ABSTRACT

The election of a social democrat Labor Government in 1999 has halted the privatization of accident compensation in New Zealand. The Royal Commission reported back in 1967 in a report, which is now commonly known as the "Woodhouse Report". Instead of simply recommending improvements in workers compensation the report proposed a no-fault compensation schema for all New Zealanders giving 24-hour-a-day cover against personal injury. To fund such a scheme the Woodhouse Report recommended the abolition of the right to sue for common law damages in the Courts and the abolition of the other schemes for compensating injured people. In 1998, however, the then National Government decided to implement a process of privatization of the scheme and the Accident Insurance Act 1998 was passed. Nevertheless, after some years of reports and assessments the Accident Compensation Act 1972 was passed to come into force on 1 April 1974.