you through how you can manage your ACC Risk. We cover the above changes, medical certificates, experience rating, and more. Learn from the experts who will tell you what ACC doesn’t.