This year more than any other year is going to be the year that NZ needs to decide if they want a pre-funded ACC scheme.
It's an issue that affects everyone that pays levies. Workers, self employed, motorists, etc.
When Owen Woodhouse (still alive - interview potential) created the scheme he did so after careful consideration after looking at all the major systems in the world.
He came to the conclusion that a simple compensation scheme (as opposed to an insurance system which NZ previously had) provided the greatest benefit to the community. I'll mention that word again, community, because that's what it is all about. The community caring for the community.
His opinion was that a community funded scheme where all people contribute equally (no risk assessment or consideration of fault) to assist those most in need, down to those least in need, would work best (he determined that helping those least in need of support would be determined by what the community was prepared to pay).
For some reason NZ took a sudden deviation off the original plan and changed from "pay as you go" to pre-funding.
No other area of Government social spending is pre-funded. You don't have to pay for your entire retirement on the first year you retire. You don't have to pay for your entire use of the roading network the first year you start driving. You don't have to pay for your entire education in the first year you attend school.
So why was there a need to all of a sudden change ACC so that you have to pay for all future care relating to accidents in the year that they occur?
NZ has been in a recession. If you dropped the pre-funding now, every single levy holder could have an immediate reduction in their levies, giving the economy a much needed little push.
This issue is very much an issue affecting all NZ's.
It would also get rid of the countries ACC debt, which only exists on paper.
Did you know ACC recently *only* had a $900m? It was only $900m because of the recession. Typically its more like $2b.
Would you call a corporation with a $900m cash operating surplus and with significant assets in trouble? No. The "trouble" is purely on paper because of pre-funding.
There is going to be a general protest march on parliament on February 16th.
I think with all the additional media attention that your show might benefit nicely from a more in-depth look at the situation.
I hope for your support in bringing this to the attention of the average NZ'er, and what they are having to needlessly pay for.
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