New Zealand Labour Party

Million-plus car owners to pay too much ACC

More than a million car owners will pay higher ACC motor vehicle registration than necessary from July, Labour’s ACC spokesperson Sue Moroney says.

“During a select committee hearing this morning it was revealed that car owners would have been charged $104.09 for ACC levies but ACC Minister Nikki Kaye has introduced a risk rating model in which owners of older cars will pay a charge of $158.46 – 52 per cent more than they should.

“This penalises, for no proven reason, superannuitants, young people and those on modest incomes.

“Those with the oldest cars will collectively pay $41 million more in ACC levies, while those who can afford the latest model cars pay $41 million less.

“This is National up to its old trick of shifting more costs onto those who can least afford it, without any evidence it reduces accidents and injuries.

“People driving cars manufactured before 2000 are also affected by the higher levies, with some models that were manufactured more recently also impacted.

“Even a Daewoo car manufactured as recently as 2006 will be hit with the higher ACC levy.

“This is poorly thought-out policy from a Minister with a track record of over-charging ACC levies,” Sue Moroney says.