Last October ACC cut counselling for victims of rape and other sexual abuse "sensitive claims", and funding was restricted to those with a diagnosed mental injury resulting from sexual abuse or assault, sparking outrage and protests from sexual abuse groups.
But yesterday it announced that from next week people with a new ACC sensitive claim, or with a new claim already in the system but awaiting a decision, would be able to access up to 16 hours with a counsellor.
Dr Smith said the provision of 16 hours was an interim provision and a long term plan would be made after the final report from the independent clinical panel was released in mid-September.
The panel was set up by Dr Smith following concern about the cuts being made.
"It was my decision to set up the independent clinical panel when it was plain that a substantive number of clinicians working in this area believed ACC had it wrong," he told NZPA.
Dr Smith said while he had been careful not to interfere with what was a clinical matter he did not think ACC had managed the issue well.
The Government had not asked for cuts in the sensitive claims area and Dr Smith was concerned when he saw an increase in claims being turned down.
The panel recommended that 16 initial sessions were required immediately and ACC took that on board.
"This gap that had developed needed to be addressed urgently and that is why ACC decided to step in and provide the 16 sessions as quickly as possible from next Monday while the panel completes its full report and we can make long-term decisions."
There were lessons for ACC about its consultation with the sector, Dr Smith said.
"Because I don't think that has been satisfactory."
ACC's general manager of claims management Denise Cosgrove said ACC had listened to concerns expressed.
A number of details are yet to be finalised, such as what special arrangements might be put in place for children and what support will be available for people who have suffered a relapse, or whose sensitive claims have previously been declined or reactivated.
ACC acknowledged last year's cuts "exposed gaps in the services available to people who have suffered sexual abuse," Ms Cosgrove said.
"We will be continuing to develop the sensitive claims process, and will take into account the views of the sector, the final report of the independent panel and the cross-government work being carried out following the recent findings of the Taskforce on Sexual Violence."
Labour's ACC spokesman David Parker said Dr Smith's attempts to blame the ACC board should not be accepted.
"The minister was repeatedly and clearly warned by clinicians and the Labour Party that his changes were so obviously wrong.
"Why have a minister if he will not take responsibility in the face of prior warnings."
