ACC Minister Nick Smith. Photo / Mark Mitchell

ACC Minister Nick Smith. Photo / Mark Mitchell

ACC Minister Nick Smith has apologised for saying he would throw himself under a train because his family would benefit under ACC's current policy.

Dr Smith yesterday announced increases to ACC levies and cuts to some entitlements. ACC was facing financial difficulty which Dr Smith attributed to claims largely out-weighing levies.

One area to be scrapped was compensation paid to the families of those who commit suicide.

If someone with a family committed suicide the family could have been given almost $1 million in compensation over time, Dr Smith said.

"If my doctor told me that I was terminally ill and I had 30 days to live, with the ACC rules the way they are, I'd be finding myself a train to throw myself under on the 29th day because my family would be treated so much more generously," he said.

Dr Smith did not go so far as to say the policy was an incentive for people contemplating suicide.

Suicide was tragic but not an accident, he said.

People who died from heart disease or cancer left behind families who were "equally disadvantaged" by the loss of a partner and income.

Opposition MPs, families affected by suicide and people who work in the area were angered by Dr Smith's comments.

Today, he apologised and said he his comments were an "unfortunate analogy".

"What I was attempting to do was make the point that while suicide is a tragedy, it's not an accident.

"I'm happy to apologise if offence has been taken."

Suicide was a "sensitive area", he said.

"It's a tragedy I wouldn't wish on anybody."

Progressive Party leader Jim Anderton said Dr Smith was being "cowardly and insensitive".

By removing compensation to the family of those who committed suicide he was "effectively victimising these most vulnerable".

"If the children or loved one of a suicide victim don't get our support through ACC, then where do they get it from?" Mr Anderton asked.

Mr Anderton's own family has suffered a suicide.