Notice Type
Departmental
Recommendations From Consultation on Changes to the Motor Vehicle Account Premiums and Motor Vehicle Account Levy Regulations 1999 The Accident Insurance Act 1998, requires that the Motor Vehicle Account, which meets the cost of people injured in accidents involving motor vehicles* on public roads, be managed on a fully funded basis from 1 July 1999. This means that enough money needs to be collected in 1999 to meet all the on-going costs of the injuries that occur in that year. Funding for the Motor Vehicle Account is to be derived from: An annual premium on motor vehicle owners, to fund the cost of new claims from 1 July 1999; A motor spirits excise duty. As required by section 409 of the Act, A.C.C. has completed consultation with premium payers, and has recommended changes to be made to the Motor Vehicle Account Premiums to the Minister for Accident Rehabilitation and Compensation Insurance. In order to generate the increased revenue required, A.C.C. recommended that: The classification of motor vehicles for premium purposes should stay the same; The following premium and levy rates be payable by owners of motor vehicles for the licensing period commencing on 1 July 1999: AnnualRateof Levy AnnualRate ofPremium CompositeAnnualRate Class 1 Nil Nil Nil Class 2 $51.25 $47.70 $98.85 Class 3 $17.95 $16.70 $34.65 Class 4 $53.80 $50.10 $103.90 The motor spirits excise duty be increased by 3 cents to 5 cents per litre. A copy of the recommendation may be obtained by contacting Trish Millward on telephone No. (04) 918 7304. * Except in 2 specific circumstances defined as workplace injuries in the legislation.
Publication Date
20 May 1999

Notice Number

1999-go3694

Page Number

1344