New Zealand operates a unique no-fault compensation scheme: the Accident Compensation Corporation (ACC) administers all personal injury cover, replacing common-law tort recovery for nearly all accidental injuries.
New Zealand abolished common-law tort recovery for personal injury in 1972 and replaced it with the Accident Compensation Corporation (ACC), a statutory no-fault scheme. The Accident Compensation Act 2001 governs the present system. There is generally no right to sue for compensatory damages in personal injury, instead, ACC provides medical treatment cover, weekly compensation for lost earnings, lump sum for permanent impairment, and rehabilitation entitlements.
Editorial coverage of New Zealand differs from the other jurisdictions on this site because there is no settlement to negotiate in the conventional sense. Coverage focuses on ACC entitlement bands, the lump-sum permanent-impairment schedule, weekly-compensation calculation, and the disputes / review pathway.
Limited residual common-law claims survive, exemplary damages for outrageous conduct, claims arising entirely outside the cover scope, and certain narrow categories, but they are exceptional rather than the rule.
Indicative settlement values. Each row names its source or is marked as a MyClaimWorth estimate. These are starting points for valuation, not quotes for any specific case.
| Injury type | Band |
|---|---|
| Minor whiplash (no permanent impairment) | Treatment cover onlyACC, no lump sum below 10% impairment |
| Permanent impairment 10 to 14% | NZ$3,500 to NZ$5,000MyClaimWorth estimate |
| Permanent impairment 30% | NZ$30,000+MyClaimWorth estimate |
| Permanent impairment 80%+ (catastrophic) | ~NZ$182,484MyClaimWorth estimate |
| Loss of earnings (post-injury) | 80% of weekly earnings up to capACC weekly compensation |
| Treatment, rehabilitation, attendant care | Actual cost (subject to ACC approval)ACC cover |
| Workplace injury (ACC) | ACC weekly compensation and lump sum, no right to sueThe Accident Compensation scheme bars personal-injury litigation entirely; entitlements are statutory. |
| Back injury (moderate to severe) | ACC weekly compensation and lump sum for permanent impairmentACC covers the injury regardless of fault; there is no separate damages award. |
| Brain injury / concussion | ACC entitlements scaled to assessed impairmentSerious-injury claims attract rehabilitation and attendant-care entitlements rather than a lump-sum damages figure. |
| Fracture | ACC treatment cost and weekly compensationLump-sum independence allowance applies only above the statutory impairment threshold. |
| Medical negligence (treatment injury) | ACC treatment-injury cover, no negligence claimTreatment injury is covered by ACC without proving fault; the statutory bar on suing applies here too. |
Accident Compensation Act 2001
Claims for cover should be lodged as soon as practicable. Reviews of decisions must be lodged within 3 months. Common-law residual claims follow Limitation Act 2010.
ACC pays regardless of fault. Outside ACC scope (rare), Limitation Act 2010 contributory-negligence rules apply to surviving common-law claims.
Caps that bite on damages awards in New Zealand, ordered by impact.
Lump sums payable for 10%+ whole-person impairment; bands published annually by ACC.
Tax applies to weekly compensation as it would to wages.
The procedural pathway from injury to settlement under New Zealand law.
A treating medical practitioner lodges the claim. Most personal-injury claims are accepted automatically.
ACC determines whether the injury falls within cover. Treatment is generally provided pending the decision.
Once cover is confirmed, ACC processes weekly compensation, treatment, rehabilitation, and lump-sum entitlements as they accrue.
Claimant can seek a review of any ACC decision within 3 months. Reviews are heard by an independent reviewer.
A review decision can be appealed to the District Court. Further appeals to High Court and beyond on points of law.
Short, direct answers to the questions people ask most.
Vocabulary that comes up in any conversation about claim value in this jurisdiction.
Every claim turns on its own facts: severity, prognosis, recovery time, the medical paper trail, lost income, the applicable cap, and the published band that most closely matches. The figures on this page are illustrative, not a quote. For representation, consult a solicitor or attorney qualified in New Zealand. See our disclaimer for the full scope of what we do and don't do.
