Accident Compensation Act 2001

Management of the Scheme - Purchase of weekly compensation for periods outside employment

226: Resumption of employment by persons who purchased weekly compensation

You could also call this:

"Returning to work after buying weekly payments: What happens to your compensation"

If you buy the right to get weekly payments and then start working again while you still have that right, here's what happens:

You can ask to end your weekly payments early. If you do this, you'll get some money back for the time you didn't use, as long as it's more than 3 months.

If you don't ask to end the payments, your right to get them changes. Now, if you need weekly payments again, you might get extra money on top of what you'd normally get. This extra money (called a top-up) is to make sure you don't get less than what you paid for originally.

The amount of extra money you might get is the difference between what you'd normally get now and what you would have gotten from the right you bought earlier.

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This page was last updated on 8 April 2025

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM102848.

Topics:

Health and wellbeing > Healthcare servicesWork and jobs > Worker rights

225: Levies for persons who purchase weekly compensation, or

"You pay extra money when you buy weekly payments for time off work"

227: Application and source of funds, or

"How the government pays for help when people who aren't working get hurt"

Part 6Management of the Scheme
Purchase of weekly compensation for periods outside employment

226Resumption of employment by persons who purchased weekly compensation

This section applies where a person who has purchased the right to receive weekly compensation under section 223 resumes employment and the right is still applicable.
The person may terminate the right to receive weekly compensation early, on application to the Corporation, in which case the person is entitled to receive a refund of the levy paid in respect of the period between the date of the application and the date on which the right would otherwise terminate (so long as that period is greater than 3 months).
If no application to terminate the right to receive weekly compensation is made, the right is converted into a right to receive a top-up from the Corporation if the person becomes entitled to weekly compensation.
The amount of the top-up is the amount (if any) by which the weekly compensation payable to the person calculated as if no right to receive weekly compensation had been purchased is less than the amount that would have been payable under the right if the person had not resumed employment.