News
30 September 2011 - Catalyst Risk Management Sold
ACC has sold its wholly owned subsidiary, Catalyst Risk Management Limited, to allow the Corporation to focus more on its core business.
The sale, to Australian company Employers Mutual, was completed today, with the new owners taking over Catalyst’s contracts, its 38 staff, and its offices in Auckland, Wellington, Christchurch and Napier.
Catalyst provides specialist injury management, wellness and safety services for businesses and their employees, and is a third party administrator in the ACC Partnership Programme.
Employers Mutual is a workers compensation manager operating in New South Wales and South Australia.
ACC Board Chairman, John Judge, said today the Board’s decision to sell the company reflected ACC’s desire to concentrate on its core business. “Catalyst has allowed ACC to pursue initiatives in the past, but it is time for ACC to pursue its core business,” he said.
“The government has signalled its intention to grow the Accredited Employer Programme and has been consulting on the possibility of choice in the Work Account. These potential changes made Catalyst an attractive proposition for Employers Mutual. “We are delighted the new owners will continue to operate Catalyst in the New Zealand environment. The staff of Catalyst do an excellent job.”
Employers Mutual chief executive Tony Middlebrook said his company was looking forward to working with employers and assisting workers to return to health in New Zealand through Catalyst. “We are market leaders in this field in Australia, and we are excited by the opportunity that Catalyst presents within the New Zealand market,” he said. “Catalyst Risk Management is the ideal vehicle for us to do this – it has a good client base and a good reputation. “We are looking forward to working with New Zealand companies to assist in improving their outcomes.”
11 July 2011 - ACC proposes lower levies
ACC is proposing reduced levy rates for the 2012/13 financial year thanks to ACC’s improved performance. ACC has now commenced consultation on reducing levies for 2012/13.
This year’s levy-setting process sees ACC in a much more positive financial position than in previous years. For the second year running ACC is expected to show a surplus of around $2.5 billion. This is driven by improved rehabilitation of injured people, lower claim rates and better investment returns. However, levies aren’t set on the basis of a single year’s results, and ACC still has some way to go to become financially sustainable.
This is your opportunity to find out more and have your say on the proposals. All submissions must be received by 5pm on 15 August 2011.
Work Levy Consultation - Important things to note:
- find out about the proposed 22% reduction to the combined average work levy from $1.47 to $1.15 per $100 liable earnings for the 2012/13 levy year (and how this impacts on the levies you pay as an employer)
- some changes are being proposed to workplace incentive programmes to provide increased opportunities for participation
- changes to the capping levels for individual levy rates changes are also planned and detailed in the consultation document.
You can find the Work Levy consultation documents on
www.acc.co.nz/levyconsultation
Note: To find the proposed levy rates for your individual classification unit(s) please refer to the document titled " Work Account proposed levy rates" at the above link.
Earners’ Levy Consultation - Important things to note:
- find out about the proposed 17% reduction in the earners’ levy from $1.78 to $1.48 per $100 of liable earnings (GST exclusive)
You can find the Earners’ Levy consultation document on
www.acc.co.nz/levyconsultation
Motor Vehicle Levy Consultation - Important things to note:
- the Motor Vehicle Account is currently 66% solvent and improvements are not sufficient to allow a reduction in levies at this stage. It is hoped to be able to reduce motor vehicle levies within 3 years
- find out about the proposal to maintain the current average motor vehicle levy and the proposal to maintain the petrol levy of 9.90 cents per litre.
You can find the Motor Vehicle Levy consultation document on www.acc.co.nz/levyconsultation
Written submissions can be made up until 5pm on 15 August 2011. Or you can email ACC at levyconsultation@acc.co.nz.
ACC will consider everyone’s feedback then submit recommendations to the Minister for ACC. The Minister will consider them and make his recommendations to Cabinet on what the final rates should be. Once Cabinet agrees on final rates, levy regulations are passed for the new levy year.
For more information read the levy consultation 2012/13 document (PDF 1.23M).
1 June 2011 - Proposed changes to the ACC Work Account
A discussion document has been released by Hon Dr Nick Smith. The purpose of the changes are to improve the delivery of the ACC scheme by managing treatment, improving rehabilitation and lowering compensation payments.
The main points of the discussion document are outlined below:
- A greater range of claims management period for the Accredited Employer Programme (AEP)
- More flexibility for high cost claims cover and stop loss (employers will be able to choose how much and who will provide it.)
- More flexibility on when claims will be handed back to ACC
- Controls over entry into the AEP will remain. However there will be greater flexibility in meeting financial entry requirements e.g. Bank guarantees.
- Franchises and JVs will be able to enter the AEP
- The focus and frequency of audits will be streamlined (a greater focus on rehabilitation outcomes rather than process)
- Smaller employers outside the AEP will be given claims excess options and more choice
- Employers can choose their insurer from October 2012.
- ACC will be a genuine player and not just a default
- Government will continue to specify minimum entitlements under the scheme.
- There will be a single claim lodgement unit. All insurers will use the same form which will be sent to the same address. This unit will hold details on the employers insurer.
- A market regulator will be established
The consultation is open until 15 July 2011. The discussion document can be found at www.dol.govt.nz/consultation
News archives:
July 2010 - Re-introduction of Experience Rating
On the 14th July 2010 ACC Minister Dr Nick Smith announced that experience rating will be introduced from 1st April 2011. To read Dr Smith’s media release click here.
If you would like to find out how your business can benefit from the reintroduction of experience rating please contact us
ACC Legislation passed by Parliament
For further information about the changes please click here
If you would like to discuss how these changes may affect you, please contact us on 0800 835586 or info@catalystrisk.co.nz