If you're self-employed, you will be familiar with ACC levies. What many business owners don’t realise is that ACC offers a more flexible option called CoverPlus Extra (CPX). It is designed to give greater control and certainty when it comes to injury cover.
This page outlines publicly available information to help you better understand how CPX works and how it differs from the standard ACC CoverPlus. This is not financial advice.
By default, most self-employed people in New Zealand are covered under ACC’s standard scheme, CoverPlus. This provides compensation of up to 80% of your previous year’s income if you are unable to work due to injury.
If your income varies year to year, so can your cover.
If you’ve recently started your business or had a low-income year, your entitlement may not reflect your actual financial needs.
Compensation typically requires you to stop working entirely, even if you're only partially unable to perform your duties.
These factors can result in a mismatch between what you need and what you're eligible to receive.
CoverPlus Extra is an optional ACC product that allows self-employed individuals and shareholder-employees to agree on a set amount of cover in advance. This provides greater flexibility and predictability, and allows for better coordination with other forms of risk protection.
With CPX, you can choose a fixed level of income cover ahead of time. This agreed amount is what you will receive if you are injured and unable to work, regardless of your actual income at the time of claim. There is no need to supply financial records or prove income loss when making a claim.
Because CPX removes the requirement to validate your income after an injury, the claims process can be more efficient and less administratively burdensome.
Under the standard ACC model, all business owners are typically assigned the same classification unit (CU) code. This can result in higher levies if one partner performs high-risk work. CPX allows each shareholder to be classified individually, which can help manage levy costs more fairly.
With CPX, you can choose a fixed level of income cover ahead of time. This agreed amount is what you will receive if you are injured and unable to work, regardless of your actual income at the time of claim. There is no need to supply financial records or prove income loss when making a claim.
Because CPX removes the requirement to validate your income after an injury, the claims process can be more efficient and less administratively burdensome.
Standard ACC reduces compensation as soon as you return to work part-time. CPX, however, continues to pay the full agreed amount until you are back working full-time. This can help provide greater financial stability while you recover.
With CPX, you can choose a fixed level of income cover ahead of time. This agreed amount is what you will receive if you are injured and unable to work, regardless of your actual income at the time of claim. There is no need to supply financial records or prove income loss when making a claim.
Because CPX removes the requirement to validate your income after an injury, the claims process can be more efficient and less administratively burdensome.
Under the standard ACC model, all business owners are typically assigned the same classification unit (CU) code. This can result in higher levies if one partner performs high-risk work. CPX allows each shareholder to be classified individually, which can help manage levy costs more fairly.
With CPX, you can choose a fixed level of income cover ahead of time. This agreed amount is what you will receive if you are injured and unable to work, regardless of your actual income at the time of claim. There is no need to supply financial records or prove income loss when making a claim.
Because CPX removes the requirement to validate your income after an injury, the claims process can be more efficient and less administratively burdensome.
Standard ACC reduces compensation as soon as you return to work part-time. CPX, however, continues to pay the full agreed amount until you are back working full-time. This can help provide greater financial stability while you recover.
CoverPlus Extra is designed to offer more predictability and flexibility. This can be particularly useful for people whose income may fluctuate, or who have other forms of insurance such as income protection or trauma cover. While CPX on its own may not meet every need, it can be structured to work more effectively alongside private insurance solutions.
If you haven’t reviewed how ACC and your personal insurance interact, it may be worth exploring how these options can work together. The structure you choose can influence the level of protection you receive if you are unable to work due to injury.
This page is provided for general informational purposes only and is based on publicly available information from ACC. It is not financial advice, and does not take into account your personal circumstances or objectives. If you are considering changes to your ACC cover or how it fits into your overall protection plan, we recommend speaking with a licensed financial adviser who is familiar with ACC products.
You can find full details and eligibility criteria for CoverPlus Extra on ACC’s official website:
Insurance Services
We use our expertise to guide the way to wealth and prosperity through business, investing and property
From day one, our focus has been on helping Kiwis feel confident about their money — and with 200+ five-star reviews, we’re proud to be doing just that.
"We recently needed to remortgage our rental portfolio and chose to work with the team at Lighthouse Financial Services. It turned out to be a fantastic decision! From the very start, they were professional, supportive, and made the entire process so much easier for us."
"We recently needed to remortgage our rental portfolio and chose to work with the team at Lighthouse Financial Services. It turned out to be a fantastic decision! From the very start, they were professional, supportive, and made the entire process so much easier for us."
"We could not recommend the team more highly. Navigating the process of purchasing a first home is filled with questions and unknowns so having support from these two was fantastic. They were responsive, clear, approachable, worked to understand what we needed and had it all covered."
"We could not recommend the team more highly. Navigating the process of purchasing a first home is filled with questions and unknowns so having support from these two was fantastic. They were responsive, clear, approachable, worked to understand what we needed and had it all covered."
"Lighthouse were very quick and easy to work with. The staff had great communication and processed my tax return within a few days. I recommend their service."
"Lighthouse were very quick and easy to work with. The staff had great communication and processed my tax return within a few days. I recommend their service."
"I've been working with James from Lighthouse for the last 2 years. James has been working with me to help me define and maintain my financial goals and manage my investments. James is extremely easy to deal with and explains things in a very simple and easy to understand way. "
"I've been working with James from Lighthouse for the last 2 years. James has been working with me to help me define and maintain my financial goals and manage my investments. James is extremely easy to deal with and explains things in a very simple and easy to understand way. "
"Great experience working with Jess and the Lighthouse team. Jess was extremely diligent and had continued great communication throughout. We feel extremely confident moving forward with Jess guiding us through our financial goals."
"Great experience working with Jess and the Lighthouse team. Jess was extremely diligent and had continued great communication throughout. We feel extremely confident moving forward with Jess guiding us through our financial goals."
"We have just brought our 2nd investment property with the help of Vinny & Laura. Their communication is clear, concise and timely and they’re so easy to work with. I look forward to building our property portfolio with them alongside us."
"We have just brought our 2nd investment property with the help of Vinny & Laura. Their communication is clear, concise and timely and they’re so easy to work with. I look forward to building our property portfolio with them alongside us."
"Lighthouse financial were super awesome in helping our family buy our first home. Laura and Vinny were always prompt and professional with their support. Highly recommend lighthouse and more specifically Laura and Vinny for all your mortgage related needs."
"Lighthouse financial were super awesome in helping our family buy our first home. Laura and Vinny were always prompt and professional with their support. Highly recommend lighthouse and more specifically Laura and Vinny for all your mortgage related needs."
"I’ve had an excellent experience with James and the team at Lighthouse. Their financial advisory services have improved my financial literacy through one-on-one meetings, webinars, and podcasts."
"I’ve had an excellent experience with James and the team at Lighthouse. Their financial advisory services have improved my financial literacy through one-on-one meetings, webinars, and podcasts."
"I would encourage anyone looking to sort your financial planning and investing to check these guys out , and also the mortgage brokers team who bent over backwards for my situation to get me across the line! They keep you in the loop of the progress and suggest options along the way to take advantage of any situation presented. "
"I would encourage anyone looking to sort your financial planning and investing to check these guys out , and also the mortgage brokers team who bent over backwards for my situation to get me across the line! They keep you in the loop of the progress and suggest options along the way to take advantage of any situation presented. "
"They guided me in securing health, life, and income insurance, and helped me get my Will sorted. I really appreciate their expertise and genuine commitment to their clients. I highly recommend their services - I even referred my dad to them."
"They guided me in securing health, life, and income insurance, and helped me get my Will sorted. I really appreciate their expertise and genuine commitment to their clients. I highly recommend their services - I even referred my dad to them."
1. A Lighthouse team member will reach out to see which of our Mortgage, Property, Wealth, or Accounting services best suits your needs.
2. You’ll be matched with a specialist who best understands your situation.
3. With their guidance, you’ll take the next steps toward securing the right financial solution for you.
