BLOG: ACC AND MOTORCYLE LEVIES

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United Future
Since: 2007-08-08 10:30:45.829588
Posts: 221

BLOG: ACC AND MOTORCYLE LEVIES

Posted at 2009-11-13 14:18:39.509. Permalink.

The recent protests by motorcyclists over proposed massive increases in ACC levies highlight a problem that occurs all too often.

Upfront, I think the proposed increases are too steep, and should be revisited. I also think there is an essential conflict between the “no fault” principle which underpins the whole ACC philosophy, and the argument that the costs to ACC from motorcycle accidents outweighs the levies collected from that sector. “No fault” is one of the great strengths of ACC, and to discard it is to fundamentally overturn ACC’s most unique feature.

However, leaving all that aside, there is a more fundamental issue.

Too often, governments make decisions on the basis of particular items or machines, and not the people who use them. So, we decide that because, for example, guns are dangerous and can kill or maim people, every single gun has to be licensed, even though a gun without someone to fire it is relatively harmless. Similarly, with motorcycles, we decide that each one of them has to bear an ACC levy, even though they have to be ridden dangerously to cause harm. In short, we blame the machines for the foibles of the users.
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Liam Venter
Since: 2009-11-13 13:59:32.592
Posts: 1

Posted at 2009-11-13 14:18:39.881. Permalink.

Peter, a very interesting and thought provoking article.

Your suggestion of a single flate levy per driver/rider seems a more equitable soluton. Especially for motorcyclists many of whom also own a car to do the weekly shopping in and drive on those wet days. Many of whom also have more than one bike.

Peter have you or anyone else done the maths on this?

Given what the ACC say they need to fully fund claims each year in the year the claim was made and pay for the liabilities of claims from 1974 until 1999 (when the funding model changed to being a fully funded model)...

How much do you think this Single Flate Rate ACC Levy would costs each rider/driver per year?

I forwarded a submission to ACC under their current annual levy review consultation request along the same lines. I was very surpised to get a reply from Keith McLea signed General Manager, ACC Insurance.

As far as I know Keith McLea works for the ACC and their is no company, corporation, SOE, etc called ACC Insurance. So I guess this is an indication of the direction he has been instructed to take ACC.

I guess this means that as far as he is concerned we are dun and dusted with "The Accident Compensation Corporation (ACC) provides comprehensive, no-fault personal injury cover for all New Zealand residents and visitors to New Zealand."

Peter I would be keen to hear your speculation on the future of ACC Insurance.

Regards
Liam Venter

Carel Kirstein
Since: 2009-11-26 10:55:53.674
Posts: 3

Posted at 2009-12-22 21:27:39.677. Permalink.

I find it interesting that bikers were paying more because of, ACC in the past. Now again they are paying even more on top of what other road users are paying. Amazing that because the rise is not as steep as proposed all seems to be OK.

Well question why are they paying more for saving the environment and fuels, even wear and tear on the roads.

I have been talking with Kiwi's in Australia. There income is better then here in New Zealand, General living cost are cheaper, so then when there is talk of getting NZ in line with income of OZ then why is the Kiwi's nailed so hard by the government for what ever they can, or do i have my wires crossed?

Some questions that I have is why are they making a distinction between up to 600cc and then the bigger bikes?

In my youth I rode bikes from 50cc to 1300cc bike and again this is personal I found the smaller bike more dangerous then the bigger and more powerful machines, Could someone that have experience today respond to this statement please?

This brings to mind some interesting questions? along with the corporation, issue.

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