Accident Compensation Act 2001

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Version as at 30 October 2022

Accident Compensation Act 2001

Public Act		2001 No 49
Date of assent		19 September 2001
Commencement		see section 2

Act name: substituted, on 3 March 2010, by section 5(1)(a) of the Accident Compensation Amendment Act 2010 (2010 No 1).

Note

The Parliamentary Counsel Office has made editorial and format changes to this version using the powers under subpart 2 of Part 3 of the Legislation Act 2019.

Note 4 at the end of this version provides a list of the amendments included in it.

This Act is administered by the Ministry of Business, Innovation, and Employment.

1	Title
	Part 1 Preliminary provisions
2	Commencement
3	Purpose
4	Overview
5	Act to bind the Crown
5A	Transitional, savings, and related provisions
6	Interpretation
7	Acute treatment
8	Cover
9	Earnings as an employee: what it means
10	Earnings as an employee: payments to spouse or partner
11	Earnings as an employee: what it does not include
12	Earnings as an employee: Work Account levy payable under section 168
13	Earnings of private domestic workers
14	Earnings as a self-employed person
15	Earnings as a shareholder-employee
16	New Zealand
17	Ordinarily resident in New Zealand
18	Spouse (and spouse in relation to deceased claimant)
18A	Partner (and partner in relation to deceased claimant)
	Part 2 Cover
	Preliminary provision
19	Key terms in this Part
	Principles
20	Cover for personal injury suffered in New Zealand (except mental injury caused by certain criminal acts or work-related mental injury)
21	Cover for mental injury caused by certain criminal acts
21A	Cover under Accident Rehabilitation and Compensation Insurance Act 1992 for mental injury caused by certain criminal acts
21B	Cover for work-related mental injury
22	Cover for personal injury suffered outside New Zealand (except mental injury caused by certain criminal acts or work-related mental injury)
23	Cover for personal injury suffered by persons not ordinarily resident in New Zealand: exclusions while travelling to, around, and from New Zealand
24	Cover for personal injury caused by work-related gradual process, disease, or infection: exclusion for events occurring outside New Zealand before 1 April 1974
	Key terms relating to cover
25	Accident
25A	Review of operation of Schedule 3A
26	Personal injury
27	Mental injury
28	Work-related personal injury
29	Personal injury that is both work-related and motor vehicle injury
30	Personal injury caused by work-related gradual process, disease, or infection
31	Ministerial advisory panel on work-related gradual process, disease, or infection [Repealed]
32	Treatment injury
33	Treatment
34	Cover for personal injury caused by medical misadventure before 1 July 2005
35	Motor vehicle injury
	Relevant dates of injury
36	Date on which person is to be regarded as suffering mental injury
37	Date on which person is to be regarded as suffering personal injury caused by work-related gradual process, disease, or infection
38	Date on which person is to be regarded as suffering treatment injury
	Part 3 Code of ACC Claimants’ Rights, and claims
	Code of ACC Claimants’ Rights
39	Meaning of Corporation
40	Purpose of Code
41	Code applies generally
42	Corporation to prepare draft Code in consultation with persons nominated by Minister
43	Public consultation on draft Code after agreement by Minister
44	Approval of Code by Minister
45	Corporation’s obligations in respect of Code
46	Application of Legislation Act 2012 to Code [Repealed]
47	Amendments to Code
	Claims process
48	Person to lodge claim for cover and entitlement
49	Treatment provider lodging claim on behalf of person
50	Responsibilities of Corporation after claim lodged
51	When claim is lodged and received
52	Manner of making claim
53	Time for making claim
54	Responsibility of Corporation to make reasonable decisions in timely manner
55	Responsibilities of claimant to assist in establishment of cover and entitlements
56	Steps Corporation takes to action claims for cover
57	Steps Corporation takes to action complicated claims for cover
58	Effect of failure to meet time limits
	Decisions on cover and entitlements
59	Decision on cover independent of acceptance of levy
60	Decision on claim for Schedule 2 injury
61	Decision on claim for noise-induced hearing loss caused by work-related gradual process
62	Decision on claim for treatment injury
63	Corporation must tell claimant about review rights
64	Corporation must give notice of decisions
65	Corporation may revise decisions
66	Corporation must keep claims files
	Part 4 Entitlements and related matters
	Entitlements
67	Who is entitled to entitlements
68	Corporation provides entitlements in accordance with this Act
69	Entitlements provided under this Act
70	Claimant’s and Corporation’s obligations in relation to rehabilitation
71	Employer’s obligations in relation to rehabilitation
	Responsibilities of claimant
72	Responsibilities of claimant who receives entitlement
	Treatment
73	Payment of treatment providers for acute treatment
74	Limits on treatment providers in decisions on acute treatment
	Individual rehabilitation plan
75	Corporation to determine need for rehabilitation plan
76	Provision of rehabilitation before and after individual rehabilitation plan agreed
77	Assessment of needs and content of plan
78	Individual rehabilitation plan must be updated
79	Purpose of social rehabilitation
80	Purpose of vocational rehabilitation
	Social rehabilitation
81	Corporation’s liability to provide key aspects of social rehabilitation
82	Corporation may provide other social rehabilitation
83	Date of entitlement to social rehabilitation
84	Assessment and reassessment of need for social rehabilitation
	Vocational rehabilitation
85	Corporation liable to provide vocational rehabilitation
86	Matters to be considered in deciding whether to provide vocational rehabilitation
87	Further matters to be considered in deciding whether to provide vocational rehabilitation
88	Vocational rehabilitation may start or resume if circumstances change
89	Assessment of claimant’s vocational rehabilitation needs
90	Occupational assessor
91	Conduct of initial occupational assessment
92	Report on initial occupational assessment
93	Medical assessor
94	Assessments when medical assessor unavailable
95	Conduct of initial medical assessment
96	Report on initial medical assessment
	Employer’s duty to pay first week compensation
97	Employee’s right to receive first week compensation
98	Employer’s duty to pay first week compensation
99	First week compensation is salary or wages for certain purposes
	Weekly compensation
100	Entitlement to weekly compensation depends on claimant’s incapacity for employment and vocational independence
101	Procedures for determining incapacity for employment and vocational independence
	Incapacity for employment
102	Procedure in determining incapacity under section 103 or section 105
103	Corporation to determine incapacity of claimant who, at time of personal injury, was earner, on unpaid parental leave, or recuperating organ donor
104	Effect of determination under section 103 on entitlement to weekly compensation
105	Corporation to determine incapacity of certain claimants who, at time of incapacity, had ceased to be in employment, were potential earners, or had purchased weekly compensation under section 223
106	Effect of determination under section 105 on entitlement to weekly compensation
	Vocational independence
107	Corporation to determine vocational independence
108	Assessment of claimant’s vocational independence
109	When claimant’s vocational independence to be assessed
110	Notice to claimant in relation to assessment of vocational independence
111	How determination that claimant has vocational independence is to be regarded
112	Claimant with vocational independence loses entitlement to weekly compensation
113	Claimant who no longer has vocational independence regains entitlement to weekly compensation
	Interest on late payments of weekly compensation
114	Payment of interest when Corporation makes late payment of weekly compensation
114A	Corporation must publish applicable interest rate and premium
	Indexation of weekly compensation and related amounts
115	Indexation of weekly compensation and related amounts
	Indexation of other entitlements
116	Indexation of lump sum compensation, funeral grant, survivor’s grant, and child care payments
	Powers of Corporation
117	Corporation may suspend, cancel, or decline entitlements
	Disentitlements
118	Disentitlement because proceedings brought: personal injury caused by work-related gradual process, disease, or infection
119	Disentitlement for wilfully self-inflicted personal injuries and suicide
120	Disentitlement for conviction for murder
121	Disentitlement during imprisonment
122	Disentitlement for certain imprisoned offenders
122A	Exemption from section 122(1)
	General provisions
123	Entitlements inalienable
124	Entitlements to be provided to claimant only
125	Corporation to pay amount for child to caregiver or financially responsible person
126	Corporation to pay amount to claimant’s estate
127	Payment of weekly compensation and lump sum compensation to claimant outside New Zealand
128	Payment for rehabilitation to claimant outside New Zealand
129	Payment for attendant care to claimant outside New Zealand
130	Payment to claimant outside New Zealand may be in New Zealand dollars to New Zealand bank account
131	Advances of compensation and grants
132	Adjustment of payments for part periods
	Part 5 Dispute resolution
	Preliminary provision
133	Effect of review or appeal on decisions
	Reviews
134	Who may apply for review
135	How to apply for review
135A	Time frame for lodging review application where alternative dispute resolution conducted about same matter
136	Corporation to acknowledge receipt of review application
137	Corporation to engage and allocate reviewers
138	Reviewer’s duty to act independently and disclose previous involvement
139	Corporation’s duties to secure independence of reviewer
140	Conduct of review: general principles
141	Conduct of review: hearing to be held
142	Persons entitled to be present and heard at hearing
143	Record of hearing
144	Review decisions: formalities
145	Review decisions: substance
146	Deemed review decisions
147	Effect of review decisions
148	Costs on review
	Appeals
149	Who may appeal against review decision
150	District Court Rules and this Act apply to appeal
151	Manner of bringing appeal
152	Corporation to provide names of persons entitled to be heard
153	Notice of hearing place and date
154	Corporation’s duty to make record available
155	Hearing of appeal
156	Evidence at appeal
157	Appointment of assessor
158	Involvement of assessor
159	Court may make order as to persons who may be present
160	Court may make order prohibiting publication
161	Decisions on appeal
	Further appeals
162	Appeal to High Court on question of law
163	Appeal to Court of Appeal on question of law
164	Recovery of costs of appeals
	Part 6 Management of the Scheme
165	Duty of Corporation
	Financial management
166	Separate Accounts
166A	Principles of financial responsibility in relation to Accounts
166B	Funding policy statement
166C	Consultation, publication, and amendment of funding policy statement
	Work Account
167	Application and source of funds
168	Employers to pay levies
168A	Private domestic workers to pay levies
168B	Self-employed persons to pay levies
169	Rates of levies
169AA	Basis on which funds to be calculated [Repealed]
169A	Limit on offsets in case of earnings as self-employed person
170	Classification of industries or risks
171	Classification of self-employed persons and employees engaged in 2 or more activities
172	Work Account levy not payable on earnings of employee over specified maximum
172A	Work Account levy not payable on earnings of self-employed person over specified maximum
173	Estimation of levy
174	Employer to notify increase or decrease of relevant employee earnings
174A	Corporation may develop and establish workplace incentive programmes
174B	Process to develop workplace incentive programme
174C	Minister’s approval of certain workplace incentive programmes
174D	Establishment of workplace incentive programmes
174E	Amendments to workplace incentive programme
174F	Corporation must report on effectiveness of workplace incentive programmes
175	Risk adjustment of Work Account levies
176	Incorporation by reference
177	Copy of audit tool and material incorporated by reference to be available to public
178	Criteria for upward adjustment of levies
179	Process for Corporation to decide whether to require audit
180	Effect of audit or refusal to allow audit
	Accredited employers
181	Interpretation
182	Objectives of sections 181 to 189
183	Framework to be established
184	Accreditation agreements
185	Accreditation requirements
186	Corporation may be accredited employer
187	Accredited employers to provide entitlements
188	Monitoring and audit
189	Reporting and information
	Purchase of weekly compensation by shareholder-employees
190	Purchase of weekly compensation by shareholder-employees
191	Effect on Work Account levy
	Residual Claims Account [Repealed]
192	Application and source of funds [Repealed]
193	Liability to pay Residual Claims levy [Repealed]
194	Rate of levy [Repealed]
195	Classification of industries or risk [Repealed]
196	Classification of employees engaged in 2 or more activities [Repealed]
197	Classification of self-employed persons engaged in 2 or more activities [Repealed]
198	Residual Claims levy where 2 or more employers [Repealed]
199	Promotion of employer involvement [Repealed]
200	Residual Claims levy not payable on earnings over specified maximum [Repealed]
	Self-Employed Work Account [Repealed]
201	Application and source of funds [Repealed]
202	Self-employed persons to pay levies [Repealed]
203	Rate of levies [Repealed]
204	Limit on offsets in case of earnings as self-employed person [Repealed]
205	Classification of industries or risk [Repealed]
206	Classification of self-employed persons engaged in 2 or more activities [Repealed]
206A	Risk adjustment of Self-Employed Work Account levy [Repealed]
206B	Incorporation by reference [Repealed]
206C	Copy of material incorporated by reference to be available to public [Repealed]
207	Self-employed Work Account levy not payable on earnings over specified maximum [Repealed]
	Purchase of weekly compensation by self-employed persons
208	Purchase of weekly compensation by self-employed persons
209	Procedure for reaching agreement
210	Effect of agreement
211	Levies for self-employed persons who purchase weekly compensation
212	Earner levies for self-employed persons who purchase weekly compensation
	Motor Vehicle Account
213	Application and source of funds
214	Rate of levies
215	Basis on which funds to be calculated [Repealed]
216	Levy categories
217	Collection of levies
	Earners’ Account
218	Application and source of funds
219	Earners to pay levies
220	Rate of levies
220A	Basis on which funds to be calculated [Repealed]
221	Collection of levies by deduction from employee earnings
222	Payment of Earners’ Account levy by self-employed persons
	Purchase of weekly compensation for periods outside employment
223	Persons eligible to purchase weekly compensation
224	Compensation for persons who purchase weekly compensation
225	Levies for persons who purchase weekly compensation
226	Resumption of employment by persons who purchased weekly compensation
	Non-Earners’ Account
227	Application and source of funds
	Treatment Injury Account
228	Application and source of funds
229	Levy categories and rates
230	Collection of levies
	General levy provisions
231	Mixed earnings as employee and self-employed person
232	Work Account levy payable by employers on disposal or cessation of business or when ceasing to employ
233	Levies payable to Corporation by self-employed person who ceases to derive earnings as such
234	Levies may be collected by instalments
235	Collection of levies from self-employed and employers [Repealed]
236	Challenges to levies
237	Corporation may revise decisions
238	Effect of review or appeal about levy
239	Corporation to define risk classification and decide levy if activity not classified by regulations
240	Determinations
241	Statements
242	Failure to provide statement
243	Power to assess levies
244	Amounts of levy exempt from payment
245	Agent to whom levies may be paid
246	Information available to Corporation
247	Change of balance date
	General administration
248	Recovery of debts by Corporation
249	Penalties due to Corporation in respect of overpayments
250	Penalties and interest due to Corporation in respect of unpaid levies
	Recovery of payments
251	Recovery of payments
	Relationship with social security benefits
252	Relationship with social security benefits: reimbursement by Corporation
253	Relationship with social security benefits: reimbursement to Corporation
	Limitation period and other matters
254	Limitation period
255	Refunds payable by Corporation
256	Application of payments
257	Application of sections 248, 249, and 254 to third parties
258	Production of documents
	Part 7 Accident Compensation Corporation
	The Corporation
259	Accident Compensation Corporation
260	Powers of Corporation [Repealed]
261	Relationship between Corporation and subsidiaries
262	Functions of Corporation
263	Prevention of personal injury
264	Money expended or received for injury prevention to be managed through Accounts
264A	Workplace injury prevention action plan
264B	Injury prevention measures undertaken by WorkSafe and funded by Corporation or jointly undertaken
265	Ancillary powers of Corporation
266	Provisions relating to Crown entity subsidiaries
267	Board of Corporation
268	Protection of names “Accident Compensation Corporation” and “Accident Rehabilitation and Compensation Insurance Corporation”
	Provisions relating to accountability of Corporation
269	Further provisions applying to Corporation
270	Corporation to comply with Government policy [Repealed]
271	Service agreements between Corporation and Minister
272	Statement of intent
273	Provision of financial information
274	Management of Accounts
275	Investments
276	Power to borrow, etc
277	Loans and grants to Corporation [Repealed]
	Reporting requirements
278	Annual financial statements
278A	Annual financial condition report
	Information collection
279	Purposes for which Corporation to collect information
	Disclosure of information
280	Disclosure of information to Corporation
281	Disclosure of information by Corporation for benefit and benefit debt recovery purposes
282	Disclosure of information by Corporation for health purposes
283	Disclosure of information by Corporation for injury prevention purposes
284	Reporting of risk of harm to public
285	Personal injuries in nature of medical misadventure [Repealed]
	Information about work-related injuries
286	Corporation to provide information to Ministry of Business, Innovation, and Employment and to health and safety regulators
	Part 8 Management of injury-related information
287	Purpose of this Part
288	Injury-related statistics are official statistics under Data and Statistics Act 2022
289	Information manager
290	Information manager can require government agencies to provide injury-related information
291	Ministerial advisory panel [Repealed]
	Purchase agreements
292	Minister to require information manager to enter into purchase agreement
293	Funding of information manager
	Part 9 Miscellaneous provisions
	Situations where previous insurer involved
294	Scope and purpose of sections 295 to 297
295	Obligation to provide entitlements where subsequent injury occurs
296	Failure to reach agreement
297	Entitlements not affected by court direction
298	Work-related gradual process, disease, or infection involving exposure before 1 April 2002
	Effect of Act and public interest
299	No contracting out of this Act
300	Public interest
	Public health acute services
301	Service agreement for purchase of public health acute services and other health services
302	Minister of Health’s responsibilities for purchase of public health acute services and other health services
303	Restriction on purchase by Corporation of public health acute services
304	Minister of Health acts on behalf of the Crown
	Joint purchasing arrangements
305	Joint purchasing arrangements for emergency transport services
	Special leave for non-work injuries
306	Sick leave may be used when employer not liable for first week compensation
	General notification provision
307	How documents given or information notified
	Offences and penalties generally
308	Offence to mislead Corporation
309	Offence not to provide requested information to Corporation
310	Offence not to provide earnings information to Corporation
311	Goods and services tax not payable on penalties or fines
	Liability of directors, employees, and officers
312	Directors, employees, and officers
	Informations
313	Charges
	Summary conviction [Repealed]
314	Summary conviction [Repealed]
	General fine
315	General fine for offences
	Offences relating to earner levies
316	Offences in relation to deductions
	Proceedings
317	Proceedings for personal injury
318	Proceedings for personal injury caused by work-related gradual process, disease, or infection
319	Exemplary damages
320	Corporation to be heard
321	Powers of Corporation when person has right to bring proceedings
	Regulation-making powers
322	Regulations relating to definitions
322A	Definition of health practitioner may be limited
323	Regulations relating to claims for noise-induced hearing loss caused by work-related gradual process
324	Regulations relating to rehabilitation
324A	Biennial review of certain amounts
325	Regulations relating to ancillary services for rehabilitation
326	Regulations relating to lump sum compensation
326A	Regulations relating to interest on late payments of weekly compensation
327	Regulations relating to indexation
328	Regulations relating to reviews and appeals
328A	Regulations relating to alternative dispute resolution
329	Regulations relating to levies
330	Consultation requirements for regulations relating to classifications, risk rating, or treatment injury
331	Consultation and other requirements for regulations relating to levy setting
332	Regulations relating to information
333	General power to make regulations
334	Regulations may confer discretion
335	Regulations may prescribe offences and fines
336	Amendment of Schedule 2 by Order in Council
	Repeal of and amendments to provisions relating to residual levies
336A	Repeal of and amendments to provisions relating to residual levies for Work Account
336B	Repeal of and amendments to provisions relating to residual levies for Motor Vehicle Account
336C	Repeal of and amendments to provisions relating to residual levies for Earners’ Account
	Consequential amendments, repeals, and revocations
337	Consequential amendments
338	Consequential tax amendments
339	Consequential repeals and revocations
	Part 10 Provisions relating to transition from competitive provision of workplace accident insurance
340	Purpose of this Part
341	Interpretation
	Savings in respect of accident insurance contracts and injuries to which contracts apply
342	Savings in respect of accident insurance contracts and injuries to which contracts apply under 1998 Act
	Savings in respect of other ongoing matters under 1998 Act
343	Saving in respect of other ongoing matters under 1998 Act
344	Funding of Regulator
345	Regulator’s functions in respect of Non-Compliers Fund
346	Amendments to 1998 Act
347	Saving in respect of 2000 Act
	Savings in respect of public health acute services
348	Savings in respect of Accident Insurance (Payment for Public Health Acute Services) Regulations 2001
	Regulations
349	Regulations
	Part 11 Transitional provisions relating to entitlements provided by Corporation (but not under Part 10)
	Interpretation
350	Interpretation
351	References to former Acts
	Purpose of this Part
352	Purpose of this Part
	Application of this Part
353	Part not to apply to certain claims
	Cover for personal injury suffered before 1 April 2002
354	Processing of claims
355	Claims for cover accepted under former Acts
356	Claim for cover lodged but not yet determined if injury suffered before 1 July 1992
357	Claim for cover lodged before 1 July 1999 but not yet determined if injury suffered on or after 1 July 1992 but before 1 July 1999
358	Claim for cover lodged on or after 1 July 1999 but not yet determined if injury suffered on or after 1 July 1992 but before 1 April 2002
359	Injuries suffered before 1 April 1974
360	Claim for cover under former Acts not lodged until on or after 1 April 2002
361	Exclusion of cover for personal injury caused by work-related gradual process, disease, or infection if events before 1 April 1974 and death before 1 July 1992
	First week compensation for incapacity commencing before 1 April 2002
362	First week compensation for incapacity commencing before 1 April 2002
	Entitlements for personal injury suffered before 1 April 2002
363	Application of sections 364 to 387
	Treatment
364	Treatment
	Weekly compensation
365	Weekly compensation under Accident Insurance Act 1998
366	Weekly earnings of certain claimants increased
367	Multiple employment
368	Weekly payments for permanent incapacity under 1972 and 1982 Acts
369	Cessation of weekly compensation under any former Act because of capacity for work
370	Cessation of weekly compensation under any former Act because of national superannuation qualification age
371	Interest on late payments of weekly compensation
	Rehabilitation
372	Individual rehabilitation plan
373	Time limit on vocational rehabilitation
374	Compensation for pecuniary loss not related to earnings under 1972 and 1982 Acts: attendant care and household help
375	Compensation payable outside New Zealand for pecuniary loss not related to earnings under 1982 Act: attendant care
376	Compensation for pecuniary loss not related to earnings under 1972 and 1982 Acts
	Independence allowance
377	Independence allowance for personal injury suffered before 1 July 1999
378	Personal injury suffered on or after 1 July 1999 and before 1 April 2002
379	Payment of independence allowance to claimant outside New Zealand
	Lump sum compensation under former Acts
380	Lump sum compensation under former Acts
	Entitlements arising from fatal injuries
381	Funeral expenses for death before 1 April 2002
382	Survivor’s grant to surviving spouses or partners, children, and other dependants for death before 1 April 2002
383	Compensation payable to surviving spouses or partners, children, and other dependants under Accident Insurance Act 1998
384	Compensation payable to surviving spouses or de facto partners under 1972 and 1982 Acts
385	Compensation payable to children and other dependants under 1972 and 1982 Acts
386	Child care payments for children of deceased persons
387	Compensation for pecuniary loss not related to earnings under former Acts: child care for child of deceased person
388	Indexation of certain entitlements payable under former Acts
	Disentitlements
389	Disentitling sections apply
	Revision of decisions under former Acts
390	Corporation may revise decisions
	Review and appeals
391	Review and appeal proceedings for decisions under former Acts
	Financial provisions
392	Allocation of existing funds
393	Levies, premiums, and other payments under former Acts
	Accredited employers
394	Accredited employers under Accident Rehabilitation and Compensation Insurance Act 1992
395	Accredited employers under Accident Insurance Act 1998
	Regulations
396	Regulations providing for transitional matters [Expired]
397	Expiry of section 396
	Relationship of HSE levy and reserves portion
398	Collection of HSE levy
	Transitional provisions relating to Corporation
399	Corporation in lead-up to commencement of this Act
400	Transfer of rights and liabilities under former Acts
	Savings provision relating to references to premiums
401	References to premiums under former Act include levies under this Act
	Disestablishment of Accident Compensation Appeal Authority
402	Disestablishment of Accident Compensation Appeal Authority
	Schedule 1AA Transitional, savings, and related provisions
	Schedule 1 Entitlements
	Schedule 2 Occupational diseases
	Schedule 3 Cover for mental injury caused by certain acts dealt with in Crimes Act 1961
	Schedule 3A Maternal birth injuries
	Schedule 4 Deductions on account of earner levies
	Schedule 5 Provisions relating to Corporation
	Schedule 6 Consequential amendments
	Schedule 7 Consequential tax amendments
	Schedule 8 Orders and regulations revoked
	Injury Prevention, Rehabilitation, and Compensation Amendment Act 2003
	Injury Prevention, Rehabilitation, and Compensation Amendment Act (No 2) 2005
	Injury Prevention, Rehabilitation, and Compensation Amendment Act 2007
	Injury Prevention, Rehabilitation, and Compensation Amendment Act 2008
	Accident Compensation Amendment Act 2010
	Notes

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