From today, owners of the country's safest cars will pay much lower ACC levies.
It's estimated the standard saving will be around $16 a year - the average levy dropping from $130.26 to $113.94. The Government says it'll save motorists around $113 million.
The Automobile's Association Mark Stockdale says just how much of a discount each person will get varies.
"There's four bands - all of the cars in New Zealand fall into one of those four bands. Depending on the risk rating, will [determine] the size of the ACC levy you pay."
Mr Stockdale says the move to slash costs is a no-brainer.
"If you own a car in which you are less likely to be injured then it's only fair your insurer - in this case ACC - charges you a lower levy to reflect that you have a lower risk of being injured."
He says it could act as an incentive to buy a safer model, but time will tell if that's the case.
"A car with the best risk rating is just going to cost you $76 to licence that vehicle for a year."
How much your next registration will cost can be looked up on the Government's rightcar.govt.nz website.
Mr Stockdale says the ACC levy is about a quarter what it was a few years ago.
Newshub.
