ACC suspension letters have quadrupled in five years

The number of letters suspending entitlements from the Accident Compensation Corporation (ACC) has quadrupled in the past five years, according to RNZ.
ACC supports more than 2 million injury claims a year. A suspension letter pauses the entitlements a person receives under a claim. ACC figures show 17,310 of these letters were created in 2021. In the first 10 months of 2026, that figure reached 68,147.
The rate at which ACC denies claims has also risen. It went from 2.21 percent in 2023/24 to 2.54 percent in 2025/26. The number of ACC decisions sent for independent review has nearly doubled over the same period. The number of people declined elective surgery cover, meaning planned surgery that is not urgent, has jumped significantly over the past two years.
Lawyer Warren Forster said the law has not changed in a way that would explain the rise in people being dropped from cover. He said the changes were politically driven, without a formal change in the law. Forster also said ACC is tracking towards 85,000 people being exited in 2026.
ACC said cover and entitlement decisions are assessed on a case-by-case basis. The corporation said it funded treatment, rehabilitation and compensation worth more than $8 billion in 2025-26. Its 2026 Annual Report shows more injured New Zealanders are recovering sooner and returning to work and independence faster. ACC said these improved rehabilitation outcomes followed a renewed focus on rehabilitation performance.


