Gerry Brownlee                                                                                                                          National ACC Spokesperson                                                                                                            August 14th 2000

 The Finance Minister is under pressure to re-think ACC premiums in the wake of revelations the Government’s ACC legislation has seen premiums sky-rocket, National’s ACC spokesperson Gerry Brownlee said today.

“National and many business and voluntary groups warned the Government that ACC premiums would go up under the Government’s renationalisation plans.

“The Government refused to listen.

“Dr Cullen dismissed the concerns saying “claims employers will be hit with higher costs under ACC is just plain wrong” (Media statement 6.6.2000).

“The reality is much different.

“ACC bills are now being delivered and for many businesses, farmers, childcare providers they mean much higher costs.

“Childcare providers can’t understand why they have to pay more than before, and more than the premiums faced by schools. Even with full ACC discounts they are paying 300% more than primary and secondary schools.

“The private sector based their premiums on individual claims records provided directly from ACC. The nonsense of industry classifications was done away with, and safe workplaces attracted very low premiums with poor performers paying higher levels.

“Why can’t ACC work the same way? The Government must go back to the drawing board and instruct ACC to do better than the 118 industry classifications one-size fits all approach to premiums.

“If it needs a law change National will support it.

“Dr Cullen must front up and fix the problems if his commitment to business that they won’t be hit with higher ACC costs is to have any credibility.”