The Accident Compensation Corporation (ACC) has announced new executive appointments, marking a period of significant organisational change as it also grapples with financial and operational challenges.
Lisa Hansen (pictured) has been named deputy chief executive for people and culture, a position she has held on an acting basis since September 2023.
She joined ACC earlier that year and led the Future Workforce portfolio before stepping into the interim executive role. Her prior experience spans leadership roles in the media, insurance, and health industries, including a seven-year tenure as general manager of people and talent at TVNZ.
ACC chief executive Megan Main said Hansen’s insights into the organisation’s people strategy and internal culture will be instrumental as the corporation moves forward.
“I know she’ll be a strong leader for everyone across people and culture, and represent people and culture well at executive, board, and externally. Lisa is an empathetic leader who has built strong relationships, both within people and culture, and across the organisation,” she said.
In November, Michael Frampton was confirmed as deputy chief executive for service delivery.
He had previously served as deputy chief executive for people and culture and has been acting in the service delivery role since late 2023.
According to Main, Frampton’s expertise in healthcare systems and focus on improving rehabilitation outcomes have made him a strong fit for the position.
As ACC marks its 50th anniversary, the organisation is navigating a complex landscape of increasing claims, financial strain, and evolving client needs.
The organisation’s latest annual report for the 2023/24 fiscal year highlighted rising claims volumes and increased financial pressures. It recorded a $7.2 billion deficit, primarily driven by an $8.7 billion increase in its outstanding claims liability (OCL). The OCL, representing the future costs of existing claims, has grown to $60.2 billion.
Despite the deficit, ACC maintains that its obligations to clients remain secure. Its $51.6 billion investment fund, which supports long-term claims costs, delivered a 7.6% return before expenses during the fiscal year.
The report also underscored challenges in rehabilitation performance. ACC is seeing more injury claims requiring time off work, with recovery periods extending. In response, the organisation has launched a three-year investment strategy aimed at improving client outcomes. Initiatives include:
ACC continues its injury prevention initiatives, allocating $80 million in the past year to programmes such as RugbySmart, Ride Forever, and Farmstrong. These efforts aim to mitigate preventable injuries, which contribute significantly to claims volumes.
To address financial sustainability, the government has approved phased increases of up to 5% annually for earners’ and business levies over the next three years. For workers earning a median annual income of $70,000, these adjustments will result in an additional $140 in levies by 2028. Vehicle owners will face corresponding increases.
