21 December, 2010

Privatisation of ACC will hurt accident victims

John Key’s Government's plan to privatise ACC will further undermine a world leading system that was fair for accident victims, said the Green Party today.

The Government announced today that ACC work account will be opened up to private insurance companies.
“Part-privatisation of ACC will cut support to vulnerable accident victims. It will result in unfair and uneven support for accident victims. This decision is a result of National’s ideological commitment to privatisation, it will make the system worse, said Green Party ACC Spokesperson Kevin Hague.
“In a cynical move the Government has chosen to make this announcement just before Christmas in order to stifle public debate and scrutiny. This is dodgy and dishonest politics,” added Mr Hague.

“Part-private models will not work - we have seen this in Australia, and last time New Zealand did this in the late 90s. It is clear that the National Government, despite its protestations, is committed to privatisation.
“There is no crisis in ACC finances, last year it took in over a billion dollars more than it spent on claims. John Key's Government has manufactured a crisis with ACC so that it can pursue its privatisation agenda.

“It is a mistake to treat ACC as an insurance scheme, as Sir Owen Woodhouse has pointed out this was never the intention, its purpose is to provide support to accident victims who need it. The move to use private insurance companies fundamentally undermines the scheme, said Mr Hague.

ENDS

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