A significant number of abuse victims could be eligible for ACC compensation following a landmark court ruling that could cost it billions of dollars.
But ACC will not immediately be contacting everyone it believes might be eligible, due to fears of retraumatising them and its case managers being overwhelmed.
Advocates and a survivor fear the corporation is stalling to avoid paying out.
The landmark Court of Appeal decision – TN vs ACC, issued in December 2023 – made more childhood abuse survivors eligible for financial compensation. ACC estimated it could affect 100,000 people and cost it $3.6 billion.
Nearly two years since the decision was issued, ACC has decided how it will “fully implement” the ruling from 29 September.
How the court ruling changed payments for abuse survivors
Anyone unable to work due to a mental injury arising from childhood sexual abuse can apply for weekly compensation, known as Loss of Potential Earnings (LOPE) payments.
Previously, the date of injury for LOPE was the date they first sought treatment for a mental injury and this had to be before they were 18 years old.
The 2023 TN vs ACC Court of Appeal decision removed the age limit and changed the date of injury to the date the abuse occurred.
In the case of TN, the claimant was abused from the age of two but prevented from seeking help by her family, which meant she could not report the abuse before she turned 18.
ACC applied interim measures while it worked out how it would “fully implement” the court decision. Last month, it estimated that about 262 people between June 2023 and April this year had been accepted for LOPE payments as a result of the case, totalling $50 million.
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