The accident compensation scheme is a no-fault social insurance scheme with unlimited access to common law remedies, and as with any insurance system it provides specific areas of cover and entitlement and collects premiums based on the cost of providing those entitlements. The scheme is characterized by an integrated and cost effective approach to prevention, compensation and rehabilitation. However the Act does not provide for the Board to make safety regulations or the enforcement of safety in workplaces and on the roads.
The Accident Compensation Corporation (ACC) was formerly called the Accident Compensation Board (ACB) established in 1978 following the approval by Parliament of the Accident Compensation Act 1978 which has now being revoked. Further legislations are now in placed such as the Accident Compensation Act 1989 and the Accident Compensation Amendment Act 2003, the former remains the principal Act.