When you are new to business, ACC language can feel confusing and understanding where the information ACC use comes from. Here are the points and key terms to know.
Business Industry Classification, or BIC code, is the code that describes what your business mainly does. When you file your tax return or register for GST, Inland Revenue passes your BIC code, liable income or payroll, and contact details to ACC. ACC then uses that business code to place you into a Classification Unit, which groups similar businesses by injury risk. Your ACC invoice is then based on that classification, your liable income or payroll, the type of cover you have, and any relevant claims history from the information Inland Revenue collects.
WorkPlace Cover is the standard ACC cover for employers and shareholder-employees. It is based on the company’s business activity and the gross wages a business pays and shareholder-employee’s liable earnings. Like CoverPlus, the amount paid after an accepted accident claim is usually worked out from proven earnings, and a seven-day stand-down period applies.
CoverPlus is the default ACC cover for self-employed people and contractors. It is usually based on your taxable income from the most recently completed financial year and at claim time can pay up to 80% of that income if you cannot work after an accident and where you can prove a loss of income. For the 2026/27 year, ACC’s maximum liable earnings cap is $156,641, so standard CoverPlus levies are applied to that amount of income and compensation to 80% or $125,312 in the event of a claim.
CoverPlus Extra, or CPX, is optional cover. You agree your cover amount with ACC before anything happens. If your claim is accepted, weekly compensation is based on that agreed amount, not on proving lost earnings later or 80% of your earnings. This can be used by self-employed people, partners in partnerships and shareholder-employees and must be applied for. For the 2026/27 year, the CPX minimum cover level is $40,401 and the maximum cover level is $125,313.
Cover level means the amount of income you choose to protect. A higher cover level usually means a higher ACC levy, while a lower cover level may reduce the cost but also reduce what you receive if you are injured.
Useful resources include the ACC CoverPlus and CoverPlus Extra Guide, the ACC levy calculators, MyACC for Business, and the ACC Business Service Centre. These can help you check your options, estimate levies, apply for CPX, and understand what support is available for treatment, rehabilitation, getting back to work and practical help at home.
