New Zealand’s Accident Compensation Corporation (ACC) expects to reduce levy rates for workers and earners next financial year.

Its annual report says it will cut rates on two of its five accounts – the workers’ account for work-related injuries and the earners’ account for non-work injuries incurred by staff – because the accounts’ solvency levels are more than 100%.

“As the ACC progresses towards full funding, and no longer collects a residual levy to fund past claims, future levy rates are projected to decrease and stabilise,” the report states.

ACC Minister Judith Collins says privacy and information security remain the biggest issues for the corporation following the scandal this year when more than 6700 claimants’ details were mistakenly emailed to a client.

CEO Ralph Stewart says implementing the findings of two reports into privacy procedures will require business process re-engineering across the corporation.

The fall in long-term interest rates increased the ACC’s outstanding claims liability to $NZ3.9 billion ($3 billion) in 2011/12, from $NZ80.6 million ($63.8 million) the previous year, but Mr Stewart says the ACC remains on track for scheme solvency by 2019.

Levy revenue was steady at $NZ4.8 billion ($3.8 billion), as was the total cost of claims at $2.6 billion ($2 billion). 

The ACC accepted 1.7 million new claims during the year, steady on 2010/11.